The basic way to pay Zakah is to pay it from what it is mandated on; but it is permissible to monetize it when a compelling need for this arises. Relationship of State / Country with Zakah :
The norm is that Zakah on properties is to be monitored by the authorities and not left to the payers’ discretion. If the authorities however neglect this duty, the responsibility would then lie on every Muslim. Investing the Zakah money to benefit the recipients :
It is permissible to invest Zakah money in beneficial projects whose benefits go to the people entitled to it when an immediate need requiring its prompt distribution is not found.
SOURCE: https://www.al-feqh.com/en/people-to...how-it-is-paid
1- Conditions of zakat : The Nisab is required to be more than what is necessary for the basic needs of man e.g. feeding, clothing, shelter etc. This is because Zakat has been ordained as a support for the poor. It is therefore important that the payer of Zakat is not in need himself. 2- The Nisab must completely belong to a particular individual. Zakah is not paid from money or property that does not belong to a specific person. For example, money that was contributed towards building a mosque, an endowment set aside for the well-being of a community, or properties in the treasuries of welfare or philantropic organizations.
source: https://www.al-feqh.com/en/rules-of-...conditions#ix6
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