Maybe the way to break this impasse is that recipients volunteer some of their time to something that needs doing. I think it would have to be really loosely structured to work however almost to the point of being on a honour system.
An honour system at a large society-wide level doesn't work. It is a naive suggestion without any evidence. Nobody would pay their taxes if it was based on the honour system. There are too many cheats out there. Many people act on their rational self-interest, not everyone is a saint. The government deals with a lot of fraud by citizens every day in virtually every program that deal with money. Tax fraud, EI fraud, CERB fraud, disability fraud, you name it there's fraud. People won't even obey the parking laws unless tickets are given out, and even then many don't obey and roll the dice.