What is Crowdfunding and 10 biggest Fintech Crowdfunding Platforms of all Time
Through a process known as “crowdfunding,” money can be raised through the combined efforts of a large group of people, including customers, family members, and individual investors. This approach makes use of the combined efforts of a large number of individuals, primarily through the use of online crowdfunding and various social media platforms.
More than US$16 billion were raised globally through crowdsourcing in 2014, which climbed to more than US$34 billion in 2015 and is expected to expand further in 2016. In 2016, crowdfunding is expected to continue to grow. In spite of its relatively short history, crowdsourcing has already established itself as a widespread phenomenon all across the world. Crowdfunding is starting to look more and more like it will be the next big thing in the world of investments. Here is a list of the 10 most successful crowdfunding campaigns ever for financial technology.
The global crowdfunding network known as KickStarter supports creative endeavours in a wide variety of fields, including film, music, art, gaming, photography, comics, and design. More than 80,000 projects have been funded thanks to the site, which has a large community of supporters that donate many times. On Kickstarter, there are over 300,000 individuals who have financed 10 or more projects. In exchange for their donations, individuals who support projects by means of the crowdfunding platform Kickstarter receive both physical goods and access to exclusive knowledge.
Crowdcube is a major investment platform and a crowdfunding site that has won multiple awards. It is one of the websites in the UK that has been around the longest and gives a wide variety of businesses the possibility to obtain cash. The CrowdCube platform is an alternative to traditional methods of capital raising such as banks, venture capital investment, and angel investors. It is used by a large number of start-up businesses.
Indiegogo is a website dedicated to online crowdsourcing that was launched in the year 2008. This website was one of the very first ones to offer crowdsourcing services. People are able to solicit financial support for charitable causes, business ideas, and new ventures through the website. The target audience for the website consists of anyone who has aspirations they want to pursue in the future but first has to raise money to do so. On a monthly basis, there are approximately fifteen million users that access the platform.
GoFundMe is an online platform that enables users to collect financial contributions for a wide variety of occasions, including happy events such as celebrations and graduations, as well as difficult situations such as injuries and illnesses. People have used the platform to raise over $2 billion for worthwhile causes and campaigns they believe in.
CircleUp is a platform that brings together cutting-edge retail and consumer goods businesses with authorised investors. In most cases, a business needs to have substantial income (more than $500,000 in yearly sales) or other indicators of its potential for success. Before being allowed on the site, businesses must first pass an evaluation conducted by private equity investors. The business was discussed on the show “Squawk Box” that airs on CNBC.
The online fundraising, collection, and pooling of funds is made possible for communities and organisations by the company Tilt, which operates as a crowdfunding platform. The Tilt platform has seen a surge in popularity among community organisers and students at colleges and universities over the past three years. According to Social Times, Tilt has surpassed crowdfunding veterans such as Kickstarter and GoFundMe to become the platform with the most rapid user growth.
OurCrowd is a platform designed for accredited investors to use in order to provide start-up businesses with funding for venture capital. Jonathan Medved, who has had previous success as an entrepreneur, angel investor, and venture capitalist, established the company. With the intention of penetrating the Asian market, the company secured funding from Singapore’s United Overseas Bank in the amount of more than ten million dollars in March of 2016.
Peerbackers is a website that focuses on providing funds to innovators and entrepreneurs, and it is consistently ranked as one of the best crowdfunding platforms in the business. The website has served as a venue for the presentation of hundreds of creative, civic, and business projects from all over the world. Peerbackers, having seen such a high industry failure rate for projects, decided to build Crowdfunding Academy in order to offer support and instruction to individuals who are interested in crowdsourcing funding.
Crowdfunder is the most successful crowdfunding platform in the United Kingdom. They connect people with projects in order to turn amazing ideas into reality. The network supports thousands of projects and has over 442,000 registered users. The company offers a solution that encourages community involvement by way of fund distribution and campaign sponsorship.
Seedrs is the most successful equity crowdfunding platform in the world, allowing users to invest in companies in which they have faith. It was the first platform of its kind in the UK to receive regulatory authorisation for equity crowdfunding from the Financial Conduct Authority.
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