What is blockchain crowdfunding?

In short, blockchain crowdfunding can be seen as a way to allow more capital to be donated in a nontraditional way while reducing the need for large-scale facilitators and centralized gatekeepers. What Is Crowdfunding? Why Donate Crypto? What Is Crowdfunding?

What is crowdfunding & how does it work?

Crowdfunding is a financing method of raising funds through the support of backers who typically contribute through an online platform. A crowdfunding campaign usually has a monetary goal in mind and a deadline set to reach it. There are three distinct types of crowdfunding that entrepreneurs can use to raise funds for their business:

What are the advantages of decentralized blockchain-based crowdfunding platforms?

Decentralized blockchain-based crowdfunding platforms can solve problems with censorship and high transaction/funding fees. There is no need for an overseer to approve or reject crowdfunding campaigns, and the decentralized nature of blockchain makes operations cheaper.

How does the SEC regulate crowdfunding?

The SEC regulates equity-based crowdfunding ventures in the United States. Kickstarter, Indiegogo, and GoFundMe are among the most popular crowdfunding platforms. In most jurisdictions, restrictions apply to who can fund a new business and how much they are allowed to contribute.