I know by now we all know what crowdfunding is all about? However, If you don’t know, you have nothing to worry about. In this article, I will be telling you what crowdfunding is and how it works. Over the years, especially this past decade, crowdfunding platforms all over the world have been gaining recognition and has therefore gained recognition all over the world.
Must Read: GoFundMe
Now to take us further into this article, what is crowdfunding? This is a million-dollar question, trust me. Well, crowdfunding can be referred to as a practice where a project is being funded by raising bits or small amounts of money from a large number of people. This is typically done over the internet. In 2015 alone, over 34 billion USD was raised via crowdfunding platforms all over the world. To further explain what this is all about.
This is a form of donating money to projects. These projects might be humanitarian projects or personal projects. If you feel like furthering your education and you don’t have the necessary resources you can create a campaign and investors can now donate to your project. This is generally how crowdfunding platforms work worldwide
How Does Crowdfunding Works
The concept of crowdfunding is a straight forward and an easy to understand one. Just as the name implies, it is funding that is generated by a crowd. This concept makes use of vast networks of people basically through social media platforms and websites. This concept has created loads of opportunities for entrepreneurs and individuals alike.
Crowdfunding platforms or websites let users or people create campaigns on their platforms. Anybody or potential investors can now visit these platforms and donate directly and freely t these campaigns. The major form of this is based on three factors and they are the project initiator, the individuals or groups who support the idea and lastly the platform that brings these parties together to launch the idea.
Top 10 Crowdfunding Sites in the World
Just as I have established earlier in this article, these platforms have grown to be very popular over the years. There are now various platforms and websites where we can easily use to set up campaigns. Below are the top ten crowdfunding platforms in the world.
This is a personal list of the top ten crowdfunding platforms in the world. There are other platforms in the world, but personally I think these are the best when it comes to what they do.
Keynotes to take on this. There are restrictions as to who is allowed to donate on some platforms. These platforms allow investors to select from various projects and are allowed to invest as little as 10 USD. These platforms generate revenue from the percentages of funds raised. In the United States, the SEC regulates crowdfunding ventures.