Tagged: perspective

Crowdfunding, Parliament & The Gagging of YouTube, Twitter & Social Media: A ‘Terrifying Misuse of Legislation”

Social Media Blocked Banned

What has been called a “Terrifying Misuse of Legislation” was debated Thursday at the Westminster Crowdfunding Forum where it was unanimously agreed that it’s essential to tackle an over regulation of social media which is threatening both the Crowdfunding industry and the individual liberties of all those involved. Including ordinary people who, say the FCA,… Read More

Kickstarter to FCC: We Support an Open Internet

Net Neutrality Tom Wheeler FCC Chairman

Destroying Net Neutrality has implications far beyond Kickstarter. Yancey Strickler, CEO of crowdfunding giant Kickstarter, has posted today affirming their support on the subject of Net Neutrality – something that should concern us all. Kickstarter has filed an official comment with the FCC expressing their opinion on the issue. As posted on the Kickstarter site:… Read More

The Real Difference Between VC and Crowdfunding? Investment Marketing

marketing promotion

A few weeks back the value of VC’s for the crowdfunding industry was extensively discussed. Why? Because there are lot of areas where crowdfunding and VC’s can connect. And though traditional funding and alternative funding are not as rigorously separated as many want to believe, there are some inherit differences that characterise crowdfunding as a… Read More

Equity Crowdfunding is in Need of Leadership

State of the Union Congress and Senate

Your Leadership, Freedom & Independence this 4th July. Dear Mr President, Your leadership is needed in a matter which affects America and us all. A matter of removing an ongoing source of inequality which continues to disfigure both democracy and capitalism in America and worldwide. I believe it is in your gift to right an… Read More

Can Equity Crowdfunding Revitalize the IPO Market?

Bridging the Funding Gap Vanishing IPO

While attending the CFGE Conference in New York City last week I was able to sit in on a presentation by Anthony Zeoli regarding the “vanishing middle market IPO”.  Anthony is a securities attorney who is championing the cause of intrastate crowdfunding in Illinois – he has also contributed to Crowdfund Insider. The decline in smaller… Read More

Does Crowdfunding Create Crowd Euphoria?

Herd of Sheep Stampede

Esteemed global banking group, Deutsche Bank, recently posed this very question:  Does crowd euphoria impair risk consciousness? The question comes as many countries legalize investment crowdfunding and the US plods towards allowing greater access to capital via participation of the crowd.  This is an important – and interesting polemic.  Herd mentality occurs in many situations…. Read More

Kickstarter, Leader for Now, Responds to Shifting Market with New Rules

Launch Now Kickstarter

Kickstarter recently announced major changes to the way they approve campaigns on their site. The first change is a creation of a “Launch Now” button where a project, if it successfully passes through an algorithm, can be immediately posted on the site. This removes the human vetting process that frustrated many users in the past…. Read More

Four Industries Primed to be Disrupted by Crowdfunding

Disrupted

One of the benefits of helping launch and continuing to work with the global equity and debt crowdfunding movement is the innovative companies that show up at our door. These organizations are changing a number of industries and none of them are kids in garages with gadgets. The future of crowdfunding will include a variety… Read More

Equity Crowdfunding Needs Educated Investors

DCF Equation

Crowdfunding is hopelessly dependent on traditional funding sectors to educate a new generation of investors and fully develop the industry. The alternative funding industry values its’ own innovative and somewhat ‘rebellious’ character – two characteristics the traditional financial industry isn’t well known for. On top of that, “the wisdom of the crowd” is going to… Read More

Crowdfunding Costs Are Too High. Tell the SEC Today!

$50 Grant

Since the proposed crowdfunding rules were released on October 23, 2013, the top concern for many in the industry has been that the costs of compliance would make crowdfunding too expensive to be useful. Our Crowdfunding Cost Model further backed up this concern, indicating that offerings under approximately $115,000 would actually result in negative cash… Read More

Views on Title III “Crowdfunding”, SEC Regulations: Kim Wales

Kim Wales founder of Wales Capital

Entrepreneur and crowdfunding industry thought leader Kim Wales has outlined her views on Title III  of the Jumpstart Our Business Startups Act of 2102 which covers “popular” crowdfunding (sometimes called Reg CF).  The comment period for the SEC on the proposed regulations are scheduled to end next month on February 3, 2014. “As with the current proposed final rules… Read More

Time to Show a Red Flag to the Financial Conduct Authority

Stop Financial Conduct Authority

Green Light the new freedoms of the digital age. The idea of a man having to walk in front of each car on the road waving a red flag to ensure that they didn’t scare the horses has often been the object of a mixture of amusement and incredulity. Yet it actually happened and was… Read More

WSJ: “Who’s Suitable for Equity Crowdfunding?”

$1000 in $100 Bills

On WSJ.com under The Accelerators, the pose the question: Should average Joes and Janes be allowed to buy shares in private companies through online investment platforms known as crowdfunding sites? Or should this be restricted to only wealthy, “accredited” investors?  What are the advantages and disadvantages for startups and investors? This question is frequently discussed and debated… Read More

Equity platform RockThePost Expects to be Well Positioned to Accommodate New Regulations

Alejandro Cremades RockThePost Founder

RockThePost CEO Alejandro Cremades contacted Crowdfund Insider with some thoughts on SEC proposed regulations which were released yesterday.  RockThePost is an equity crowdfunding portal which is not presently associated with a Broker / Dealer.  The platform has raised over $17 Million in accredited investor offerings since their launch.  They hope to move into the retail… Read More

BloomVC Founder Amanda Boyle Comments on FCA Consultation Paper on Crowdfunding

Amanda Boyle

Amanda Boyle created BloomVC (Venture Capitalist) in 2011 to fill a funding gap for innovative ideas, community initiatives, and small business growth with the power of the crowd.  Located in the UK, Bloom is a rewards based crowdfunding platform. With the release of the FCA Consultation Paper released today, BloomVC founder Amanda Boyle shared some of her thoughts on the release… Read More

Kickstarter; “We Were Wrong”

kickstarter

In a rare occurrence of public culpability, Kickstarter posted a letter to everyone regarding the Kickstarter campaign for a Seduction Guide – which was fully funded but has since been pulled from the site.  The Kicktarter “mea culpa” is reproduced in it’s entirety below.  They also announced a donation in the amount of $25,000 to… Read More

Opinion: Here We Go Again, Another Round of Crowdfunding Fearmongering

Steve Ratner (Wikipedia)

In an opinion piece on the pages of NYTimes, journalist / banker and former Obama Administration “Car Czar” attacks legislation promoted by his former boss:  The Jobs Act of 2012.  Titled a “Sneaky Way to Deregulation, Ratner goes directly after one of the most significant parts of the legislation – crowdfunding.  To quote; Most troublesome… Read More

Opinion: Equity Crowdfunding Must Happen Soon

SEC Enforcement Actions

It used to be that stock transactions were a laborious task.  Phone calls were made, account verifications were processed, confirmations were mailed and summarily filed away.  The advent of internet based stock trading was a natural and exciting evolution of  investing in equities.  No longer would an investor be put on hold waiting to speak… Read More

Crowdfunding Needs Flexibility to Reach Full Potential

Wanted Entrepreneurs of All Kinds

Recently a superlative document was published by the Milken Institute which reflected upon the current state of crowdfunding domestically within the United States but also drawing on parallels abroad.  This missive was authored  by Messrs.  Chris Brummer, a law professor at Georgetown University and Daniel Gorfine, the director of special projects at Milken and their legal… Read More

Investment Banks: Gatekeepers No More

United States Treasury (Wikipedia)

Investment Bankers have traditionally been the gatekeepers of access to the capital markets.  It is time for Crowdfunding to play a greater role. The caliber of underwriting firm is often an indication of the quality of the issuing company. The investment banks are paid well for that implicit endorsement, but that puts their reputations on… Read More