Jason Best, Principle at Crowdfund Capital Advisors and early proponent of crowdfunding, hit the studios of CNBC to chat up investment crowdfunding and its largest market – China. Best notes that crowdfunding, both debt and equity, is an important part of China policy and their “internet plus” approach. The CNBC host trips herself a bit by calling crowdfunding “shadow banking” (a term largely promulgated by traditional finance). Best politely corrects her clarifying “this is the opposite of shadow banking.. this is much more transparent than has ever been possible before,” states Best.
“Governments are looking to ways to create jobs, to create entrepreneurship and innovation,” clarifies Best. SME’s are the engine of most economies. Providing access to capital is an imperative – especially when your economy is slowing.
The Squawk host correctly recognizes “this is a dime” referencing the amount of crowdfunding being facilitated in comparison to old finance. But as most people know, this is changing today.
Watch the video below.