NextGen Crowdfunding announced on Friday investor commitments into Title III equity crowdfunding campaigns have surpassed $15 million. The company is currently tracking Title III offerings through its NextGen Dashboard, which displays the progress of investor commitments since the new SEC crowdfunding regulations took effect last May. The new rules allow even first-time investors to fund startups online with as little as a few hundred dollars of investments. Using Title III crowdfunding, companies can raise up to $1 million.
NextGen reported that according to its data there has been a 262% growth in investor commitments between the second quarter and fourth quarter of this year. The data also showed investor commitments have doubled each quarter:
- Second Quarter (May-June): $2,204,733 total investor commitments
- Third Quarter (July-September): $4,825,132 total investor commitments
- Fourth Quarter (October-December): $7,985,497 total investor commitments
Speaking about the regulations’ milestone, Aubrey Chernick, founder of NextGen Crowdfunding, stated:
“As 2016 comes to a close, it’s very encouraging to see that the equity marketplace has found success in its first eight months and is growing at a steady pace. A continued increase in monthly investor commitments is a positive sign that both accredited and first-time investors are exploring equity crowdfunding with heightened enthusiasm as they become more familiar with the different offerings and opportunities.”
The news of Title III’s investor milestone comes just a couple weeks after NextGen launched its new Indiegogo Equity Crowdfunding Tracker, called Indiegogo Crowdfunding Watch. The feature tracks investor commitments through Indiegogo’s new equity crowdfunding platform. Dr. Richard Swart, Chief Strategy Officer at NextGen Crowdfunding, recently shared:
“Indiegogo’s entrance into equity crowdfunding benefits the industry. Indiegogo has a built in base of millions of fans and investors when it comes to rewards-based crowdfunding who now have the chance to explore new equity crowdfunding opportunities on the platform.”
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