Crowdfunding Market Grows 81% In 2012: Crowdfunding Platforms Raise $2.7 Billion And Fund More Than One Million Campaigns, Finds Research Firm MassolutionÂ®
LOS ANGELES, April 8, 2013 /PRNewswire/ -- Crowdfunding is accelerating at an unprecedented rate and impacting government policy, informing enterprise innovation, and changing the role of financial institutions around the world. Today, massolution ®, a research firm specializing in the crowdsourcing and crowdfunding industries, released its annual 2013CF - Crowdfunding Industry Report . After collecting data from 308 active crowdfunding platforms (CFPs) worldwide and undertaking significant further research, the results reveal that CFPs raised $2.7 billion in 2012 – an 81% increase over 2011 – and successfully funded more than one million campaigns. North America and Europe account for over 95% of the total market.
"Consistent with our 2012 forecast, total crowdfunding volume nearly doubled last year, and with regulatory bodies continuing to pave the way, we expect global crowdfunding volumes to exceed $5 billion in 2013," said CEO of massolution, Carl Esposti. "While lending-, donation-, and reward-based crowdfunding have thus far been leading this global financial revolution, equity-based crowdfunding is about to take center stage in the U.S. The JOBS Act, which will allow non-accredited investors to make investments in exchange for equity, is expected to go into effect by the end of 2013."
Growth Rates By RegionAlthough crowdfunding offers a growing number of countries opportunities to access funds, North America and Europe raised much more capital than platforms in other regions.
- North America : crowdfunding volumes grew 105% to $1.6 billion
- Europe: crowdfunding volumes grew 65% to $945 million
- In total, all other markets grew close to 125%
- Donation- and Reward-based crowdfunding grew 85% to $1.4 billion
- Lending-based crowdfunding grew 111% to $1.2 billion
- Equity-based crowdfunding grew 30% to $116 million
- Social Causes are most active, driving close to 30% of all crowdfunding activity
- Business & Entrepreneurship (16.9%), and the two major Art Categories follow: Films & Performing Arts (11.9%) and Music & Recording Arts (7.5%)
- Energy & Environment (5.9%) is the emerging category among the five most active
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