The European Commission has today launched a consultation inviting stakeholders to share their views about crowdfunding: its potential benefits, risks, and the design of an optimal policy framework to untap the potential of this new form of financing. Whereas many crowdfunding campaigns are local in nature, others would benefit from easier access to financing within a single European market.
But to make sure crowdfunding is not just a momentary trend that fades away, but rather a sustainable source of financing for new European projects, certainsafeguards are needed, in particular to ensure people's trust. The ultimate objective of this consultation is to gather data about the needs of market participants and to identify the areas in which there is a potential added value in EU action to encourage the growth of this new industry, either through facilitative, soft-law measures or legislative action. The consultation covers all forms of crowdfunding, ranging from donations and rewards to financial investments.