About This Statistic
The statistic shows the development in the worldwide crowdfunding volume of crowdfunding platforms from 2009 to 2012. In 2012, the global funding volume of crowdfunding platforms is expected to amount to just over 2.8 billion U.S. dollars, a massive increase from the 2009 figure which amounted to 530 million U.S. dollars.
Crowdfunding as an alternative to the norm
The catastrophic effects of the global financial crisis of 2008 had a huge influence on the perception of financial safety and the global lending market. Although the situation has markedly improved in the years following the 2008 financial crisis, various companies and businesses have to look for alternative ways of financing.
Crowdfunding has been presented by many as an opportunity to seek alternative forms of investment capital and to move away from the traditional cycle of bank lending. As uncertainty around the right path to economic success remains, banks have been holding on to capital and have shown to be quite reluctant to part with it. Especially when it comes to the type of risky start-up loans required for new businesses to get off the ground. Crowdfunding has presented the world of finance with a new and exciting alternative method.
Since the early 2000s the number of crowdfunding platforms platforms and their funding volume has been increasing rapidly, presenting new opportunities for those who believe to have a unique and profitable idea or a worthy cause, to pitch it online and allow its merit to be judged by the crowd. With its roots in the United States, the format has now spread across the world and is making a great deal of progress, especially in Europe.