Follow the Smart Money into Crowdfunding

What do Google Ventures, Andreessen Horowitz and Union Square Ventures have in common?

All have invested in crowdfunding platforms, otherwise known as “funding portals.”

According to CrowdUnite, about 230 venture capital firms and individual angel investors have invested approximately $855 million into ~45 funding portals.

Of that investment, ~$675 million went to debt/lending portals, $86 million to donation portals, ~$51 million to equity sites and ~$43 million to rewards sites.

Does this “smart money” know something we all should know? Or, is it just a bet to hedge against the possibility that this segment will take off?

About JeffKoeppel

I am a corporate/securities attorney in the Washington, DC area. Prior to joining the firm, I was a Senior Attorney Advisor in the Division of Corporation Finance at the U.S. Securities and Exchange Commission. I am a member of the Bars of the States of Maryland, New York and the District of Columbia. You can also follow this blog on LinkedIn at:
This entry was posted in Broker dealers, Congress, Crowd Fund Act, Crowd Fund Act of 2012, Crowd Funding At the Margins, Crowd Funding Platforms, FINRA, Funding Portals, Investments, Jobs, Legislative Intent, SEC, Venture Capital and tagged , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , . Bookmark the permalink.

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