Sick Crowdfunders Spending On Quacks

With the Congress still trying to kill the Affordable Care Act and many states kicking people off of Medicaid, many are turning to crowdfunding to pay for expensive medical treatments.

However, a recent study found that a lot of that crowdfunded money is going to pay for “quack” treatments, i.e., pseudo-medicine that has no proven efficacy.

The 2 year study found that most of the money was raised on GoFundMe and used for “homeopathic and naturopathic cancer treatments, while another large chunk ($1.2 million) went to people seeking stem cell therapy for brain injuries.”

What the sick got in return was primarily the placebo effect, if anything. Some of these therapies do nothing medically or pharmacologically, but some, like stem cell therapy, could cause injury or even death.

And folks who forego real medical treatment in favor of these false therapies risk their lives.

Just ask Steve Jobs.


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 accredited investor, Charity, checkbook, Crowd Fund Act, Crowd Fund Act of 2012, Crowd Funding At the Margins, Crowd Funding Platforms, discrepancies, fraud, Funding Portals, Investments, review, technology and tagged , , , , , , , , , , , , , , . Bookmark the permalink.

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