2021 to be a record year for the crowdfunding market

From November 2021, the crowdfunding services market is, in terms of regulation, a fully-fledged part of the financial market in the European Union. The EU regulation aims to professionalize this segment and increase certainty for market participants. Polish entities are waiting for the adoption of a national law that will implement EU law. One of the most important changes is the increase in the limits of acquired financing – ultimately up to €5 million. Crowdfunding platforms are waiting for a number of changes.

Crowdfunding is one of the fastest-growing alternative methods of financing new economic initiatives on the private market. The report prepared by the Union of Financial Companies and the University of Economics in Wrocław shows that for almost 10 years of the crowdfunding market in Poland, i.e. until the end of October 2021, startups obtained almost PLN 292 million from the issue of shares under equity crowdfunding. During the 10 months of last year, 82 companies decided to raise capital in this form, and its value amounted to 115 percent of volume from 2020, with 12 issues not yet completed, and more than 40 new ones waiting to be launched.

"Crowdfunding is a tool for obtaining financing, which is growing quite dynamically on the Polish market. In 2021, about 100 companies will reach for financing in the form of equity crowdfunding. This is an increase of several dozen percent compared to the previous year," Tomasz Kowcun, Development Director Crowdway business, said.

(Newseria)