These Are the Models That Dominate Today's Multibillion-Dollar Crowdfunding Market

Former Staff Writer
1 min read

Though crowdfunding may seem like a relatively buzzy phenomenon given the emergence of digital platforms, it’s actually an age-old financial model dating back to the 1800s.

“They crowdfunded the pedestal of the Statue of Liberty over 100 years ago,” says expert consultant Sally Outlaw. “[Joseph] Pulitzer went to the crowd and said we need a dollar per person, and 100,000 people gave a dollar.”

But as it evolves from donation-based to reward-based to equity to Regulation A+ -- which is like a mini IPO -- crowdfunding is ultimately here to stay, according Outlaw. For more about the crowdfunding models that comprise the lion’s share of today’s multibillion-dollar market, check out the below video, captured at our inaugural Entrepreneur 360 event last fall in New York City.

Related: 2 New Crowdfunding Pathways That Entrepreneurs Should Keep In Mind

More from Entrepreneur

David provides constructive insight to help businesses focus on their company growth, build brand awareness and know when and how to raise money.
Book Your Session

For a limited time only, get this bundle of Entrepreneur PressĀ® titles for less than $30 (60% OFF) on our bookstore when you use "LEAP" at checkout.
Buy Now

Are paying too much for business insurance? Do you have critical gaps in your coverage? Trust Entrepreneur to help you find out.
Get Your Quote Now

Latest on Entrepreneur

My Queue

There are no Videos in your queue.

Click on the Add to next to any video to save to your queue.

There are no Articles in your queue.

Click on the Add to next to any article to save to your queue.

There are no Podcasts in your queue.

Click on the Add to next to any podcast episode to save to your queue.

You're not following any authors.

Click the Follow button on any author page to keep up with the latest content from your favorite authors.