Emurgo Cardano
The initial challenge with Web2-based crowdfunding is limited access, which results in reduced funding opportunities and exacerbates unequal distribution of resources. This excludes various groups from participating, including individuals from countries with sanctioned or authoritarian governments, marginalized communities such as sex workers, and regions without proper financial payment infrastructure.
The second issue is the imbalance of power and responsibility in Web2 crowdfunding. These platforms are operated by large, centralized companies, which gives them significant market power to charge excessive fees. Furthermore, their centralization makes them susceptible to government intervention or executive decisions that restrict access to potential funders.
Moreover, there is a subtler but potentially more significant issue - the majority of projects that use these platforms for crowdfunding are centralized organizations themselves. Funders are required to rely on their trustworthiness in fulfilling their commitments. There is a widespread reputation for Kickstarter projects to miss their delivery targets, and even reputable charitable organizations are not exempt from this.
Web3 crowdfunding platforms are based on globally accessible cryptocurrency systems, eliminating the barriers and difficulties associated with Web2 platforms. This global and hassle-free nature has played a key role in the recent growth of Web3 crowdfunding, as seen in the success of Constitution DAO.
How do they operate? A typical Web3 crowdfunding platform, such as Juicebox and Mirror, accepts ETH from investors and returns a token as a proof of receipt. Tokens, which are made possible by the versatility of Web3, can serve various purposes. Some crowdfunding projects use their tokens as a simple representation of the investors' contributions, while others use it as a form of governance token. Regardless of the purpose, tokens are highly popular as people enjoy owning and possessing tokens, even if they don't necessarily confer any rights.
https://medium.com/securitize/introducing-web3-crowdfunding-4d0e5cc6f0f7
Leverage the power of Web3
Web3 is recognized as the future of the internet. It transforms the traditional cloud-based web into a decentralized platform where users can directly transfer value among each other. In this new ecosystem, tasks such as user registration, contract signing, and token receipt are completed using a user's cryptocurrency wallet, eliminating the need for expensive third-party services and reducing compliance worries.
Investors can easily connect their crypto wallet to purchase Security Tokens with USDC and instantly receive their digital assets.
Easily reward token holders and manage governance in a fully transparent way, turning your fans into loyal shareholders and brand evangelists.
Regulatory requirements, such as jurisdictional restrictions are automatically enforced via smart contracts.
Gain real-time access to your cap-table and its activity, providing you with valuable insights on shareholder activity.
Tokens can be transferred 24/7 and easily integrate with secondary markets, where investors enjoy the benefits of instant settlement without counterparty risks.
All operations are managed via Securitize and signed with the investor’s wallet, without the need for any paperwork.