Crowdfunding Market Report 2025

The crowdfunding market size has grown rapidly in recent years. It will grow from $17.72 billion in 2024 to $20.46 billion in 2025 at a compound annual growth rate (CAGR) of 15.5%. The growth in the historic period can be attributed to start-up and small business funding needs, access to global capital, support for creative projects, crowdfunding for social causes, regulatory environment and frameworks.

The crowdfunding market size is expected to see rapid growth in the next few years. It will grow to $38.71 billion in 2029 at a compound annual growth rate (CAGR) of 17.3%. The growth in the forecast period can be attributed to diversification of crowdfunding models, real estate crowdfunding growth, increased adoption by established businesses, technological integration and platforms, global expansion of crowdfunding ecosystem. Major trends in the forecast period include cross-border crowdfunding campaigns, introduction of non-fungible tokens (NFTs) in crowdfunding, rise of community-powered crowdfunding, use of smart contracts for crowdfunding execution, increased crowdfunding for real estate projects.

The rising use of social media platforms is projected to drive growth in the crowdfunding market. Social media platforms facilitate communication, sharing, and the dissemination of content, including messages, videos, images, and audio. In the context of crowdfunding, social media serves as a powerful tool for promoting campaigns and attracting funding by reaching a broad online audience. This ease of access and extensive reach enable campaign organizers to gather support more effectively. For example, a report by We Are Social Ltd, a UK-based social media analytics company, noted a 5.6% increase in social media users in 2023, with 266 million new users joining that year. Consequently, the growing use of social media is expected to fuel the demand for crowdfunding by increasing exposure and potential contributors for these campaigns.

The escalating volume of crowdfunding campaigns is poised to be a significant driver behind the anticipated growth of the crowdfunding market. These campaigns represent a method of sourcing funds for specific ventures, causes, or enterprises by garnering small contributions from a large pool of individuals, predominantly conducted through online platforms. They serve as the primary avenue for fundraising while concurrently enhancing visibility for forthcoming initiatives. Crowdfunding campaigns offer multifaceted benefits, including improved access to financial resources, leveraging social media for promotion, and presenting innovative financing avenues. For instance, as per Zippia, a US-based career-focused company providing job matching and career advice, the success rate for crowdfunding campaigns stood at 22.4% of all endeavors in November 2022. Successful crowdfunding projects typically raise an average of USD 28,656, with those incorporating personal videos witnessing a 150% increase in funds compared to those without. Moreover, campaigns that provide regular updates achieve a 126% higher fundraising outcome than those lacking updates. Hence, the surge in crowdfunding campaigns stands as a pivotal catalyst propelling the growth of the crowdfunding market.

Major players within the crowdfunding market are directing their efforts towards introducing innovative products, notably crowdfunding campaigns aimed at addressing challenges such as battery fires. For instance, in August 2023, Soteria, a US-based platform specializing in lithium-ion battery safety, launched a crowdfunding campaign on StartEngine. Their focus is on gathering resources to develop and introduce a line of inherently safe batteries tailored for e-bikes and various devices. Soteria has forged collaborations with over 125 leading companies in the sector, including notable names such as NASA, Mercedes, Lenovo, and DuPont, forming a consortium aimed at widespread access to their safety technologies. The campaign seeks funding from both accredited and non-accredited investors to support the advancement of Soteria's patented technology. This technology acts as a preventative measure, halting energy flow during short circuits in e-bikes, electric vehicles, and other devices, effectively averting explosions and enhancing safety measures.

Major companies within the crowdfunding market are actively engaged in crafting innovative offerings, such as the development of fresh crowdfunding campaigns and products, aiming for accelerated expansion across Europe. For instance, in September 2022, La Vie, a France-based producer specializing in plant-based pork products, launched a novel vegan ham variant. This product stands out for its formulation devoid of texturing agents and containing a notable protein content of 19 grams per 100 grams. The company initiated a new crowdfunding campaign, affording La Vie's customers an opportunity to participate as investors at the same share price level as professional investors. This campaign grants customers the chance to join the current roster of investors that includes notable figures such as Natalie Portman, the CEO of Vinted, and the chairman of Oatly, fostering a more inclusive investment landscape within the company's investor community.

In September 2022, Republic, a private investment firm headquartered in the US, completed the acquisition of Seedrs for a sum of $100 million (£86.5 million). This acquisition not only facilitated Republic's geographical expansion but also granted access to the expertise, technological advancements, and skilled personnel within Seedrs, an online equity crowdfunding company based in London. The acquisition served as a means for Republic to bolster its presence, harnessing the valuable resources and market insights offered by Seedrs.

Major companies operating in the crowdfunding market include LendingClub Corporation, GoGetFunding Inc., Thunder Funding, GoFundMe Inc., Indiegogo Inc., Public Good Inc., StartEngine Inc., AngelList LLC, Wefunder Inc., Crowdfunder, Kiva, Fundable, Crowdcube Limited, Kickstarter PBC, Ulule, SeedInvest Technology LLC, Owners Circle, Realcrowd Inc., Pozible Pty Ltd, CircleUp, Mightycause, Fundly, Patreon Inc., DuckDAO, Funderbeam Inc., MintMe, Gronns Protocol, Prosper Funding LLC, RocketHub, Fundrise LLC, RealtyMogul LLC.

North America was the largest region in the crowdfunding market in 2024. Asia-pacific is expected to be the fastest-growing region in the global crowdfunding market during the forecast period. The regions covered in the crowdfunding market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the crowdfunding market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Crowdfunding involves raising funds from numerous individuals in small amounts over a short period, often via social networks, for specific causes or projects, utilizing online channels for widespread support.

Crowdfunding primarily comprises equity-based, debt-based, and other forms. Equity-based crowdfunding, also known as investment crowdfunding, serves as a means for startups and early-stage companies to secure funding. Platforms facilitating this include open service and managed service platforms, catering to diverse industries such as food and beverage, technology, media, real estate, healthcare, and more for fundraising purposes.

The crowdfunding market research report is one of a series of new reports that provides crowdfunding market statistics, including the crowdfunding industry global market size, regional shares, competitors with a crowdfunding market share, detailed crowdfunding market segments, market trends, and opportunities, and any further data you may need to thrive in the crowdfunding industry. This crowdfunding market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The crowdfunding market includes revenues earned by entities through reward-based crowdfunding, prosocial lending-based crowdfunding, and Lending-based crowdfunding (LBC). The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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