Bitcoin Crowdfunding is the latest craze to use Bitcoins for, as it is a cost-effective way of pledging money towards a project of one's liking, without the hassle of having to give out bank or credit card information to a site.
Crowd-funding as a concept is quite good for start-up companies and people with great idea's who doesn't have enough funds to carry out the project themselves. The concept behind crowd-funding is that a person or a company has a business idea and needs a certain amount of money to get started, where regular people, as well as investors, can give money to them in return of shares, gifts or similar.
What the company or person do is to place their idea online on a crowd-funding website, where they describe the idea they have, the financial plans and everything else one needs to be able to see if they want to invest in it or not and then they pledge for a certain amount of money. Once that amount has been reached, the company or person will begin developing their idea, with the funders receiving updates as well as their shares/gifts once it goes live.
Not all projects gets the necessary funding, usually because the idea is not good enough or because they have provided sufficient information about the project, how they plan to make money or market the product. There are plenty of projects who receives funding on a daily basis, which shows that crowd-funding is the way to start up a business in the future for those who cannot afford to do it on their own.
Why is Bitcoin Crowd-funding Good?
Bitcoin crowd-funding has become increasingly popular due to several reasons. The main reason is due to the fact that there are many people out there who made a small or large fortune investing in the Bitcoin on a early stage and has an interest in backing new projects for their new—found riches.
Another reason is the fact that Bitcoins is a very cheap, fast and secure way of backing a project, with very small costs related towards pledging funds. Since there's only a very small transaction cost in sending the money, the project doesn't lose out on any of the funds you are sending them to start up in banking fees.
Furthermore the Bitcoin industry is growing and it's growing fast. Investing in Bitcoin related companies for a small amount of money through Bitcoins could potentially give you a very good return of money in the long run, as it continues to grow in revenues every single month, despite the value having fallen slightly.
Combine these three major reasons along with all the smaller reasons and you can understand why Bitcoin crowd-funding is becoming more and more popular to do. It reaches out to a new crowd of investors who likes to help the common man and the community as well as wanting to see the Bitcoin go even more mainstream than it currently is.
Can You Tell Me Where I Can Find Bitcoin Crowd-funding Sites?
There are many smaller and larger crowd-funding sites out there, some who accept Bitcoins as well as regular payment methods and some who are Bitcoin only. The Bitcoin only crowd-funding sites are usually only for Bitcoin projects, so if you are looking to invest in something Bitcoin related, you can have a look at these sites:
If you're looking for sites branching wider than just Bitcoin related projects, but still accepting Bitcoins as a pledging method, then we recommend that you have a look at this site:
Good luck to everyone looking to invest in projects and help companies and people out with their dreams. We will update this article on a regular basis with more sites where you can find projects.