What is crowdfunding?
According to MAS (Consultation Paper)
last revised on February 2015
"1.1 Crowdfunding generally refers to a capital-raising approach that seeks to raise funds from a large number of individuals. Typically, funds are raised through an online platform using the following forms of crowdfunding:
(a) Donation-based crowdfunding
(b) Reward-based crowdfunding
(c) Lending-based crowdfunding
(d) Equity-based crowdfunding"
Crowdfunding generally refers to raising money through leveraging from an online community (e.g Kickstarter, Indiegogo) and circumventing the utilisation of banks or venture capital funds. In Singapore, Securities-Based Crowdfunding (SCF) platforms are regulated through a Capital Markets Services License (CMSL) requirements under the Securities and Futures Act (SFA).