If appropriately regulated, it has the potential to be a key source of financing for SMEs over the long term. The European Commission has published its report on the EU crowdfunding sector today and has stated that if regulated appropriately, it has the potential to be a useful way of financing for SMEs over the long term. In order to support this initiative, the Commission is proposing an EU-wide regulation which will require all online platforms offering financial services in Europe to register with the Commission. Crowdfunding is growing rapidly in Europe; approximately €4.2bn was raised through crowdfunding platforms in the EU last year, compared to €1.6bn in 2014.
The European Commission has published its report on the EU crowdfunding sector today and has stated that if regulated appropriately, it has the potential to be a useful way of financing for SMEs over the long term. In order to support this initiative, the Commission is proposing an EU-wide regulation which will require all online platforms offering financial services in Europe to register with the Commission. Crowdfunding is growing rapidly in Europe; approximately €4.2bn was raised through crowdfunding platforms in the EU last year, compared to €1.6bn in 2014.