Lately we have mostly heard talking about China in relation to the booming market of peer to peer lending. Little instead has been said on equity crowdfunding, at least since December 2014 when the Chinese Securities Regulatory Commission (CSRC) released a draft of private equity crowdfunding rules. However at the end of September, online investing in equity capital came up on the news where the government has declared its intention of doing more to promote the financing tool in China.
Singapore Exchange, one of Asia’s leading stock markets, has begun considering the feasibility of an equity crowdfunding platform for early-stage companies, and has formed a team focused on small and medium-sized enterprises.
After the US and Europe, crowdinvesting is slowly developing in Asia as well. Most of the activity is concentrated around equity crowdfunding, with Malaysia’s new crowdfunding regulations and Japan’s crowdfunding bill, allowing companies to raise equity capital through crowdfunding portals. However, little is known about peer-to-peer lending in the area, which in Western countries is instead showing great potential.
Securities crowdfunding in Malaysia is developing incredibly fast, pushing the country in a leading position in the area. In fact, in August 2014, the Securities Commission of Malaysia (SC) launched a public consultation on proposed regulations for crowdinvesting. On that occasion, Crowd Valley published an article, explaining the drafted legal framework. Now that the public consultation is over, SC has released a document with the comments received and the changes proposed.