Crowdfunding has started to take ground in Asia as well and the countries in the region are reacting to this innovation quite promptly. After India and Japan, it’s now Malaysia’s turn, which just released a set of drafted rules for equity crowdfunding.
The future of Asia’s crowdfunding industry is looking to change in a highly promising manner as a number of countries have pronounced their ambitions for crowdfunding. Singapore aspires to be the crowdfunding capital of the region, and has pronounced this claim by hosting the very first Asian crowdfunding summit, a promising first step.
According to recent forecasts, China is expected to become the largest economy in the world by the end of this year. What if securities crowdfunding is allowed there? And what if it happens even before Title III is released?
More and more national regulators are working to provide a legal framework to allow securities crowdfunding. After many Western countries, like the US, the UK, France and Italy, securities crowdfunding entered in the agenda of some Eastern countries’ financial authorities too, like Japan’s and Australia’s. It is now the turn of India, where the Securities and Exchange Board of India (SEBI) has launched in the past week a public consultation on the drafted rules for securities crowdfunding.
On March 14th 2014, Japan’s Prime Minister Abe and his Cabinet approved a de-regulation of equity fundraising to the Financial Instruments and Exchange Law paving the way for companies, especially startups, to raise finance through crowdfunding.
In the last couple of years, crowdfunding has emerged in six different continents, as Crowd Valley’s recently published report shows. From USA to France, from Nigeria to Australia, the company has received requests for crowdfunding services and technologies from many countries. But what about China? What is the situation for crowdfunding there? Could a democratic financing mechanism, like crowdfunding, establish itself in the Chinese Republic?