At the beginning of July the Finnish Financial Supervisory Authority (FIN-FSA) published on its website the guidelines for securities crowdfunding in the country, which until then has been working in different ways under to the existing legal framework.
In particular, FIN-FSA distinguishes between:
- loan-based crowdfunding which does not require any specific regulation and it is not subject to supervision by FIN-FSA.
- equity crowdfunding which instead requires an authorisation for those portals that conduct one or more of the following activities: 1) “Bring together parties to a business transaction related to a financial instrument in the manner that enables execution of a transaction between these parties”; 2)Give advice on investments; 3)“offer an issuer of a financial instrument a service for the purpose of acquiring investors”.
The guidelines published by FIN-FSA on crowdfunding represent a further step for the Finnish crowdfunding, which is now officially recognized by the local financial authority. Hopefully the guidelines will bring more clarity and increase the transparency in this young market, fostering even more the growth of the Finnish crowdfunding market.
Finnish Financial Supervisory Authority. http://www.finanssivalvonta.fi/en/Authorisations/crowdfunding/Pages/Default.aspx
Image credit to: Kari Söderholm
Born and raised in Milan, Italy, Irene is an International Business graduate, with a strong interest for innovative ideas that can simplify our lives.
During her studies, she co-founded an online community for sportspeople and worked in marketing positions at Ogilvy & Mather Advertising and at the European Business Angel Network, in Brussels. She is a passionate blogger about crowdfunding and the startup ecosystem.