The European Commission has published a Communication on crowdfunding together with frequently asked questions.
The Communication first discusses what crowdfunding is and then covers the key challenges under the following headings:
- lack of transparency on the applicable rules;
- how crowdfunding works in the EU internal market;
- how crowdfunding works within the financial ecosystem;
- promoting crowdfunding through raising awareness and building confidence; and
- possibilities for matched (public and private) financing.
In the final section of the Communication, the Commission discusses the way forward. To get a better overview on how crowdfunding fits in the wider financial ecosystem and which projects use what type of crowdfunding, the Commission will carry out a study in 2014. In a separate study, the Commission will explore the potential of crowdfunding to support research and innovation, and in the context of this study it will reflect on the role which tax incentives could play in relation to crowdfunding for research and development and innovation.
The Commission will also set up a European Crowdfunding Stakeholder Forum as an expert group of high level representatives of associations of concerned stakeholder groups and national authorities to help it raise awareness and identify the issues to enable crowdfunding to flourish.
The Commission will launch a study to examine the existing national self-regulatory bodies and their rules, as well as their effectiveness and limitations, and will explore the potential of establishing a European quality label.
View Commission roadmap to meet the long-term financing needs of the European economy, 27 March 2013