By Guglielmo de Stefano on 4th April 2016
CrowdfundingHub – the European Expertise Centre on Alternative Finance and Community Finance – today published a report about the state of the crowdfunding industry in 27 different European countries. The study covers all the types of crowdfunding from donation-based to equity-based as well as debt based crowdfunding, which is perhaps more commonly known as p2p lending, or increasingly online lending. CrowdfundingHub has worked with more than 30 experts across all European countries and asked them for reports and data as well as their insights and views on the industry.
Launched in 2015 by Ronald Kleverlaan – an advisor to the European Commission and co-founder of the European Crowdfunding Network – CrowdfundingHub is a research and consultancy network of crowdfunding and alternative finance experts, headquartered in Amsterdam, but with local offices acrossl Europe. The company believes that business innovation and local communities benefit greatly from a quality crowdfunding and alternative finance ecosystem. Its mission is therefore to build that ecosystem and to support the growth of crowdfunding, community finance and other forms of alternative finance.
The report sheds light upon a wide array of topics, from regulatory issues to market volumes. From the long list of insights, it is worth noting that the report highlights a strong correlation between quality of regulation and industry transaction volumes. In other words, the better the regulatory framework, the higher the volumes registered. Furthermore, the report appears to make an urgent call for more transparency and independency for aggregated data and a clear European taxonomy. In the majority of countries there is no data available about total volumes of the industry and even where data is provided, there is increasing disagreement about precise figures. The report offers other interesting results the primary conclusions of which you can read here.
“Our research shows that there is a very strong and positive correlations between governments support and industry growth and maturity. We are happy to see that more countries are now adopting legislations for the industry and we expect crowdfunding volumes to increase even further in the coming years”
The company has also announced the creation of an Alternative Finance Maturity Index, which assess the maturity of the alternative finance spaces of 27 European countries, focusing on 15 research areas, such as degrees of organisation, volumes, level of activity and many more.
The Index highlights the divergences (either positive or negative) the company found when analysing the information provided by European crowdfunding experts. If a country distinguishes itself in a positive manner in a specific research area, CrowdfundingHub coloured this area dark green. In some areas the opposite applies.
Carlien Roodink, manager director of CrowdfundingHub, concluded:
“The Current State of Crowdfunding report is a step in bridging the information gap and provides actors with an updated overview on the industry, but there is still a lot of work to be done,”
You may download the report in full here after the completion of a short form.
N.B. AltFi Data did not contribute to this report.
AltFi is returning to Amsterdam for its second annual Summit in the city. The inaugural event last year was a roaring success, with key figures from across Continental Europe's alternative finance and digital banking sectors highlighted. These included Jeroen Broekema, managing director of Funding Circle Netherlands, and Mieke van Engelen, head of innovative partnerships at ABN AMRO's standalone lending platform, New10.