Insights & Emerging Trends
As the second half of 2025 unfolds, the crowdfunding industry continues to show resilience and evolution across regulation, platforms, and innovation. With increased adoption of Reg CF and Reg A+ models, new digital tools, and expanding global regulations, startup fundraising is becoming more accessible, data-driven, and investor-friendly. Below is a concise summary of key industry developments for Q3 2025.
Market Outlook: Resilient Growth Despite Headwinds
The global crowdfunding market is on track to exceed $20 billion by 2025, with compound annual growth projected at 16.98% through 2029. While 2024 saw some contraction in equity crowdfunding volumes, the underlying market remains healthy and poised for expansion, especially in North America and Western Europe.
In June 2025 alone, Reg CF campaigns raised $24 million, with sustained average check sizes from retail investors around $1,500. In total, 2024’s Reg CF funding volume reached $343.6 million, down slightly year-over-year but indicating steady interest in retail participation.
Regulation A+ and CF: Solid Foundations, Expanding Potential
Regulation A+ continues to provide mid-market companies with an efficient capital-raising framework. In 2024, leading Reg A+ platforms such as DealMaker helped issuers raise $123 million. The ability to “test the waters” and raise from both accredited and non-accredited investors makes this structure especially appealing for consumer-facing and community-driven businesses.
Meanwhile, Reg CF remains dominant for early-stage startups looking to validate market traction. The median campaign size under Reg CF continues to rise, with a noticeable uptick in participation from Gen Z and millennial investors.
Global Regulatory Reforms: UK & EU Lead the Way
Significant regulatory shifts are reshaping the global crowdfunding landscape:
- United Kingdom (FCA): In July 2025, the FCA announced reforms allowing public offerings of up to 75% of a company’s share capital without the need for a prospectus. The changes aim to streamline IPOs and reduce friction for growth-stage private companies entering public markets.
- European Union: The EU’s new cross-border crowdfunding regulations increased the exemption threshold from €1 million to €8 million, greatly expanding access to capital for small and medium-sized enterprises.
Emerging Innovations: Tokenization, Smart Contracts & Liquidity
Tokenized securities and blockchain-based investment models are gaining traction in private capital markets. Companies are now exploring the use of stablecoins, smart contracts, and tokenized equity to reduce transaction costs, create programmatic compliance, and offer secondary liquidity via digital exchanges.
Recent research from the academic community and digital securities platforms suggests that tokenized crowdfunding could unlock a new class of fractional, borderless investment opportunities, especially in real estate and infrastructure.
Platform Trends & Campaign Innovation
- Kickstarter introduced a “Pledge Over Time” feature in 2025, allowing backers to split contributions into monthly payments. This is expected to increase campaign commitment and total pledge size across high-ticket consumer categories.
- Spill, a rising social media platform, successfully launched an equity crowdfunding round in Q1 2025 following a 280% growth in users—illustrating the growing appeal of community-driven fundraising models.
Crowdfunding is now a mature, highly regulated, and increasingly data-driven part of the startup capital stack. Founders are no longer choosing between traditional VC and crowdfunding—they are integrating both, leveraging community capital to validate markets, build momentum, and fuel scale.
As the ecosystem embraces tokenization, regulatory harmonization, and AI-powered marketing, crowdfunding stands to play a central role in democratizing access to capital and reshaping early-stage investment worldwide.
