Snapshot img

Crowdfunding Market Size 2025-2029

The crowdfunding market size is forecast to increase by USD 540.1 billion at a CAGR of 20.5% between 2024 and 2029.

The market continues to experience significant growth, driven by the increasing use of social media as a promotional tool for campaigns and a source of free-of-cost promotion and the emergence of P2P lending. This trend is particularly prevalent among entrepreneurs and innovators seeking to bring new products and ideas to market. 
However, the high time-consuming process of running a successful crowdfunding campaign remains a challenge for many. Despite this, the market's strategic landscape presents ample opportunities for companies seeking to capitalize on the trend towards decentralized funding. Trends such as the increasing popularity of reward-based and equity crowdfunding models, rise of social networking, as well as the growing number of niche platforms catering to specific industries and communities, offer promising avenues for growth. 
Companies looking to navigate this dynamic market effectively should focus on streamlining their campaign processes, leveraging social media for promotion, and building strong relationships with their backers to ensure long-term success.

What will be the Size of the Crowdfunding Market During the Forecast Period?

Request Free Sample

Equity crowdfunding and donation-based campaigns are popular forms of crowdfunding, with social media platforms and government efforts playing a crucial role in expanding reach and visibility. Social networking sites have emerged as key influencers in donor decisions, with charities and startup companies leveraging these platforms to engage with potential contributors. Overall, the market's size and direction reflect a dynamic and evolving landscape, offering numerous opportunities for growth and innovation.

How is this Crowdfunding Industry segmented?

The crowdfunding industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Type

  P2P lending
  Equity investment
  Hybrid
  Reward
  Others


Deployment

  On-premises
  Cloud


Application

  Food & Beverage
  Technology
  Media


End-user

  Startups
  NGO
  Individuals


Geography

  APAC

    China
    India
    Japan


  Europe

    Germany
    UK
    France
    Italy


  North America

    Canada
    US


  South America



  Middle East and Africa

By Type Insights

The P2P lending segment is estimated to witness significant growth during the forecast period. The peer-to-peer (P2P) the market allows individuals to lend money directly to borrowers outside of traditional financial institutions. This model, which has gained significant traction, is driven by several factors. First, P2P lending enables individuals to access funds more quickly than through banks, as loans are often liquidated before the end of the loan term. Second, online platforms facilitate the accumulation of minor investments, providing essential financing for small businesses. Lastly, earnings from P2P lending are considered part of a personal savings allowance, making it an attractive option for potential investors. The market expansion is influenced by the use of technology, such as artificial intelligence and machine learning, and the ability to reach a global audience through social media platforms.

Get a glance at the share of various segments. Request Free Sample

The P2P lending segment was valued at USD 70.70 billion in 2019 and showed a gradual increase during the forecast period.

Regional Analysis

APAC is estimated to contribute 45% to the growth of the global market during the forecast period. Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

For more insights on the market share of various regions, Request Free Sample

The market is witnessing substantial expansion In the Asia-Pacific region, fueled primarily by the rising Internet and use of smartphones, as well as the proliferation of social media. This digital evolution enables the creation of credible connections through brief communications, thereby fostering the acceptance of the peer-to-peer (P2P) business model In the region. Notable players In the APAC market include Chuffed.Org Pty Ltd., Ketto Online Ventures Pvt Ltd., and Wishberry Online Services Pvt. Ltd. The selection of an appropriate crowdfunding platform is crucial, contingent upon the nature of the project. For instance, small businesses, charities, and individual projects are more suited to platforms like GoFundMe.

In contrast, large projects and start-up companies in search of investors would benefit from utilizing peer-to-business lending platforms. Crowdfundi

The global crowd lending and crowd investing market is estimated to be valued at $19.57 billion in 2023, and is projected to reach $44.22 billion by 2033, exhibiting a CAGR of 10.98% during the forecast period. The market's growth is attributed to the rising popularity of alternative financing options, increasing awareness about crowd lending and crowd investing platforms, and the growing acceptance of digital technologies in financial transactions. The market is segmented into various categories based on type, platform type, investor type, industry, and region. Crowd lending accounted for the largest share of the market in 2023 and is expected to continue dominating throughout the forecast period. Equity-based platforms are expected to witness the highest growth rate during the forecast period, owing to the increasing popularity of equity crowdfunding as an alternative investment option for small businesses and startups. Retail investors are expected to remain the largest investor type segment throughout the forecast period. The real estate industry is expected to account for the largest share of the market, followed by the social enterprise industry. North America is expected to hold the largest regional market share throughout the forecast period, followed by Europe and Asia Pacific. Key drivers for this market are: Increased fintech adoption, Diverse investor demographics; Growth in alternative funding sources; Expansion into emerging markets; Enhanced regulatory frameworks. Potential restraints include: Regulatory changes, Technological advancements; Increasing investor appetite; Diverse funding platforms; Enhanced borrower accessibility.

On European crowdfunding platforms, backers' age distributions varied greatly by model and region in 2022. In the equity model, investors aged 36-45 were the predominant group in Eastern Europe, accounting for 97 percent of investors in 2022. In Northern Europe, the market was dominated by even younger investors, aged 26-35, who made up 73 percent. Conversely, in Western Europe, older investors, aged 46 and above, were the dominant group, representing 63 percent of investors. In Southern Europe, however, no single age group dominated the market, showing a more balanced distribution across different age groups.

Global Crowdlending is segmented by Application (Finance Industry, Fintech, Investment, Lending, Crowdfunding), Type (Peer-to-Peer Lending, Crowdfunding, Alternative Finance, Fintech, Crowdsourcing) and Geography(North America, LATAM, West Europe, Central & Eastern Europe, Northern Europe, Southern Europe, East Asia, Southeast Asia, South Asia, Central Asia, Oceania, MEA)

The Crowdfunding Market Trends is Segmented by Product Type (Reward-Based Crowdfunding, Equity Crowdfunding, Donation, and Other Product Types), End-User Applications (Cultural Sector, Technology, Product, and Healthcare), and Geography (North America, Europe, Asia-Pacific, Middle East & Africa, and Latin America). The Market Sizes and Forecasts are Provided in Terms of Value (USD) for all the Above Segments.

The product crowdfunding market is experiencing robust growth, driven by increasing consumer preference for unique products, the desire for early access to innovative offerings, and the empowerment of creators to bypass traditional funding channels. The market size in 2025 is estimated at $15 billion, demonstrating significant expansion from its 2019 level. This robust growth trajectory is projected to continue, with a Compound Annual Growth Rate (CAGR) of 15% forecasted from 2025 to 2033. This substantial CAGR is fueled by several key factors, including the expansion of platforms catering to diverse product categories and funding models (donation, debt, rewards, equity), coupled with heightened technological adoption and increased investor confidence in the crowdfunding model. The market's segmentation, encompassing diverse product applications across individual creators and startup companies, further enhances its growth potential. The increasing sophistication of crowdfunding platforms, improved marketing capabilities, and enhanced due diligence procedures are also contributing factors to this positive outlook. The geographic distribution of this market showcases significant regional variations. North America currently holds the largest market share, boosted by a high concentration of crowdfunding platforms and a culture that strongly supports entrepreneurial ventures. However, Asia Pacific, particularly China and India, demonstrates considerable growth potential, driven by rising disposable incomes and a surge in online engagement. Europe's mature market is also projected to continue its steady expansion, further diversifying the global landscape of product crowdfunding. Despite these positive trends, certain restraints exist, including regulatory complexities, challenges in managing risk and fraud, and the need for improved financial literacy among both creators and backers. Overcoming these challenges will be crucial in realizing the full potential of this dynamic and rapidly evolving market.

The size and share of the market is categorized based on Type (Lending, Equity) and Application (Individual, Institutional) and geographical regions (North America, Europe, Asia-Pacific, South America, and Middle-East and Africa).

According to Cognitive Market Research, the global Corporate Crowdfunding market size will be USD xx million in 2024. It will expand at a compound annual growth rate (CAGR) of 18.20% from 2024 to 2031.

North America held the major market share for more than 40% of the global revenue with a market size of USD XX million in 2024 and will grow at a compound annual growth rate (CAGR) of 16.4% from 2024 to 2031.
Europe accounted for a market share of over 30% of the global revenue with a market size of USD XX million.
Asia Pacific held a market share of around 23% of the global revenue with a market size of USD XX million in 2024 and will grow at a compound annual growth rate (CAGR) of 20.2% from 2024 to 2031.
Latin America had a market share of more than 5% of the global revenue with a market size of USD XX million in 2024 and will grow at a compound annual growth rate (CAGR) of 17.6% from 2024 to 2031.
Middle East and Africa had a market share of around 2% of the global revenue and was estimated at a market size of USD XX million in 2024 and will grow at a compound annual growth rate (CAGR) of 17.9% from 2024 to 2031.
The Equity-based crowdfunding is the fastest growing segment of the Corporate Crowdfunding industry

Market Dynamics of Corporate Crowdfunding Market

Key Drivers for Corporate Crowdfunding Market

Increased Access to Capital to Boost Market Growth

Corporate crowdfunding provides startups and small companies with an available opportunity to traditional financing methods such as project capital or bank loans. By leveraging crowdfunding systems, agencies can reach a large community of capability buyers who are curious about helping modern initiatives. This technique democratizes entry to capital, allowing organizations to make stable investments from various institutions of members. Unlike conventional techniques, which could require enormous connections or stringent qualifications, crowdfunding offers a greater inclusive and bendy approach to raising the budget, empowering businesses to develop and succeed in an aggressive market.

Expansion of the Enhanced Investor Engagement to Drive Market Growth

Crowdfunding platforms foster better investor engagement by helping agencies construct a devoted network of supporters who are certainly enthusiastic about their services or products. This lively involvement often interprets into valuable feedback that could force product improvements and innovation. Additionally, engaged investors are more likely to grow to be dependable customers and advocates, contributing to the logo boom and marketplace reach. The dynamic interaction between organizations and their crowdfunding backers no longer best strengthens the enterprise's courting with its investor base; however additionally offers opportunities for direct customer acquisition and marketplace validation.

Restraint Factor for the Corporate Crowdfunding Market

Regulatory Challenges, will Limit Market Growth

The regulatory landscape for corporate crowdfunding is often complicated and varies drastically between jurisdictions. This inconsistency can create uncertainty for businesses in search of to elevate finances and may restrict market growth. Different regions have distinct guidelines regarding investor protections, reporting requirements, and platform operations, which could complicate compliance for companies operating across the world. Navigating these regulatory variations may be difficult and can require significant prison and administrative resources. As a result, the need for standardized guidelines throughout borders can restrict the scalability and beauty of crowdfunding as a financing alternative for organizations trying to increase globally.

Impact of Covid-19 on the Corporate Crowdfunding Market

The COVID-19 pandemic had a mixed impact on the corporate crowdfunding marketplace. On the one hand, financial uncertainty and disruptions caused multiplied interest in opportunity funding sources, boosting crowdfunding pastime as companies sought bendy financing solutions. On the opposite hand, some crowdfunding campaigns faced challenges due to delays, logistical issues, and heightened risk aversion among traders. The pandemic also extended the adoption of digital platforms, enhancing the reach and performance of crowdfunding efforts. Overall, even as the marketplace experienced growth pushed through heightened demand for numerous funding alternatives, i...

In 2024, North America was the region with the highest volume of capital raised through digital capital raising platforms. The region raised over 36 billion U.S. dollars. It was followed by APAC, with roughly 19.9 billion U.S. dollars raised. Europe ranked third, with 10.41 billion U.S. dollars raised through digital capital raising. These figures include capital raised through crowdinvesting, crowdlending, marketplace lending, and reward-based crowdfunding.

The investment crowdfunding market is experiencing robust growth, driven by increased accessibility to capital for startups and small businesses, coupled with a growing appetite among investors for alternative investment opportunities. The market, estimated at $15 billion in 2025, is projected to exhibit a Compound Annual Growth Rate (CAGR) of 15% from 2025 to 2033, reaching approximately $50 billion by 2033. This expansion is fueled by several key factors. Technological advancements, particularly in fintech and online platforms, have significantly streamlined the investment process, lowering barriers to entry for both entrepreneurs seeking funding and investors seeking diversification. Furthermore, regulatory changes in several key markets are fostering greater trust and transparency within the industry, attracting a broader range of participants. The increasing popularity of equity crowdfunding, allowing investors to own a piece of a company, is a major contributing factor. Segmentation reveals a dynamic landscape, with significant growth observed across diverse application sectors, including technology, healthcare, and cultural industries. While North America currently dominates market share, strong growth is anticipated in Asia-Pacific and Europe, fueled by increasing digital adoption and entrepreneurial activity in these regions. However, challenges remain, including regulatory uncertainties in some emerging markets, and the inherent risks associated with early-stage investments. Platforms need to continue improving security measures and investor education to mitigate risks and sustain long-term growth. The major players in the investment crowdfunding landscape – including WeFunder, AngelList, Republic, and others – are constantly innovating to enhance their platforms' user experience, expand their investor base, and improve due diligence processes. The competitive landscape is characterized by both platform consolidation and the emergence of niche players catering to specific sectors or investor profiles. The market's future trajectory depends largely on maintaining regulatory clarity, fostering investor education and confidence, and continuing technological advancements that enhance accessibility, security, and transparency. The ongoing evolution of crowdfunding regulations across different jurisdictions will significantly shape the industry's global growth trajectory in the coming years. This dynamic interplay of technological innovation, regulatory developments, and investor sentiment will define the future shape and scope of the investment crowdfunding market.

The global product crowdfunding market is experiencing robust growth, driven by increasing entrepreneurial activity, readily available online platforms, and a growing preference among consumers for supporting innovative products. The market, estimated at $15 billion in 2025, is projected to achieve a Compound Annual Growth Rate (CAGR) of 18% from 2025 to 2033. This significant expansion is fueled by several factors. The rise of digital platforms like Kickstarter and Indiegogo has significantly lowered the barrier to entry for both creators and backers, fostering a vibrant ecosystem of product development and funding. Furthermore, evolving consumer behavior, including a greater willingness to support creative projects and early-stage ventures, plays a pivotal role. The diverse range of funding models – donation-based, debt-based, rewards-based, and equity-based crowdfunding – caters to varying project needs and investor preferences, further boosting market growth. Specific segments, such as rewards-based crowdfunding, are experiencing particularly rapid growth due to their appeal to both creators and consumers. While regulatory uncertainties and the inherent risks associated with early-stage investments represent challenges, the overall market outlook remains extremely positive. Geographical distribution shows a concentration of activity in North America and Europe, with significant potential for expansion in Asia-Pacific, fueled by rapidly developing digital infrastructure and a rising middle class. The segmentation by application (individual creators vs. startups) and funding type (donation, debt, rewards, equity) reveals diverse market dynamics within the crowdfunding sector. Startups are increasingly utilizing crowdfunding for initial capital, while individual creators rely on it for product launch and validation. The success of specific platforms like Kickstarter and Indiegogo showcases the power of effective marketing and community building in driving campaign success. The continued evolution of crowdfunding platforms to integrate innovative features, such as improved risk management tools and enhanced investor protection mechanisms, will further shape this dynamic and growing market. Future growth will likely be driven by increased adoption of blockchain technology for enhanced transparency and security, fostering trust and increasing participation from both creators and investors.

Snapshot img

Alternative Finance Market Size 2024-2028

The alternative finance market size is estimated to increase by USD 64.3 billion at a CAGR of 7.44% between 2023 and 2028. The key factor driving the market forward is the potential for higher returns for investors. Alternative finance channels offer significantly greater returns compared to traditional investment options like fixed deposits (FDs) or government bonds from conventional financial institutions. Another important contributor to market growth is the rapid expansion in the APAC region and the increasing focus on structured finance. Alternative finance platforms, such as P2P lending, crowdfunding, and invoice trading, are gaining traction in APAC, driven by the presence of numerous small and medium-sized enterprises (SMEs).

What will be the Size of the Alternative Finance Market During the Forecast Period?

To learn more about this alternative finance market report, Download Report Sample

Alternative Finance Market Segmentation

The alternative finance market research report provides comprehensive data (region wise segment analysis), with forecasts and estimates in 'USD Billion' for the period 2024 to 2028, as well as historical data from 2018 to 2022 for the following segments.

Type Outlook 

  P2P lending
  Crowdfunding
  Invoice trading





End-User Outlook

  Individual
  Organization





Region Outlook

  North America

    The U.S.
    Canada





  Europe

    The U.K.
    Germany
    France
    Rest of Europe





  APAC

    China
    India


  South America

    Chile
    Argentina
    Brazil





  Middle East & Africa

    Saudi Arabia
    South Africa
    Rest of the Middle East & Africa

By Type

The alternative financing market share growth in the segment of P2P lending will be significant during the forecast period. The P2P consumer lending sub-segment holds a major share of the P2P lending segment due to the growth in the number of online consumer lending platforms and the increasing use of technology in financial transactions. Some popular P2P lending platforms include LendingClub, Zopa, Bondora Capital, Prosper Marketplace, and Upstart Network. However, P2P lending is associated with a high risk of defaults as the loans are unsecured. Therefore, large investors usually maintain a spread portfolio of their investments. P2P lending is also associated with challenges such as platform failures, the risk of fraud, hacking, and data theft. These factors are expected to augment the demand of the P2P lending segment hence driving the growth of the market in focus during the forecast period.

Get a glance at the market contribution of various segments. Request PDF Sample

The P2P lending segment was valued at USD 123.70 billion in 2018. In this segment, P2P lending is similar to credit obtained from financial institutions. However, the funds are raised from one or more independent investors. P2P borrowers must make weekly or monthly repayments of the principal amount with interest. P2P lending is usually carried out through online platforms. Investors directly select businesses to fund, or the lending platforms provide the terms of credit. Some variations in the model allow investors to bid on loan amounts and interest rates through an online auction. P2P lending is popular among individual borrowers and SMEs, as small to medium-scale loans can be obtained easily. Several individuals opt for P2P loans for debt consolidation, which allows them to pay debts accrued from credit cards or loans from financial institutions.

By Region

For more insights on the market share of various regions, Request PDF Sample now!

North America is estimated to contribute 70% to the global alternative financing market during the forecast period. Technavio's analysts have elaborately explained the regional market growth and trends that shape the market during the forecast period. The growth of P2P lending and crowdfunding has increased significantly in North America. The increasing number of students, growing awareness about clearing personal debt, rising Internet penetration, technological advances, the rise of online trading platforms and finance platforms, and the presence of prominent companies are the major factors driving the market in North America. The number of SMEs has grown significantly in North America. Therefore, a growing number of SMEs in this region are boosting the growth in North America.

Alternative Finance Market Dynamics

The market is reshaping the landscape traditionally dominated by conventional big banks and regulated banks. Instead of relying solely on traditional finance systems, entrepreneurs and investors are increasingly turning to alternative lenders and innovative financial services solutions. Online lenders offer streamlined access to capital, while reward-based crowdfunding and equity-based crowdfunding present opp

The Peer-to-Peer (P2P) lending market is experiencing robust growth, projected to reach a market size of $180 billion in 2025, expanding at a remarkable Compound Annual Growth Rate (CAGR) of 39%. This surge is driven by several factors. Increasing financial inclusion, particularly for underserved borrowers who may lack access to traditional lending institutions, is a key driver. Technological advancements, such as improved risk assessment algorithms and streamlined online platforms, are facilitating greater efficiency and transparency in the lending process. Furthermore, the growing preference for alternative financing options among both borrowers and lenders, seeking potentially higher returns and lower interest rates respectively, fuels market expansion. The market is segmented into traditional P2P lending and marketplace lending, with the latter gaining significant traction due to its scalability and broader reach. Despite the rapid growth, the P2P lending market faces certain challenges. Regulatory uncertainty and concerns regarding risk management remain significant hurdles in several regions. The potential for defaults and the need for robust credit scoring mechanisms are crucial considerations for maintaining market stability. Competition from established financial institutions offering similar products is also intensifying. However, the overall market outlook remains positive, with continued innovation and regulatory clarity expected to drive further expansion. The geographic distribution is diverse, with North America and Europe currently holding the largest market shares, but rapid growth is anticipated in Asia-Pacific and other emerging markets, driven by increasing internet and mobile penetration. This presents significant opportunities for established and emerging players in the P2P lending space.

The size and share of the market is categorized based on Type (Equity, Lending) and Application (Commercial & Industrial, Residential, Others) and geographical regions (North America, Europe, Asia-Pacific, South America, and Middle-East and Africa).

In 2023, business angels represented the largest share of the European VC investment market, followed by seed-stage venture capital (VC) and equity crowdfunding. Business angels invested an estimated 1.25 billion euros, while one billion was raised through equity crowdfunding, and 240 million euros came from seed stage VC investments.

The global white label crowdfunding platforms market is anticipated to exhibit a robust CAGR of XX% during the forecast period, reaching a market size of million by 2033. This growth can be attributed to the increasing popularity of online fundraising, the growing adoption of alternative financing models, and the rising demand for customized crowdfunding solutions. North America and Europe are expected to remain the dominant regional markets, while Asia Pacific is poised to witness significant growth due to the rapid development of the crowdfunding ecosystem in the region. Key market drivers include the increasing number of startups and small businesses seeking alternative funding sources, the growing awareness of crowdfunding among investors, and the regulatory frameworks that support crowdfunding activities. Key trends shaping the market include the emergence of niche crowdfunding platforms, the integration of blockchain technology, and the use of artificial intelligence to improve fundraising campaigns. Restraints to market growth may include data security concerns, regulatory challenges, and competition from traditional financial institutions. The global white label crowdfunding platforms market is projected to reach USD 114.62 million by 2028, exhibiting a CAGR of 10.8% during the forecast period, owing to the rising adoption of digital fundraising platforms and the increasing popularity of alternative finance options. The growing number of startups and SMEs seeking alternative funding sources and the increasing awareness of crowdfunding among investors are key factors driving market growth.

The global equity crowdfunding services market is projected to grow significantly, reaching a market size of XXX million by 2025 and a CAGR of XX% during the forecast period of 2025-2033. The market growth is attributed to the increasing need for alternative funding options for startups and small businesses, the rise of digital platforms, and the growing popularity of crowdfunding as an investment tool. However, the market faces challenges such as regulatory complexities and fraud concerns. Key drivers of the market include the increasing number of startups and small businesses seeking alternative funding solutions, the growing awareness of crowdfunding platforms, and the increasing adoption of technology to streamline the crowdfunding process. The market is segmented by type (startups, businesses, small businesses, medium businesses), application (food and beverage, fintech, internet, consumer goods, others), and region (North America, South America, Europe, Middle East & Africa, Asia Pacific). North America is the largest market, followed by Europe and Asia Pacific. Key players in the market include CircleUp, PeerRealty, WeFunder, Angel List, Seedrs, Republic, StartEngine, MicroVentures, Fundable, EquityNet, Localstake, SeedInvest, Crowdfunder, Netcapital, Mainvest, Equifund, Trucrowd, Honeycomb Credit, OurCrowd, PropertyShare, Crowdcube, Fundrise, and Propel(x).

The global equity crowdfunding market is estimated to reach $3105.6 million in 2025 and is projected to grow at a CAGR of XX% during the forecast period 2025-2033. The market is driven by the increasing popularity of alternative investment options, the growing number of startups and small businesses seeking funding, and the increasing adoption of technology in the financial sector. Additionally, government regulations are becoming more favorable towards equity crowdfunding, which is further driving the market growth. The major segments of the market include startups, small businesses, and medium businesses. The major applications of equity crowdfunding include cultural industries, technology, product, healthcare, and others. The key players in the global equity crowdfunding market include WeFunder, Angel List, Republic, StartEngine, MicroVentures, Fundable, EquityNet, Localstake, SeedInvest, Crowdfunder, Netcapital, Mainvest, Equifund, Trucrowd, Honeycomb Credit, Buy the Block, and others. The market is concentrated in North America, followed by Europe and Asia Pacific. The market is expected to grow significantly in the Asia Pacific region during the forecast period due to the increasing number of startups and small businesses in the region. Equity crowdfunding has emerged as a transformative force in the financial landscape, democratizing access to capital for businesses of all sizes. This dynamic industry has witnessed a surge in popularity, with companies raising significant funds to fuel their growth and expansion. This comprehensive report provides an in-depth analysis of the equity crowdfunding market, highlighting key trends, driving forces, challenges, and future growth prospects.