The Emergence of the Internet

Introduction

        The emergence of the Internet brought to the mankind vast of different opportunities.  One of this special opportunities  in conjunction with the emergence of the social networking sources, creates new phenomena which is closely related to the investment, I might say. Turning up as an independent cultural production, crowdfunding is that exactly phenomenon. Crowdfunding can be defined as “the act of informally generating and distributing funds, usually online, by groups of people for specific social, personal, entertainment or other purposes” [1]

           In my point of view, crowdfunding is an phenomenon which is worth to be discussed and debated by numerous of reasons. First of all, crowdfunding is a viable alternative for people who are lack of  financial support in the works or start-ups. Secondly,  crowdfunding is a kind of mechanism where it would be interesting to understand how the relationship between project initiators and contributors is working and how the legal system affects the effectiveness of crowdfunding [1]. Next point I’d like to mention is about how the emergence of crowdfunding could substitute some business models. As it was mentioned before, crowdfunding plays a significant role in a new business model for some companies and even industries itself, where old business models do not work due to the development of new communication technologies. And the last point I can’t but mention is crowdfunding’s fast moving growth. Since crowdfunding had emerged as an industry, its transaction value has been growing up very fast. Transaction value in crowdfunding segment reached stunning 9,5 billion US dollars in 2018.

Introduction

        The emergence of the Internet brought to the mankind vast of different opportunities.  One of this special opportunities  in conjunction with the emergence of the social networking sources, creates new phenomena which is closely related to the investment, I might say. Turning up as an independent cultural production, crowdfunding is that exactly phenomenon. Crowdfunding can be defined as “the act of informally generating and distributing funds, usually online, by groups of people for specific social, personal, entertainment or other purposes” [1]