Crowdfunding as an alternative form of financing in Greece and the Euro Area. Institutional framework, alternative forms, and the role of banks

Abstract

Crowdfunding, as compared to conventional borrowing, allows an innovative form of financing. Crowdfunding is, in principle, open to anybody, including independent people and corporations. The crowd is a group of people who contribute capital to causes, goods, or ideas. Project owners (such as entrepreneurs or private entities) hold these initiatives, goods, or concepts in order to accomplish their endeavor. Founders look for funders directly or through intermediaries, which are internet platforms that aid them discovering potential investors. Crowdfunding is a relatively new phenomena that is getting increasing scientific interest. Hence, this thesis aims to provide a snapshot of this alternative form of financing, the institutional framework and the role of banks.