Popular crowdfunding platform Kickstarter has announced that it will soon migrate into the blockchain, with the launch of a new company that will t
Popular crowdfunding platform Kickstarter has announced that it will soon migrate into the blockchain, with the launch of a new company that will take its website on to the Celo network. Since its inception in 2009, Kickstarter has helped over 213,000 projects raise more than $6 billion in capital from 21 million users of its platform.
The move comes even as the company has seen some projects migrate to DAOs to raise funding, losing some valuable opportunities as a result. However, with one of the market leaders in crowdfunding going the DAO way itself, the blockchain-based model is sure to gain considerable traction in the mainstream in the coming year.
According to a Bloomberg report, Kickstarter will move its website to the Celo blockchain in 2022, with a white paper due for release in the coming weeks. The firm will also set up a governance lab to oversee the development of the protocol governance of this new platform, with the executive direct and co-founder at Purpose Foundation, Camille Canon, tasked with this responsibility.
In some ways, Kickstarter was a pioneer in P2P crowdfunding, although it lacked the decentralization that blockchain’s infrastructure offers. The platform was and is one of the leading names in web-based fundraising, letting people pitch their idea directly to its users and receiving funds from them towards realizing its development. In return, it offers users who pledge their support access to an eventual version of the product or service in addition to some extra features, something on the lines of pre-ordering.
According to Kickstarter’s founder Perry Chen and CEO Aziz Hasan, “We are entering a significant moment for alternative governance models, and we think there’s an important opportunity to advance these efforts using the blockchain. We think bringing all that we’ve learned about crowdfunding since 2009 to inform the development of a decentralized protocol will open up exciting new opportunities for creative projects to come to life.”
www.fxleaders.com