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Crowdfunding and risk / by David A. Cimon.FB3-5/2023-28E-PDF

"This paper examines the role of rewards-based and equity-based crowdfunding in funding new businesses. In this model, crowdfunding is a unique technology that serves as a real option for production and eliminates downside risk. It affords entrepreneurs who face uncertain consumer demand a viable means of funding new projects. Crowdfunding performs well for projects with a high variability in demand and a low probability of success. Conversely, crowdfunding does not perform well for large projects with little variability in demand or for projects where the production side is uncertain"--Abstract.

Permanent link to this Catalogue record:
publications.gc.ca/pub?id=9.927445&sl=0

Publication information
Department/Agency
  • Bank of Canada, issuing body.
TitleCrowdfunding and risk / by David A. Cimon.
Series title
  • Staff working paper = Document de travail du personnel, 1701-9397 ; 2023-28
Publication typeMonograph - View Master Record
Language[English]
FormatDigital text
Electronic document
Note(s)
  • "Last updated: May 29, 2023."
  • Includes bibliographical references.
  • Includes abstract in French.
Publishing information
  • [Ottawa] : Bank of Canada = Banque du Canada, 2023.
  • ©2023
Author / Contributor
  • Cimon, David A., author.
Description1 online resource (ii, 38 pages).
Catalogue number
  • FB3-5/2023-28E-PDF
Subject terms
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