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Thanks for the clarification but I'd guess in due time the FTC will rule this is investment. Its inherent even in the name "crowdfunding".

• cwyers 11y ago
  https://www.kickstarter.com/hello https://www.kickstarter.com/hello "4. Creators keep 100% ownership of their work. Backers are supporting projects to help them come to life, not to profit financially. Instead, project creators offer rewards to thank backers for their support. Backers of an effort to make a book or film, for example, often get a copy of the finished work. A bigger pledge to a film project might get you into the premiere — or land you a private screening for you and your friends. One artist raised funds to create a wall installation, then gave pieces of it to her backers when the exhibit end." https://www.kickstarter.com/help/faq/kickstarter+basics?ref=footer https://www.kickstarter.com/help/faq/kickstarter+basics?ref=... "What do backers get in return? Backers that support a project on Kickstarter get an inside look at the creative process, and help that project come to life. They also get to choose from a variety of unique rewards offered by the project creator. Rewards vary from project to project, but often include a copy of what is being produced (CD, DVD, book, etc.) or an experience unique to the project. Project creators keep 100% ownership of their work, and Kickstarter cannot be used to offer equity, financial returns, or to solicit loans." https://www.kickstarter.com/rules?ref=footer https://www.kickstarter.com/rules?ref=footer "Projects can’t fundraise for charity, offer financial incentives, or involve prohibited items. We’re all in favor of charity and investment, but they’re not permitted on Kickstarter. Projects can’t promise to donate funds raised to a charity or cause, and they can’t offer financial incentives like equity or repayment. We also can’t allow any of these prohibited things." They are incredibly clear about this. Backing a project on Kickstarter is not an investment.
  • reagency 11y ago
    KS also claims to not be a store. It is disingenuous to try to have it both ways. If KS weren't fraudulent, they would remove the ability to promise rewards that don't exist.
    • cwyers 11y ago
      > KS also claims to not be a store. It is disingenuous to try to have it both ways. Well, maybe they're both not a store and not an investment platform?
• anigbrowl 11y ago
  It's the SEC's job to determine that, and writing the rules is taking a long time, which is why title III of the JOBS act, which relates to small-scale equity crowdfunding, has been delayed. Look, you really don't know what you're talking about here. I'm not saying that to make you feel bad, but to point out that some of your beliefs about how these things work have no basis in fact and you could end up making expensive mistakes if you act on those beliefs. Try this simple overview of the issue and follow some of the links within to learn about the legal realities of crowdfunding-as-an-investment: http://www.forbes.com/sites/mraneri/2015/04/16/who-needs-equity-crowdfunding-3-critical-questions-about-title-iii-of-the-jobs-act/ http://www.forbes.com/sites/mraneri/2015/04/16/who-needs-equ... I understand that it may seem like a distinction without a difference to you, but if you were ever to set up a crowdfunding campaign of your own based on this viewpoint you could run into all sorts of problems.