Cyril Ebersweller believes that the crowdfunding platform is set to expand significantly.
On Monday, the platform unveiled a more relaxed set of guidelines for launching projects, and Ebersweller, a regular supporter of various initiatives, is optimistic that these changes will open the door to a wider assortment of campaigns, potentially attracting larger contributions as well. He notes that individuals previously unable to seek funding now have “a new avenue” to promote their projects.
Longtime investors echo this sentiment, and it is likely that the platform is aiming for this effect. As competition intensifies from other crowdfunding sites that permit a broader range of projects, the platform is adapting accordingly. The updated rules are simpler and shorter, eliminating restrictions on specific types of initiatives and allowing creators to launch campaigns without prior approval from community managers. Initially focused on funding arts-related projects, the platform is now evolving to include various sectors, including software and a wide range of hardware devices.
Brady Forrest, a vice president at Highway 1, is particularly enthusiastic about the new “Launch Now” feature, which enables creators to bypass traditional gatekeeping. He asserts that this will help creators operate more quickly and allow the platform to accommodate more projects simultaneously. Emile Petrone, CEO and founder of Tindie, supports this optional tool, reasoning that successful project creators often have a deeper understanding of their target market than the platform’s managers. He suggests that relying on gatekeepers for filtering success can be unrealistic, akin to predicting whether a child will become an NBA star.
Ebersweller also highlights a new regulation allowing hardware creators to offer multiple items as rewards to backers rather than just one. He describes this as a “big game changer” that can significantly aid project success. These reward packages are appealing to both average supporters and potential retail distributors, who can more effectively gauge market interest through bundled offerings. Additionally, the platform has removed restrictions on fundraising for various categories, including tuition, e-commerce, social networking platforms, real estate, cosmetics, eyewear, and surveillance equipment.
The opportunities for project creators have expanded considerably. However, Petrone cautions that the more lenient guidelines could pose risks for some creators, particularly concerning the “Launch Now” feature. He notes that many projects require more guidance rather than less, as creators often face challenges in manufacturing and logistics only after receiving funding, leading to delays and dissatisfied backers.
Ultimately, Petrone believes that the platform’s priority may lie elsewhere. “It would hurt their growth if they applied the brakes,” he asserts.