We are CrowdFund NFT - an alternative to Kickstarter, Go Fund Me, and other traditional crowdfunding platforms. Our unique approach? We run entirely on the Internet Computer blockchain, and use NFTs to provide fundraisers with ‘proof of participation’ in the projects they back. This allows us to create a safer, cheaper and global crowdfunding service.
We were inspired to build CrowdFund NFT for two reasons.
First, after months spent exploring the IC Blockchain and ecosystem, we found that new projects built on the IC are often run by part time developer teams, who need funding to take their projects to the next level. Building a rewards based crowdfunding service for the IC ecosystem would help project creators get access to non dilutive funding, so that they can go full time and focus their attention on building and promoting their products / services.
Secondly, we realised that blockchain technology can revolutionise crowdfunding forever, by making it: Safer, Cheaper and Global. This could improve crowdfunding far beyond the IC ecosystem.
1 - Safer
Crowdfunding is safer on blockchain. We have implemented a 'controller less' (or blackhole) canister system - where all parts of funds collection, management and disbursements are run on open source & verifiable smart contract canisters. This serves to make our crowdfunding service tamperproof.
We saw a scandal with GoFundMe earlier this year, where they were heavily criticised for commandeering $9M worth of funds that were sent to support protesting truck drivers in Canada. This would not happen on our platform, because our escrow canister - which is controller less, open source and verifiable - prevents any team or person from tampering with the smart contract to alter disbursements and commandeer funds, this includes the CrowdFund NFT team.
2 - Cheaper & more value for participants
With NFTs, crowdfunding can be made cheaper, and provide more value to both fundraisers and project creators.
We are a rewards based crowdfunding service, where project creators commit to delivering a set of rewards in exchange for participation in a crowdfunding round. These rewards might be: airdrops, access to whitelists / premium products - or use case specific rewards, such as 'in game benefits' for gaming projects.
Rewards based crowdfunding platforms already exists, but we have added a twist: a new NFT model. With each crowdfunding round, a set of NFTs are distributed to participants - the NFT serves as their 'access token' to redeem rewards. The benefit of tying rewards to NFTs is that: access to rewards can now be traded on secondary marketplaces. Participants in successful crowdfunding rounds can trade their NFTs - and access to rewards are traded with it.
There is also a benefit for project creators. With every NFT resale, a 2.5% fee for project creators is charged. This enables long term funding for project creators, so that the crowdfunding round helps to support the project even after it is over! :)
The NFT model also means that crowdfunding on the blockchain can be made cheaper. Traditional crowdfunding platforms will charge anywhere between 10-25% of the amount raised for successful projects. We can charge 5%, because we make the extra revenue on a 2.5% charge on all NFT resales. To make the pricing structure clear: we only charge 5% of the amount raised for successfully funded projects, unsuccessful projects are not charged. For every NFT resale, a 2.5% fee goes to the project creator, and a 2.5% fee goes to CrowdFund NFT. We also charge 1 ICP to submit a project for review on CrowdFund NFT.
3 - Global
Blockchain technology allows for global crowdfunding - which substantially opens up the market for available participants in a crowdfunding round.
On traditional crowdfunding platforms, project creators are restricted by their geography - as they can only make their crowdfunding round available to participants in their local Fiat currency.
On the Internet Computer, project creators can make their round available worldwide, as the entire network uses ICP tokens all over the world.
By opening the crowdfunding round to a global audience, project creators can raise more! :)
Our canister architecture revolves around our escrow management system. We focus on making sure that our funds management is tamperproof, that reimbursements are simple, and that the possibility of system failure is minimised with the creation of sub accounts for each crowdfunding participant, controlled by tamperproof smart contract escrow canisters. Our system architecture is as follows:
- 7,489 raised for projects on CrowdFund NFT so far
- 6 successfully funded projects
- 15 projects listed
- 30 projects submitted
- Secondary marketplace built and launched
What's next for CrowdFund NFT
1 - Growth within the IC
- Integrate new features such as a tier system ; admin console ; edit projects - etc
- Announce the launch of our own secondary marketplace for NFT / rewards trading
2 - Growth with the Web3 Ecosystem
- BTC integration will enable BTC crowdfunding round
- Replicate growth strategy within the IC ecosystem across other blockchain networks
3 - Become the standard for crowdfunding
- Integrate stable coins and on-fiat ramps
- Aggressive marketing and media strategy, focused on gaining market share from traditional crowdfunding companies