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An Empirical Analysis of Crowdfunding

Summary This study investigates characteristics of crowdfunded projects and drivers of success.
Description In line with the community view of crowdfunding, our results indicate that much of the funds provided are either donations or are entitled to receive a final product created by the project, rather than equity or cash payments. Moreover, crowdfunding initiatives that are structured as non-profit organizations tend to be significantly more successful than other organizational forms, even after controlling for various project characteristics.

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