In the background of a company formation, there is regularly business activity that requires investment. One way to raise capital for an entrepreneurial venture is through the relatively modern instrument of Investment-Based Crowdfunding. If you w
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Investment-Based Crowdfunding Crowdfunding is a means for innovators and start-up companies to finance their projects and businesses by collecting funds from a large number of persons via a crowdfunding platform. The introduction of the European C
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Although emerging from different regulatory frameworks, the operation of a Multilateral Trading Facility (“MTF”) and a Crowdfunding Platform share certain similarities which may at times blur their significant distinguishing features. For inst
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On the 28th of March 2023, Members of the European Parliament (“MEPs”) from the Economic and Monetary Affairs and Civil Liberties, Justice, and Home Affairs committee approved stricter rules to close existing gaps in anti-money laundering and
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With the introduction of the European Crowdfunding Service Providers Regulation (“ECSPR”), crowdfunding is a growing sector throughout the European Union (“EU”). Crowdfunding is an alternative means of financing for start-ups and small and
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With the introduction of the Regulation on European Crowdfunding Service Providers (“ECSP”), crowdfunding is now gaining momentum throughout the European Union (“EU”). It is an alternative means of financing for start-ups and small and med
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Crowdfunding is an increasing established form of alternative financing for start-ups and small and medium-sized enterprises. However, till 2021, the sector remained unregulated throughout the European Union (“EU”). Due to the lack of regulato
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Start-ups and innovative companies often find it difficult to access funding in a traditional manner, that is, from one source or few different sources of funding (such as by bank loans). An alternative approach for such companies to obtain fundin
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On the 28th July 2022, the Malta Financial Services Authority (“MFSA”) issued a circular in relation to the regulation on European Crowdfunding Service Providers for business (the “Regulation”). The MFSA announced that the EU Commission ha
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With respect to Regulation (EU) 2020/1503 (the “Crowdfunding Regulation”), crowdfunding service providers that provide their services only on a national basis currently benefit from a transitional period that will expire on the 10th November 2
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On the 25th January 2022, the Malta Financial Services Authority (“MFSA”) issued new Crowdfunding Rules (the “Rules”) which contain provisions regulating the operations of Crowdfunding Service Providers authorised by the MFSA. The Rules ma
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On the 10th of November 2021, the European Crowdfunding Service Providers for Business Regulation (“ECSPR”) and the accompanying Directive amending MiFID II came into force, achieving harmonisation of a regulatory rulebook for crowdfunding ser
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On the 15th March 2021, the Malta Financial Services Authority (“MFSA”) issued a circular on the European Crowdfunding Service Providers Regulation (the “Regulation”) informing the industry of the incoming implementation of the Regulation
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On the 26th February 2021, the European Securities and Markets Authority (“ESMA”) has issued a Consultation Paper on the draft technical standards on crowdfunding under the European crowdfunding service providers Regulation (the “Regulation�
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Investment-based crowdfunding, which is a relatively new concept within the financial services, could be the next gold-mine on Malta’s doorstep. With the Financial Services sector in Malta always reaching new heights, the MFSA was pro-active in
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