Crowdfunding is one of the popular concepts of recent years. But its basic principles go back centuries. Now, let’s look at this alternative source collecting platform’s brief history together.
The principles of “micro-lending” go back to Ireland in the early 1700s, when Jonathan Swift founded the Irish Credit Fund. The Fund provided small loans without collateral or credit history to low-income, rural families. By the 1800s, more than 300 programs became participants in Ireland, and individuals were given small amounts for a short time. Thus, the first step was taken.
Years passed, and by 1976, Muhammad Yunus, who had pioneered modern micro-finance, appeared. Yunus launched a research project in Bangladesh to promote self-employment and provide banking opportunities to poor individuals. The program reached more than 30,000 members in 5 years and led to the emergence of Grameen Bank, which now serves more than 8 million borrowers.
Then, technological developments accelerated in the 1990s. With the emergence of popular messaging tools and social networking platforms, more and more connections are being made online. Spontaneous events also affected the development of crowdfunding. British music group Marillion, for example, raised $ 60,000 to fund US tour, which they announced online.
ArtistShare for Artists
The Marillion example has guided many groups in terms of crowdfunding. ArtistShare, the first private fan-financing platform for artists, debuted in 2000. Crowdfunding was already showing significant potential in those days.
After all these progressions, platforms began to emerge that allow individuals to lend money outside the borders of a traditional bank. Kiva, which emerged in 2005, was one of the best examples of this. Kiva gave lenders the opportunity to provide small loans to poor individuals to fight poverty in developing countries. Since 2005, Kiva has made an impressive 425 million dollars in crowdfunded loans with a 99 percent repayment rate.
In later years, many platforms with similar models emerged. The rapid rise of social media also contributed to this growth. In 2006, fundavlog founder Michael Sullivan used the term of “crowdfunding”. In 2008 and 2009, two major brands IndieGoGo and Kickstarter emerged to shape this field. These brands provided significant integration with social media and grew rapidly.
Turkey’s Crowdfunding Platform: Arıkovanı
Arıkovanı is one of the brands that adopt this concept in Turkey. Arıkovanı helps entrepreneurs to obtain the funds they need to execute their technology or innovation-oriented projects from the society. and provides many advantages to the project owners.
The main objectives of Arikovani are to increase domestic technology production of Turkey and to raise the social awareness on supporting the production of technology. For this purpose, it helps technology projects that address a real need or solve a real problem to reach their target audience and obtain their funding at early stages.
If you also want to support Turkey’s domestic technology, please visit arikovani.com.