ERDEM-NEWSLETTER-2018-metin

222 NEWSLETTER 2018 Furthermore, crowdfunding activities may be subject to EU state aid and competition rules 3 . The European Supervisory Authorities have also carried out work on crowdfunding in their respective areas of responsibility. In Decem- ber, 2014, the European Securities and Markets Authorities (ESMA) published advice and an opinion on investment-based crowdfunding, and in February, 2015, the European Banking Authority (EBA) pub- lished its opinion on lending-based crowdfunding 4 . Overview of Regulatory Frameworks in a Selection of EU Member States Two main categories of crowdfunding are donation and invest- ing. Donation crowdfunding raises non-equity capital for creative projects and charity causes. In some business models, donations may support an early stage company or product innovation. In most of the EU Member States, no specific regulations exist for donation-based or reward-based crowdfunding. Investing types of crowdfunding refers to raising capital by sell- ing financial instruments related to the company’s assets or financial performance. Investing types may also include raising debt capital in the form of peer-to-peer lending (“P2P” or “lending-based crowd- funding”) or selling claims to the company’s intellectual property, and selling to investors’ ownership shares (investment-based crowdfund- ing). The investing type crowdfunding is the most regulation oriented, either by way of extending prior banking or financial regulations, or adoption of ad hoc rules or fully fledged bespoke regimes to the crowdfunding 5 . 3 Delivorias, Angelos : Crowdfunding in Europe, EPRS p.6. 4 Commission Staff Working Document Crowdfunding in the EU Capital Markets Union p.8. 5 Ferrarini, Guido : Regulating FinTech: Crowdfunding and Beyond – European Economy 2017, p. 2, http://european-economy.eu/2017-2/regulating-fintech- crowdfunding-and-beyond/ (Access date: March 2018).