The CRWD Network is a great choice for a start-up, SME or other projects to get their much-needed funds. This combination of equity crowdfunding and ICOs is suitable for a variety of projects.
The process of fundraising through the ecosystem considers 7 different steps:
The platform of choice supports the project that is looking for funding by assisting them with setting up all pre-requirements for it. The platform also performs a check of local legal requirements and whether the project meets them.
With all the preparation done, it is time for the project to consider and arrange details of issuing their tokenized equities. This includes the number of tokens they would like to generate, their price, and what are the limits (i.e. soft cap/hard cap) of the upcoming process. Once the pre-sale process starts, these details cannot be changed.
The project that needs funding must have an active Ethereum address, containing enough CRWD Tokens to trigger the issuance of Tokenized Equities. If this is in place, the contract is created, and marketing phase, which usually lasts until the official sale, can start.
Additionally, if the project has all the details in place before reaching out to CRWD Network and has enough CRWD Tokens in their wallet, they can start their official sale immediately.
Every platform that participates in the CRWD Network has its own platform key, which triggers the process of whitelisting for the project. At this point, the project can be seen and learned about on the platform, and investors with a legally compliant Investor Key can invest in it.
Interested investors in the project can now send funds and fees (in CRWD Token) from the address associated with their investor keys.
Every funding has its deadline. When the funding is finished, the project keeps the funding if it had reached the funding goal, or if not, it returns all the invested tokens.
Throughout the funding process, the company behind the project has every right to refuse specific investors. Yet, when accepting the investment offers, the project pays a fee in CRWD Tokens.
The fee paid from both projects and investors is automatically allocated and distributed to the platform and dedicated recipients by the smart contract.