Crowd funding Opportunity or Cheat?
Crowd funding is the creation of a large amount of money with a small contribution for a specific purpose through the Internet. With this, someone's future is decorated, while someone gets life. But that doesn't always happen. I am telling how you can save both your emotion and money from being wasted in crowdfunding.
As soon as any festival comes, the practice of organizing the festival with pomp and fanfare by raising donations is going on in many cities. There are also examples of people from a street or a colony donating a small amount of money to help a helpless person in big cities. We all have seen this powerful face of the society in our childhood and have also taken part enthusiastically.
Then came the digital age. Here the social media and cyber user society is equally strong as the society of the real world. Why not! The users belong to the real society. Simply the platform is cyberspace. The advantage here is that it does not take long to connect all the wires beyond the borders of the state and the country to abroad. That is why it is not a difficult task for this digital community to collect crores of funds overnight to help someone. It is named 'Crowd Funding' but it is the same spirit of helping from the past, which has assumed a new color in the new era.
Once again in the discussion, crowdfunding was organized through crowdfunding cyberspace for good purposes, but this face of human good has also not remained unblemished. Just as the amount of contribution in reality has been deceived in many places, similarly this has also become a way of taking away the hard earned money of soft hearted people in cyber space many times. Nowadays crowd funding is such a negative reasons under discussion. Somewhere there is news of someone's attempt to commit suicide, somewhere else is the person standing in the dock, who appealed to the cyber community for someone's help. A few days back, a case from Hyderabad was in the news, in which two young boys created a page on social media to raise funds for medical emergency and appealed to the people for help. He also got a lot of help on this. Subsequent investigation found that the post which went viral on the page for which the funds were raised, collected three times more than what was required. It is believed that both the youths and the relative, whose account number was given, had divided the remaining amount among themselves and duped people of about 30 lakhs.
However, some good work has also been done. Like recently, a director named Gautam Joshi of Indore deposited about 1.5 crores through crowd funding and made a love series. It was released on all major OTT platforms. Thanks to cyber space, these activities of collecting money from the crowd are not limited to worship, religious rituals or helping the needy, but through this people are making bridges to startups. Various types of news websites from roads also being adopted in running.
How is Crowd Funding done?
There are many ways of crowdfunding, but here we are talking about community based crowd funding on the internet. Through crowd funding, small amounts are raised through internet and social networking from people of the country and abroad for a specific project, business venture or social welfare. The person appealing the contribution makes clear to the donors or investors the reasons for the same and their purpose. Specifies how to make a financial contribution to the campaign or cause.
• Community crowd funding includes donation based and rewards based crowd funding. It is completely legal. It has also been a popular way to raise funds for social welfare.
• Although equity-based crowdfunding is illegal in India, the peer-to-peer lending process is under the RBI's control.
In view of the increasing cases of fraud in crowd funding, in the opinion my, Advocate on Record and Special Council of the Supreme Court, guidelines are also needed at the government level, because as much as it is a work of charity, it can also be a fraud. The opportunities for deception here far outweigh the reality. Not only cheaters equipped with technology, but also those who play with the mind are not less here. Crowd funding has also become one such activity. That is why before taking any kind of step it is necessary to test the credibility of the people behind it and the platform. Helping online is not bad, but if there is no third party between the giver and the beneficiary, then this situation can become a subject of exploitation for you. Some dishonest people will continue to eat your earnings and this will neither accomplish any goal, nor will anyone benefit from it. That's why some online crowdfunding websites have also been created, which maintain transparency in money transactions and ensure that your money is put to good use by correcting all the certificates.
Some caution is necessary:-
If you are ever doing any kind of donation, then definitely apply some basic rules before that:-
• If you are going to donate to any NGO, then first NITI Aayog website Go to it and check its registration number. Check how long the organization is working, where and what kind of work it does.
• If possible, first verify the bank account to which you are transferring money. Try to know the truth about the reason for which you are being asked for money. Do not take all these fact checks from any person or organization, who themselves may not have much knowledge about it. It is your responsibility to do thorough research before transferring money anywhere. Afterwards, be sure to know where your money was used.