Empty Link Skip to Content

Crowdfunding Regulation To Apply From 10 November 2021

AUTHORs: Alan Keating Services: Finance and Capital Markets DATE: 03/11/2021

We wrote on the Crowdfunding Regulation when it was published at the end of 2020. As anticipated, the Crowdfunding Regulation will apply from 10 November 2021 and will cover:

a) P2P crowdfunding platforms facilitating ‘business funding’ (lending to consumers is excluded); and

b) investment-based crowdfunding platforms in relation to transferable securities only,

in respect of offers of up to €5,000,000, calculated over a period of 12 months per project owner (borrower); offers above that threshold will be regulated by MiFID II and the Prospectus Regulation.

The Crowdfunding Regulation requires relevant service providers to be registered and places new obligations on them, as well as introducing new investor protections.

For further information, please contact Alan KeatingTurlough Galvin,  Patrick MolloyDonal O’Donovan,  David O’Mahony Michael Hastings, Alma Campion, Joe Beashel,  Rory McPhillips,  Stuart Kennedy,  Yvonne McWeeney,  Christian Donagh,  Richard Kelly or your usual Matheson contact.