Brussels, 1 July 2015. The European Crowdfunding Network has published an updated version of the Code of Conduct and a new Charter of Crowdfunder’s Rights, with the aim of fostering transparency and professionalism in the European Crowdfunding sector.
The documents have been approved by the General Assembly of Full Members which took place in Lisbon on the 25th of June, and have entered into force since the 1st of July, for an indeterminate period.
The Code of Conduct sets out best practice principles, with the following main objectives:
- State the principles of ethical behaviour that the ECN and its members shall abide by
- Assert a collective view that high and professional standards of commercial and social honour are just and equitable principals worth promoting and abiding by
- Provide the basis for consideration of and dealing with lapses in professional conduct within the ECN
- Provide transparency on business models and industry data.
Although the principles do not constitute Court-enforceable regulations, ECN expects all its members to respect them and reserves the right to audit, directly or through a designated third party, the members on compliance procedures.
The Charter of Crowdfunder’s Rights, instead, has the aim of stating the general principles that any European citizen using a crowdfunding platform, whether as an investor or as a donor, should be able to rely on, such as the right to access at any time information on projects and project owners as well as on the platforms. It virtually applies to all forms of crowdfunding and to any kind of investor/contributor.
“By publishing these two documents we are achieving another important milestone in contributing to make this growing industry more transparent and professional. In the future, we hope to see more of our members and other interested parties contributing to improve the Code of Conduct and the Charter of Crowdfunder’s rights, in order to guarantee that the sector adopts the highest standards of transparency and the existing best practices”, comments Oliver Gajda, ECN Executive Director.
Both documents are an integral part of the organisations by-laws and can only be amended, supplemented or changed by decision of the ECN Board and the approval of the General Assembly of Full Members. Any amendment shall apply from the date of its publication on the ECN website, save anything to the contrary. The details of the execution of actions raised in these two documents are currently being worked on by the ECN Board and the Secretariat.