ECSPR Monitor

The latest crowdfunding market data from European Securities and Markets Authority does more than describe market volumes, it exposes the political and policy dynamics shaping alternative finance in the European Union. Three years after the introduction of the European Crowdfunding Service Providers Regulation, the first attempt to harmonise retail investments in tradeable securities and loans […]

The recent criticism of ELTIFs raised by the German consumer association (Verbraucherzentrale) is fundamentally justified, it addresses real risks arising from illiquidity, complexity, and long investment horizons. EUROCROWD supports the criticism, but it needs to be acknowledged that ELTIF 2.0 is not an invitation to deregulation, but rather an attempt by large financial institutions and

The European Crowdfunding Service Providers Regulation (EU) 2020/1503 (ECSPR) has, since its adoption, marked a significant milestone in building a first genuine single market for early-stage finance. By establishing a functioning harmonised regime for crowdfunding, it has streamlined rules and provided a more predictable framework for both investors and entrepreneurs. It is not perfect, of course, yet as

Real estate crowdfunding promises to democratize property investment, offering retail investors access to asset classes traditionally reserved for institutional players. However, recent developments in Germany and France reveal growing cracks in this foundation at least in these two markets. Over the past two years, mounting project failures, market instability, and limited regulatory enforcement have exposed

As the European Union intensifies its efforts against money laundering and terrorist financing, the forthcoming AML framework—most notably Regulation (EU) 2024/1624—will have significant implications for ECSP-licensed crowdfunding platforms. While the ECSPR already provides certain safeguards, the evolving regulatory landscape necessitates proactive measures to ensure full compliance and reinforce market integrity. The Regulatory Landscape Already in

With the full implementation of the Digital Operational Resilience Act (DORA) on January 17, 2025, crowdfunding platforms operating under the European Crowdfunding Service Providers Regulation (ECSPR) are now required to adopt stringent cybersecurity and operational resilience measures. This marks a significant step towards enhancing the protection of investors, safeguarding project owners, and securing the broader

The European Securities and Markets Authority (“ESMA”) has published its Consultation Paper on Guidelines for assessing knowledge and competence under the Markets in Crypto-assets Regulation (“MiCA”), as mandated by Article 81(15). The consultation, released on 17 February 2025, proposes new guidelines ensuring that all crypto-asset service providers (“CASPs”), including those providing information rather than direct

The European Crowdfunding Service Provider Regulation (ECSPR) establishes a tailored framework for Crowdfunding Service Providers (CSPs), distinguishing them from traditional financial institutions and Non-Bank Financial Intermediaries (NBFIs). This distinction is crucial in understanding CSPs’ role within the financial ecosystem; CSPs are regulated by a bespoke European Law. The Position of CSPs under the ECSPR The

The Digital Operational Resilience Act (DORA), a cornerstone of the European Commission’s Digital Finance Package, aims to bolster the financial sector’s resilience against ICT-related risks. Recognizing the critical role of digital infrastructure in the financial ecosystem, DORA sets out comprehensive requirements for managing ICT risks, reporting incidents, and ensuring continuous operational resilience. For European Crowdfunding

The European Crowdfunding Service Providers Regulation (ECSPR) focuses on managing conflicts of interest to ensure transparency, fairness, and integrity in the crowdfunding industry. This is crucial for maintaining trust and supporting the success of fundraising SMEs. Conflict of interest policies are designed to prevent situations where the interests of the platform or its employees could