Market Insights Financial Capital Raising Digital Capital Raising

Crowdinvesting - China

China

China is projected to reach a total transaction value of €1.67m in 2024 within the Crowdinvesting market.
When comparing globally, the United Kingdom is expected to reach the highest transaction value of €558m in 2024.
China's crowdinvesting market is rapidly expanding, offering diverse opportunities for capital raising in various sectors with high investor participation.

Key regions: Europe, Australia, Brazil, China, Israel

Mercado

Región

Comparación de regiones

Moneda

Analyst Opinion

The Crowdinvesting market in China has been experiencing significant growth in recent years.

Customer preferences: Chinese investors are increasingly turning to crowdinvesting platforms as a way to diversify their investment portfolios and gain access to new investment opportunities. The younger generation, in particular, is attracted to the convenience and accessibility of crowdinvesting platforms, which allow them to invest with smaller amounts of capital compared to traditional investment channels. Additionally, Chinese investors are drawn to the potential high returns offered by crowdinvesting, as well as the opportunity to support innovative startups and contribute to economic growth.

Trends in the market: One notable trend in the Chinese crowdinvesting market is the focus on technology and innovation. Many crowdinvesting platforms in China specialize in funding startups in sectors such as fintech, artificial intelligence, and e-commerce. This reflects the country's emphasis on technological advancement and its desire to become a global leader in innovation. Another trend is the increasing popularity of equity-based crowdinvesting, where investors receive shares in the company they invest in. This allows investors to potentially benefit from the success of the company and encourages them to actively support the growth of the business.

Local special circumstances: The Chinese crowdinvesting market is unique due to the country's large population and the rapid growth of its middle class. This creates a vast pool of potential investors who are eager to participate in crowdinvesting. Furthermore, the Chinese government has been supportive of the crowdinvesting industry, implementing regulations to ensure investor protection and promote the development of the market. This has helped build trust among investors and attract more participants to the crowdinvesting space.

Underlying macroeconomic factors: China's strong economic growth and rising disposable incomes have contributed to the expansion of the crowdinvesting market. As the country continues to urbanize and its middle class expands, more individuals have the financial means to invest in crowdinvesting opportunities. Additionally, the government's focus on entrepreneurship and innovation has created a favorable environment for startups, leading to a greater demand for crowdinvesting capital. The increasing digitization of the Chinese economy has also played a role in the growth of the crowdinvesting market, as online platforms have made it easier for investors to access and participate in crowdfunding campaigns. In conclusion, the Crowdinvesting market in China is experiencing significant growth due to customer preferences for diversification, high returns, and supporting innovation. The focus on technology and equity-based crowdinvesting, as well as the large population and supportive government regulations, are driving the development of the market. China's strong economic growth, rising disposable incomes, and increasing digitization have also contributed to the expansion of the crowdinvesting industry.

Methodology

Data coverage:

The data encompasses B2C enterprises. Figures are based on transaction values / revenues / assets under management and user data of relevant services and products offered within the FinTech market.

Modeling approach / Market size:

Market sizes are determined through a combined top-down and bottom-up approach, building on a specific rationale for each market segment. As a basis for evaluating markets, we use annual financial reports of key players, industry reports, third-party reports, publicly available databases, and survey results from primary research (e.g., the Statista Global Consumer Survey). In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending, population, internet penetration, smartphone penetration, credit card penetration, and online banking penetration. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing are well suited for forecasting digital products and services due to the non-linear growth of technology adoption.

Additional notes:

The market is updated twice a year in case market dynamics change. The impact of the COVID-19 pandemic and the Russia-Ukraine war is considered at a country-specific level.