List of Tokenized crowdfunding platforms across Africa
Investing in Ukraine: High Risk or High Reward?
There are 3 Tokenized crowdfunding platforms across Africa. They focus on Real estate, Startups, SME, Sustainability, Litigation, Green energy, Health & Science, Logistics, Personal loans, Corporate bonds, Art, Mortgages, Social cause, Education, Farming, Sport or Maritime providing different investment opportunities for retail and accredited investors.
Crowdfunding platforms across Africa bring together opportunities from countries such as Kenya, Mauritius, Nigeria, South Africa. Depending on the platform, investments can be made in local currencies including USDT, as well as in widely used international currencies like EUR or USD.
As a crowdfunding platform directory, we verify the most active crowdfunding platforms if they reach out and claim their profile. On this listing, 4 crowdfunding platforms claimed their profile. They include Happy Pot, Bitlauncher, 8lends, Invesdor and others.
Fun fact: among all the crowdfunding platforms listed here, the oldest has been founded in and the youngest in .
Is investing in Tokenized crowdfunding platforms across Africaprofitable?
Overall, it can bring profit depending on your goals, investment strategy, and the reliability of both the crowdfunding platform and the project itself. It’s also important to take into consideration the market profitability and stability, your portfolio details, and the legislative framework operating in the country.
It’s best to review each of the above-mentioned aspects separately to understand the potential risk vs profit ratio better. Make sure you leverage multiple sources for your research. Consult financial experts, explore the platform’s website, and read investors’ reviews.
As obvious as it may seem, make sure to expand your search beyond just a few providers. Take some time to look into more than a few Tokenized crowdfunding investment platforms across Africa to form a good idea of the investing climate within the niche. It will give an idea of the market’s economic potential, current competition, and financial opportunities.
So, explore the options, get familiar with the risks and benefits associated, and don’t neglect consulting financial advisors if needed.
How do you reduce the risks of investing in a Tokenized crowdfunding platform across Africa?
Before proceeding with the recommendations on this, it’s essential to understand that investing via Tokenized-based crowdfunding platforms inherently carries the risk of losing the capital invested. What’s more, it’s even considered higher than traditional investing.
To make a firm decision, you need to be well aware of those risks and what you can do to manage and minimize them. By learning this info, you’ll be able to define the risk level you’re comfortable with. Here is what you can do.
- Research again. Yes, the due diligence part is essential in the crowdfunding business, so checking the platform’s track record, reviews, fees & policies is a must. In addition, evaluate the project you’re interested in: the business plan, leadership team, and their background. When in doubt, we encourage you to get a second opinion by consulting a financial advisor or the project managers themselves to ask all the pressing questions.
- Buyback guarantees. Choose providers who offer security guarantees to investors and have it clearly stated in their agreement terms. Buyback guarantees are the platform’s commitment to return the funds to investors should the borrower go bust or the campaign doesn’t take off. Before making any decisions, contact the company or the project representatives to connect on the security measures and exit options you have in place.
- Diversification. Enough has been said about the importance of diversification but it’s never extra to refresh. Always spread your investment across a few projects to ensure you don’t entirely lose the money, should things go south with one of the loans.
- Keep up with the regulations. The crowdfunding area has seen major growth over the past decades, and it’s finally come to a point where more regulations are being adopted to make it more transparent and established.
More crowdfunding platforms
More Crowdfunding Platforms by Africa
More Crowdfunding Platforms by country
More Tokenized crowdfunding platforms
Frequently Asked Questions about Tokenized crowdfunding
What are the advantages of investing on crowdfunding platforms for Tokenized?
Investors who prefer this investing alternative can potentially enjoy the following benefits.
Firstly, it’s an opportunity to yield higher returns compared to other, more traditional investment methods. If an investment strategy turns out successful, one can build a steady and more generous passive income.
Secondly, this crowdfunding type offers diverse loans that used to be accessible only to accredited investors, which can help solidify one’s portfolio and tap into new business opportunities.
Finally, it’s a chance to help grow a business offering a product or a service that interests you as a potential client. By contributing to its launch or expansion, an investor also indirectly benefits the community or an industry niche.
As attractive as these benefits may look, it’s crucial to remember that when investing through crowdfunding, you are also exposed to a potentially higher risk.
Can I lose my money on Tokenized crowdfunding?
Yes, you can.
To avoid that, ensure the platform has a specific scenario developed for such cases. Do research if such situations have already occurred and if investors got their money back.
Best of all, trust websites with buyback guarantees or similar fund recovery measures.
How much money do I need to start investing?
The initial investment amount varies a lot depending on the platform. But the truth is that the majority allow investing starting with €100. You can even find platforms where you can participate in loans with as little as €10.
The low entry threshold allows inexperienced investors to kick off their investing activities. While it’s undoubtedly one of Tokenized crowdfunding massive advantages, please always remember to start small and diversify.
Can I give up a crowdfunding loan or exit it earlier?
Yes, if you invest in Tokenized crowdfunding companies with a secondary market.
Is Tokenized crowdfunding good for funding a startup?
It can be. Many startups have already received their funding through crowdfunding. Instead of relying on a single individual or an organisation to get the money, you increase your chances of hitting the necessary sum by inviting more individual investors to participate.
However, to achieve that, you need to make your campaign look promising and stand out. The business plan and the legal docs need to be in order, the presentation should be creative and catchy, and the marketing strategy well-thought.
As the crowdfunding industry grows, more niches emerge, and startup/business funding is no exception. These days you can find crowdfunding platforms specialising in it.