Here is a breakdown from KingsCrowd for the most popular security types for Regulation Crowdfunding (Reg CF) in 2022 so far:

As the figures show, the most popular security types in Reg CF in 2022 are:

1. SAFE (Simple Agreement for Future Equity) - $128.8M, 41%

2. Equity (Common) - $114.7M, 36%

3. Equity (Preferred) - $55.4M, 17%

4. Convertible Note - $17.9M, 6%

One can see that the type of security offered also various by platform, as platforms tend to prefer (or avoid) certain financial instruments. 

For example, SAFEs are the most popular on Republic and Wefunder, while StartEngine is primarily Equity (Common).

For more details on security types in equity crowdfunding deals and their differences, check out the article I wrote here:

https://crowdwise.org/crowd-investing-101/part-4-deal-types-equity-crowdfunding/

Glad to learn of your interest in regulated investment crowdfunding (#RIC).

Yes, there are a few upcoming events in the space ... 

SuperCrowd22 will include a Who's Who in regulated crowdfunding and will examine the intersection of crowdfunding and impact investing. It is a web-based event being co-hosted by the Crowdfunding Professional Association (CfPA), Brainsy, and many other impactful organizations September 15-16 (registration link is here: https://www.supercrowd22.com/httpssupercrowd22comtextandpercent20otherpercent20experts-register-joinpercent20thepercent20supercrowd ) For more info, follow up with Devin Thorpe

Equity Crowdfunding Week is another event that takes place a week later in person in LA (September 21-23) or online - https://www.startupstarter.co/ecw For more info, follow up with Etan Butler

Silicon Prairie Crowdfunding often hosts webinars on Wednesdays on various topics related to crowdfunding (for beginners to experienced hands) and you can see a list of their events at: https://www.meetup.com/silicon-prairie-fundraising For more info, follow up with David Duccini 

Stay tuned on the CfPA ECO as CfPA often hosts events or promotes the events of members organizations. 

Great question!

Impact crowdfunding is what is happening at the intersection of investment crowdfunding and impact investing.

As you know, investment crowdfunding was authorized by the bipartisan 2012 JOBS Act. It was initially implemented in 2016 with a $1 million cap, which was increased to $5 million last year. The space is mushrooming quickly.

Impact investing is less well known to our community but is a bigger global phenomenon dominated by wealthy families and institutions. They invest money for a financial return and a social mission. For instance, a venture capitalist backing Tesla in the early days would describe herself as an impact investor. She got a huge financial return and radically accelerated a transition to electric vehicles.

Investment crowdfunding allows for impact investing in the crowdfunding space. I call that impact crowdfunding.

SuperCrowd22 is a conference we're holding on September 15-16, 2022, to help everyone learn more about the space, both from an investor standpoint and from a social entrepreneur standpoint.

Don't miss it!

http://SuperCrowd22.com

Jordan, this is a great question. Thanks for coming to the CfPA Ecosystem for insights.

Of course, there is no industry or sector that can be thought of as traditionally raising money via crowdfunding. The industry is too new, implemented just six years ago and really gaining scale only in the past two years. We're all learning.

There is no reason you can't crowdfund for a gold mining operation. Obviously, this is a great time to be investing in gold.

FINRA-registered portals are required to do some screening to prevent fraudsters from attempting to raise money on their platforms. Portals are allowed to do some additional screening to curate a theme. They are not allowed to imply that they have done thorough underwriting of an offering. Broker-Dealers, like Start Engine, that operate portals are allowed to do more and charge more than the other portals, including offering more help raising money.

Some platforms focus on serving small business, real estate, tech or other niches. While I haven't spotted a portal focused on extractive industries, one may exist. However, you can test out the large players (Wefunder, Republic and StartEngine) where you are most likely to find admission.

You want to remember that there is no magic crowd; the money you raise will come from your networks primarily.

Good luck!

For the complete answer we drafted to answer this, please read our complete blog post on Traditional SAFE vs. Crowdfunding SAFE.

A brief summary of some of the key differences include:

1. Crowdfunding SAFEs may have optional conversions: in some crowdfunding SAFEs (such as Republic’s Crowd Safe), shares convert at the next equity financing round at the discretion of the issuer (i.e the startup). While most traditional SAFEs are forced to convert at the next qualified financing round, many crowdfunding SAFEs give the company the option to either convert to equity or defer conversion until a later time.

While this may sound like a bad thing for investors at first, there are situations when investors can actually benefit from this delayed conversion (e.g. they may actually experience less dilution due to follow-on raises than other equity investors).

2. Crowdfunding SAFEs may convert to Shadow Series shares: in the Republic Crowd Safe, the SAFE may convert to shadow shares, which means the same class of shares (e.g. Common vs. Preferred) as other investors, but with limited voting and information rights.

3. Crowdfunding SAFEs Investing via an SPV: When you invest in a SAFE on Wefunder, you’ll often be investing in a Special Purpose Vehicle (SPV). While this is typical for angel investors on sites like AngelList, this means you’ll actually be investing in the SPV (e.g. “Company X, a Series of Wefunder SPV LLC”), and not be directly investing in the company itself.

Investing in an SPV may have potential tax implications (because the SPV is an LLC). Furthermore, investing in an SPV may have implications in terms of the potential future liquidity of that investment due to complications when listing SPV shares on a secondary market.

4. Many Crowdfunding SAFEs are still Pre-Money: while the standard Y-Combinator SAFE was changed to convert based upon post-money valuation in 2018, many of the SAFEs used on crowdfunding sites today are still using pre-money valuation for the conversion price.

5. Some Crowdfunding SAFEs may have repurchase rights: something that most VCs and angel SAFEs would never have is a “repurchase rights” or “redemptive clause”. These terms allow the company to buyback SAFE investors at the company’s discretion, which typically happens if a later-stage VC wants to “clean up” the cap table (i.e. get more control and ownership for themselves) or when the company is doing well and wants to buy out early investors. It's my personal opinion that investors should typically avoid SAFEs with these terms. These terms put the company’s best interests at odds with that of the investors’.

The good news is that I personally have not seen any SAFEs recently with these repurchase terms (although I have seen some Common Stock offerings on some platforms with repurchase rights, so be careful!). It seems that crowdfunding portals have realized that these repurchase rights often end poorly for investors and are used by issuers who might not have their crowdfunding investors’ best interests at heart.