As part of the DFSA’s efforts to support and enable new financial service business models, a regime was introduced in 2018 to accommodate small and medium sized enterprises (SMEs) obtaining finance through Loan and Investment Crowdfunding Platforms. However, like many financial services, crowdfunding evolved, it is providing financing to SMEs, and used to finance the purchase of other assets, such as property.
DFSA reviewed this regime as activities evolved in the UAE, and the region. and invited input on the effectiveness of crowdfunding regime and invited views on any challenges Crowdfunding Operators had experienced in operating under the regime.
this Consultation Paper includes Regulatory requirements for Crowdfunding Platforms which about: Advertising restrictions, Revision of retail limits, Revision of the fundraising limit, Clarification on property criteria, and Independent valuation report.