crowdfunding regulations

Crowdfunding regulations are rules that govern how individuals and businesses can raise money from multiple people online. These laws ensure transparency by requiring disclosure of risks, how funds will be used, and who is behind the campaign. They also limit how much money can be raised from each person to protect investors. Regulatory bodies, like the SEC in the U.S., set these rules to prevent fraud, ensure fair practices, and help maintain trust in the fundraising process, whether for startups, charitable causes, or personal projects.