A.S.F announces the authorization of SeedBlink, the first crowdfunding platform in Romania
The Financial Supervisory Authority (A.S.F.) announces the authorization of the first crowdfunding platform in Romania, SeedBlink.


Thus, the company Seedblink Crowd S.A., which manages the mentioned platform, is the first company authorized by A.S.F. as a crowdfunding service provider, shortly after the entry into force, in August 2022, of Law no. 244/2022 which regulates this field.

The company is authorized to offer the following crowdfunding services:

  • placing without firm commitment securities and instruments admitted for crowdfunding purposes and receiving and transmitting orders in relation to those securities and instruments admitted;
  • the use of special purpose vehicles for the provision of crowdfunding services;
  • operating a bulletin board.

"This event represents the completion of a first collaboration between A.S.F., as a legally competent institution at national level in the field of crowdfunding and the entities applying for authorization as a provider of such services, reflecting at the same time the continued involvement of the Authority in this pioneering field for the capital market local. This involvement manifested itself early, materializing both in the technical participation in the creation of the national legal framework represented by Law no. 244/2022, as well as during the entire legislative approval and promotion process, which preceded the adoption and entry into force of this law"
, emphasizes Mr. Ovidiu Petru, Director General - Financial Instruments and Investments Sector within A.S.F.

With the appearance of these new authorized entities, the capital market diversifies its financing offer for small and medium-sized companies and stimulates innovative entrepreneurship in Romania, by accelerating the efficient allocation of financial resources. Thus, the prerequisites are created for attracting new categories of investors and implementing a new business model for companies, as well as a new financing alternative for eligible companies.

Participatory financing is carried out through a financial technology solution that offers small and medium-sized enterprises (SMEs), especially newly established enterprises and those in the expansion phase, an alternative financing instrument to the banking one, respectively by connecting through through crowdfunding service providers of potential investors or borrowers with the business environment seeking funding. Such financing is carried out by means of loans and the purchase of securities or other instruments admitted for the purpose of participatory financing.

The performance of the crowdfunding activity involves the involvement of three main participants, respectively: the project developer who proposes the project for financing, the investors who finance the proposed project and a crowdfunding service provider that constitutes the "interface" that facilitates the connection between project developers with potential investors by managing an online platform.

A.S.F. points out that, although the crowdfunding activity benefits from a complex and customized regulatory framework (having both a European dimension, through the direct applicability of Regulation (EU) 2020/1,503, and a national dimension through the provisions of Law no. 244/2022), this it still entails a series of specific risks for investors, given that they do not benefit from the protection offered by compensation funds.

In this context, we reiterate the fact that the Financial Supervisory Authority, as the competent authority in Romania for the performance of the functions and tasks provided for by Regulation (EU) 2020/1.503, remains permanently open to a pragmatic and constructive technical dialogue, both with the entities that wish to obtain the quality of providers of crowdfunding services or who have obtained this quality, as well as with the investors who benefit from these services, in order to fulfill its role and legal duties in the matter of authorization and supervision of activities and operations specific to crowdfunding and to ensure a stable institutional framework and transparent debate of the problems, particularities and challenges of a practical nature specific to this field.


Source: https://financialintelligence.ro/

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