Crowdfunding provides the innovation that, before the investment, entrepreneurs contract with consumers. Under demand … trade-off between value screening and moral hazard, the paper characterizes optimal mechanisms. Current crowdfunding schemes … degree of moral hazard. Constrained efficient mechanisms exhibit underinvestment. Crowdfunding blurs the distinction between …

: <I>crowdfunding</I>, which seems to play an increasing important role for the seed financing of entrepreneurial projects … out the aspects that so far have attracted the bulk of scholarly interest. Then, we compare the crowdfunding with other … forms of entrepreneurial finance. Finally, we offer a first survey on Italian crowdfunding platforms …