Weekly News Round-Up: More Problems with PayPal and an Update on Civic Crowdfunding

The upcoming July Fourth holiday means that it’s a well-deserved short week here at Launcht, but that doesn’t mean we’re taking our eyes off of the crowdfunding newswires. Here are a pair of storylines that have been getting press over the past few days. Whether you’re headed to a sunny beach for the holiday or to your mother-in-law’s backyard barbecue, you can feel good about staying up to date on the latest developments in crowdfunding.

PayPal Freezes Popular Crowdfunding Campaign

Online payment processor PayPal ruffled some feathers earlier this week when they suddenly froze nearly $300,000 raised in a single crowdfunding campaign by Swiss encrypted email service ProtonMail.

While PayPal offered a cryptic explanation for their actions, media outlets have been critical of the payment processor’s off-and-on relationship with the crowdfunding community, which has involved countless incidents of campaign-freezing that critics decry¬†as inconsistent enforcement.

WePay LogoLauncht works with PayPal competitor WePay as our payment processor of choice. We have long felt that WePay not only has a superior payment API for crowdfunding, but also understands the crowdfunding industry better than PayPal does.

Civic Crowdfunding in the Headlines

Civic crowdfunding has been getting some press recently as a potential remedy to funding shortfalls for community works. Many of these headlines revolved around The Civic Crowdfunding Project, a two-year study on the effects of civic crowdfunding conducted by MIT.

While civic crowdfunding isn’t exactly a new idea, the number of individual community-focused platforms springing up on the web — and the number of campaigns that these platforms attract — has reached a peak over the past several months.

Here at Launcht we have a lot of experience with civic crowdfunding. Most recently, we partnered with Brooklyn’s Prospect Park Alliance to help them raise over $28,000 for park maintenance.

If you’re interested in learning more about launching a civic crowdfunding platform, take a look at white-label software from Launcht.

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