crowdfunding: meaning, definition, pronunciation and examples
B2-C1Neutral to formal; common in business, technology, and social enterprise contexts.
Quick answer
What does “crowdfunding” mean?
The practice of funding a project or venture by raising small amounts of money from a large number of people, typically via the internet.
Audio
Pronunciation
Definition
Meaning and Definition
The practice of funding a project or venture by raising small amounts of money from a large number of people, typically via the internet.
A method of capital formation that bypasses traditional financial intermediaries, leveraging social networks and digital platforms to validate ideas and gather community support alongside financial contributions. It represents a democratization of funding, where collective decision-making replaces institutional gatekeeping.
Dialectal Variation
British vs American Usage
Differences
No significant semantic difference. Spelling is consistent. 'Crowdfunder' is equally common for both the platform/person and the project.
Connotations
Slightly more associated with creative/community projects in UK usage; US usage may have a stronger association with tech startups and equity-based models.
Frequency
Equally frequent in both dialects.
Grammar
How to Use “crowdfunding” in a Sentence
[Project] + secured/raised + X + through crowdfunding.[Entrepreneur] + is + crowdfunding + [project].[Platform] + facilitates crowdfunding for + [sector].Vocabulary
Collocations
Examples
Examples of “crowdfunding” in a Sentence
noun
British English
- The crowdfunding for the community cinema reached its target in just three days.
- They are exploring crowdfunding as a way to finance the independent film.
American English
- The board decided to pursue crowdfunding for the new tech gadget.
- Equity crowdfunding is regulated by the SEC.
verb (to crowdfund)
British English
- They plan to crowdfund their next album to retain creative control.
- The inventor successfully crowdfunded the prototype.
American English
- We need to crowdfund the initial production run.
- She crowdfunded her business idea on Indiegogo.
Usage
Meaning in Context
Business
Essential for describing startup finance, product launches, and alternative investment models.
Academic
Used in economics, sociology, and media studies discussing disintermediation and digital economies.
Everyday
Common when discussing supporting projects on platforms like Kickstarter or GoFundMe.
Technical
Precise in fintech, distinguishing between donation, reward, debt, and equity-based models.
Vocabulary
Synonyms of “crowdfunding”
Strong
Neutral
Weak
Vocabulary
Antonyms of “crowdfunding”
Watch out
Common Mistakes When Using “crowdfunding”
- Using 'crowdfunding' as a verb without the correct verb form 'to crowdfund'. (Incorrect: 'We are crowdfunding it.' is acceptable but informal; better: 'We are running a crowdfunding campaign for it.'). Confusing 'crowdfunding' (getting money) with 'crowdsourcing' (getting ideas/work).
FAQ
Frequently Asked Questions
It is a closed compound, written as one word: 'crowdfunding'. The verb is 'to crowdfund'.
Crowdfunding specifically refers to raising money. Crowdsourcing is broader, referring to obtaining ideas, services, or content from a large group of people.
Yes, in attributive position (e.g., 'a crowdfunding campaign', 'the crowdfunding industry').
Using it as a countable noun when it should be uncountable (e.g., 'We did a crowdfunding' is non-standard). Prefer 'We ran a crowdfunding campaign' or 'We used crowdfunding'.
The practice of funding a project or venture by raising small amounts of money from a large number of people, typically via the internet.
Crowdfunding is usually neutral to formal; common in business, technology, and social enterprise contexts. in register.
Crowdfunding: in British English it is pronounced /ˈkraʊdˌfʌndɪŋ/, and in American English it is pronounced /ˈkraʊdˌfʌndɪŋ/. Tap the audio buttons above to hear it.
Phrases
Idioms & Phrases
- “to go the crowdfunding route”
- “to tap the crowd”
- “to hit one's crowdfunding target”
Learning
Memory Aids
Mnemonic
Think of a CROWD of people each contributing to a FUND for a common goal, all happening ONLINE.
Conceptual Metaphor
THE CROWD AS A BANK; THE INTERNET AS A TOWN SQUARE FOR FINANCE.
Practice
Quiz
Which of the following is NOT typically a model of crowdfunding?