Does Wealth Migrate do crowdfunding, or is it more advanced than this? How do you 10x traditional crowdfunding…?
When trying to understand what Wealth Migrate does, it is important to understand the evolution of production, marketing, commerce and compliance. It is also important to understand the difference in terminology. Some people love the word crowdfunding and some people hate it, yet most people don’t understand that it is not either or, but rather and both.
Here are the definitions according to Wikipedia (if you know them skip to the next section):
Crowdfunding is the practice of funding a project or venture by raising monetary contributions from a large number of people. Crowdfunding is a form of crowdsourcingand of alternative finance.
Although the concept can also be executed through mail-order subscriptions, benefit events, and other methods, it is now often performed via Internet-mediated registries.This modern crowdfunding model is generally based on three types of actors: the project initiator who proposes the idea and/or project to be funded, individuals or groups who support the idea, and a moderating organization (the “platform”) that brings the parties together to launch the idea.
Equity crowdfunding is the collective effort of individuals to support efforts initiated by other people or organizations through the provision of finance in the form of equity. In the United States, legislation that is mentioned in the 2012 JOBS Act will allow for a wider pool of small investors with fewer restrictions following the implementation of the act. Unlike nonequity crowdfunding, equity crowdfunding contains heightened “information asymmetries”. The creator must not only produce the product for which they are raising capital, but also create equity through the construction of a company. Equity crowdfunding, unlike donation and rewards-based crowdfunding, involves the offer of securities which include the potential for a return on investment. Syndicates, which involve many investors following the strategy of a single lead investor, can be effective in reducing information asymmetry and in avoiding the outcome of market failure associated with equity crowdfunding.
Collaborative Investment – working with others to achieve the funding required to reach a shared goal. Paul Niederer – http://www.paulniederer.com/2015/05/collaborative-investment-working-with-others-to-achieve-the-funding-required-to-reach-a-shared-goal/
Financial technology, also known as FinTech or fintech, is an industry composed of companies that use new technology and innovation with available resources in order to compete in the marketplace of traditional financial institutions and intermediaries in the delivery of financial services. Financial technology companies consist of both startups and established financial and technology companies trying to replace or enhance the usage of financial services of incumbent companies.
Real Estate Technology or Property Technology, often referred to as (“RE Tech”) or (“Proptech”), is an economic industry composed of companies which use technology to make real estate transactions more efficient. Real estate technology is a sub-category under financial technology as real estate is an asset class which represents a significant investment. Besides for own stay, there are investors who generate income and capital gains by investing in different categories of Real Estate properties over time – They are broadly residential, commercial and industrial.
There are three elements to a successful platform business model. The Toolboxcreates connection by making it easy for others to plug into the platform. This infrastructure enables interactions between participants. The Magnet creates pull that attracts participants to the platform. For transaction platforms, both producers and consumers must be present to achieve critical mass. The Matchmaker fosters the flow of value by making connections between producers and consumers. Data is at the heart of successful matchmaking, and distinguishes platforms from other business models.
Chen (2009) stated that the business model has to take into account the capabilities of Web 2.0, such as collective intelligence, network effects, user-generated content, and the possibility of self-improving systems. He suggested that the service industry such as the airline, traffic, transportation, hotel, restaurant, information and communications technology and online gaming industries will be able to benefit in adopting business models that take into account the characteristics of Web 2.0. He also emphasized that Business Model 2.0 has to take into account not just the technology effect of Web 2.0 but also the networking effect. He gave the example of the success story of Amazon in making huge revenues each year by developing an open platform that supports a community of companies that re-use Amazon’s on-demand commerce services.[need quotation to verify]
An online marketplace (or online e-commerce marketplace) is a type of e-commercesite where product or service information is provided by multiple third parties, whereas transactions are processed by the marketplace operator. Online marketplaces are the primary type of multichannel ecommerce and can be described as a “simple and convenient portal” to streamline the production process.
A blockchain – originally block chain – is a distributed database that is used to maintain a continuously growing list of records, called blocks. Each block contains a timestamp and a link to a previous block. A blockchain is typically managed by a peer-to-peer network collectively adhering to a protocol for validating new blocks. By design, blockchains are inherently resistant to modification of the data. Once recorded, the data in any given block cannot be altered retroactively without the alteration of all subsequent blocks and the collusion of the network. Functionally, a blockchain can serve as “an open, distributed ledger that can record transactions between two parties efficiently and in a verifiable and permanent way. The ledger itself can also be programmed to trigger transactions automatically.”
Initial Coin Offering (ICO)
An initial coin offering (ICO) is a means of crowdfunding the release of a new cryptocurrency. Generally, tokens for the new cryptocurrency are sold to raise money for technical development before the cryptocurrency is released. Unlike an initial public offering (IPO), acquisition of the tokens does not grant ownership in the company developing the new cryptocurrency. And unlike an IPO, there is little or no government regulation of an ICO.
Here the article actually begins now you have the definitions…
It is always important to understand history to understand where we are going how production, marketing, commerce and compliance have evolved. We believe that history provides the secrets to our future…
So if you want to understand Wealth Migrate better, we have created the Trusted Global Real Estate Marketplace. We have used and continue to use the best technologies and regulations to ensure that we can provide the fastest, cheapest, safest and most efficient service to our clients, the online investors.
Our Manifesto states to be ‘Locally Legal, Acting Global.’ Therefore in some countries Wealth Migrate complies with the equity crowdfunding or Fintech rules. However different countries have different regulations and thus we use a combination of ‘Old world’ securities laws for compliance or ‘New World’ equity crowdfunding / Fintech laws for compliance, depending in each jurisdiction. Bottom line is we aim to be compliant and use the fastest, cheapest, safest and most efficient laws in any jurisdiction to provide the best digital solution to our clients to invest and are always aiming to enhance the solution in a simple and safe way.
We are involved in the Fintech industry and are actually a subset of this doing Fintech in real estate which is RE Tech or PropTech.
We have built a PLATFORM to enable Real Estate Providers / Partners to be matched with Global Investors and facilitate the transaction as seamlessly as possible, while providing a verification and two-way communication mechanism.
As we are doing this with multiple providers on multiple continents, Wealth Migrate is thus a Global Real Estate Marketplace.
We are now focused on creating the future of investing and we call this Collaborative SMART Investing (TM), which is a combination of the best of the evolution of production, marketing, technology, commerce and compliance to ensure we provide a unique, personalized and world class service to our clients. We call this SMART Investing (TM).
Essentially Collaborative SMART Investment (TM)is uniting the knowledge base of industry experts – practitioners or partners in specific industries, countries and markets with specific product knowledge, our GIDDS (TM) (Global Investment Due Diligence System) and our purpose driven mission. To solidify this concept, the practitioner or partner needs to be a co-investor to align the interests to the investor and the platform. This allows for a more in-depth level of due diligence and research which leads to better informed investment decisions, more thorough product understanding and a large reduction in risk.
There are many aspects with respect to research which needs to be understood and evaluated to make better investment decisions by the Investor. Two of the most important components are product knowledge and macro and micro market analysis based on the fundamentals of investing. Once this is understood, is critically important to understand the value proposition and correlated risks. An example is that a partner would need to understand the medical commercial field and have more than a 10-year track record in delivering and executing on this type of product. Then it would have to be in a country and city where the macro and micro fundamentals are right. Things like currency, rule of law, protection of assets, population growth, affordability, value, taxes, supply and demand etc. An example is we would look at America at the moment because it is safe and has the right fundamentals, but not Russia. Then in America we would only look at cities like Atlanta or Texas and not Detroit. Our GIDDS (TM) System is a globally recognized system to provide investors with a tool, not only to get access to partners in the right markets, but also for them to be able to understand and ascertain the risk / reward correlation and make the best investment decisions for themselves.
Collaborative SMART Investing (TM)alsoallows the Partners to extend their understanding of the products from an investors point of view. This is much more objective than merely based on their research or opinions and the marketplace provides this critical and transparent feedback loop, reducing risk further for the partner. Another major benefit for the partner is providing them with a digital track record of their past performance, something which companies in other industries like hotel groups with Trip Advisor or Retailers with Alibaba have found essential to success in the digital economy.
A critical question all investors ask is how reliable is the information from the partner. Is it accurate and objective? Our belief is that if the partner’s assets / money are invested alongside the investors, chances are they will work hard to be accurate, timely as possible with the information they provide and execute effectively on the opportunity. This is not to mention that their digital reputation will also be on the line.
In the traditional Funds and REITs they hire many consultants into their companies, who are experts in their respected fields, to analysis the risk and make investment decisions. However because the consultant does not have any risk involved (with the exception of the pay check) it is easier to postulate information under pressure, which can lead to misguided investment decisions. Their fee structure which is mostly based on AUM (Assets under management) is not aligned with long term returns for the investors.
For Collaborative SMART Investing (TM) to truly fore fill its potential all experts / partners feedback, including the marketplace, must be collated in a balanced manner, without regional bias and be presented clearly for investors to make the right decisions for themselves. At Wealth Migrate we are always looking for ways to improve the customer experience (CX) and tools to make these decisions as simple, safe and personalized as possible for our investors.
The components which make this type of philosophy work are: first you must find the right local partners on the ground in the markets where you want to invest, second you must get them to invest, third you need them to believe in the model, fourth you must conduct regular meetings, fifth and most important of all, you must create two-way communication between the partners and the investors, using the platform as the medium.
Building a network of local partners and global investors takes time; however, if applied properly the benefits can be very rewarding. In the past this was virtually impossible for people to do on their own and yet now with Wealth Migrate, global investors can tap into our Trusted Global Real Estate Marketplace which we have been building for more than 2 decades.
Therefore, we believe that crowdfunding is merely a stepping stone to a far bigger purpose which Wealth Migrate is providing for, and it is only one of the pieces which has been adopted to provide a service which actually 10x’s the original concepts of crowdfunding.
Using Collaborative SMART Investing (TM), Wealth Migrate has been able to surpass normal investment results, generating higher returns, with less costs and lower risks in a compliant and safe way. This is to the benefit of the investors, the partners and the platform, who truly are in a partnership with all their interests aligned.
At the end of the day the investor enjoys the investor process because they become part of it and ‘learn while doing’ and because they understand that Collaborative SMART Investing (TM) costs them nothing while allowing them the freedom to contribute to the process. It truly does replicate the social laws of nature and why it is so sustainable, effective and efficient.
Finally, to be truly sustainable it needs to be even more than the investor, the partner or the investment. It has to be about purpose. Here is how we will use CollaborativeSMART Investing (TM) to not only enhance the lives of every customer we touch, but also be purposeful and solve one of the greatest challenges on the planet – The Wealth Gap.
Wealth Migrate has pioneered the Wealth Movement, whose mission is to empower a billion people by 2020 and create a better and more sustainable planet for all. Go to www.wealthmovement.com for more information.
Join us, let us help empower you to create the economic freedom you want in your life for you and your family, while also having a purposeful impact on the planet!