Will Crowdfunding Effect Video Game Development in 2016?


With the new crowdfunding regulations taking effect in 2016, it will be interesting to see the impact across numerous industries, while tech startups and real estate investments are expected to grow dramatically, there will also be numerous other opportunities for crowdfunding to affect how capital is raised.

As this recent article from VentureBeat, Fig levels up crowdfunding by accepting actual investments from gamers, points out that video game fans will have increased opportunity to invest in new games happening in 2016.

Whether or not this will become a real source of funding for video game creators is yet to be seen but with the number of potential video game investors about the grow, there is a real chance crowdfunded video games could have a dramatic effect on the video game industry.

Previously, Fig was allowed to raise investments for startups only from accredited investors. Pre-approved under SEC regulations, accredited investors earn a minimum salary of $200,000 or possess a net worth of at least $1 million, not including their homes.

With this next campaign, more fans can be investors, though they may not invest more than 10 percent of their annual income or net worth. The minimum a fan can invest in the upcoming campaign is $1,000, and the maximum is $10,000. The minimum will change with each campaign.

“I think this is the future of crowdfunding,” Bailey said. “Companies are opening up and are being more transparent with fans. This is the next evolution. Fans should have the opportunities to participate in the investment.”

People contributing money for games under development will now separate into two groups. Those who pledge less than $1,000 can still receive various rewards, based on the amounts they pledge. Those who invest more than $1,000 will be considered investors in the project, and they will receive investment returns based on the shares that they own.