Fundraising through Blockchain

Abstract

After China, India has the world's largest MSMEs (Micro, Small and Medium Enterprises) sector. MSMEs account for over 30% of GDP, a figure that has been stable in recent years. Unfortunately, 99.5 percent of MSMEs remain microenterprises, and have always found it difficult to grow for a variety of reasons. One major cause is the difficulty of raising funds or attracting investments. Approaching formal sources of money would benefit greatly if the economy became more formalized. They are currently confronted with significant obstacles that prevent them from approaching these sources. The most significant issue that businesses and individuals with brilliant ideas confront is that investors are hesitant to participate in their ideas due to concerns about the safety of their assets. Individual investors are wary of investing in startup ideas because of the countless online scams. There are a few drawbacks to online investment, like security, hacking, and exit scams. Money trials are not available to investors, and they have no understanding how their money is being spent. As a result, our suggested solution is a truly trustless decentralized system in which investors do not have to worry about their money being misappropriated. Investors own all of their funds outright, and every expense must be approved by the investors through a governance vote. Unlike traditional banks, all fund transfers and expenditures are accessible to everyone, resulting in a better money trail.