Blockchain-Based Crowdfunding for Startups in Pakistan: A Viability Study

• Post by: airjournals
• November 28, 2024
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Faiz Rasool
Institute of Business Management Sciences, University of Agriculture Faisalabad, Pakistan

Abstract Blockchain technology is anticipated to impact entrepreneurship and entrepreneurial activities in a number of profound ways. This research aimed to explore the feasibility of adopting blockchain technology in crowdfunding systems targeting startups in the Pakistani context. In fact, the empirical investigation of 250 Pakistani startups and 500 potential investors aimed to analyse the technological treadmill, regulatory factors, and the market acceptance of blockchain-based crowdfunding. Analyses revealed the positive and highly significant relationship between the adoption of the blockchain and funding success rates, and predictors were identified as regulatory compliance and technological infrastructure (r = 0.67, p < 0.001). Having identified the factors of funding access and relevant transaction costs in the Pakistani context, the study revealed that blockchain-based crowdfunding platforms might enhance funding access by a figure of 45 percent and also minimise the spot transaction costs by a figure of 32 percent relative to the crowdfunding facility. Keywords: Blockchain Technology; Venture Capital; Crowdfunding; Pakistani Startups; Fintech Citation: Rasool, F. (2024). Blockchain-Based Crowdfunding for Startups in Pakistan: A Viability Study. International Journal of Advanced Finance and Accounting, 5(2), 39-49 https://doi.org/10.5281/zenodo.14237527