Crowdfunding Platforms Based on Donations and Their Role in Promoting Financial Inclusion: The Cases of Kiva and GoFundMe

Abstract

This study aims to explore the role of crowdfunding platforms based on donations, such as Kiva and GoFundMe, in enhancing financial inclusion. The inductive approach was adopted to collect and analyze data from secondary sources to understand the role and impact of these platforms on financial inclusion.

The results show that Kiva contributes to providing loans to individuals and small projects in developing countries, while GoFundMe seeks to raise donations for charitable purposes and personal projects. The success in promoting financial inclusion is attributed to the technological capabilities and wide network of these platforms, which facilitate effective and secure communication and donation processes. The study recommended further research to understand the impact of donation-based crowdfunding platforms on local communities and national economies, and to assess the effectiveness of legislative policies in supporting and regulating these platforms to ensure their sustainability and broader inclusion of beneficiary communities.