A Trustful Payment System for Crowdfunding using Blockchain

Abstract

Ideas lead to innovation which benefits the society. Innovation is a way of advancing, evolving, and improving our way of living. It is also a method of growing our economy. But to bring these ideas into reality, a huge capital investment is required. Sometimes, the person himself is capable of funding the project. Other times, when he’s not capable of funding his project, he may resort to other methods of raising money. One of these successful methods include crowd funding. Crowdfunding refers to the use of small amounts of capital from a large number of individuals to finance a new business venture. In exchange for their investment, the contributors get certain rewards. These rewards may include profits or some other stuff.Crowdfunding can be done through various platforms like social media. There are also some specific websites that focus on the idea of crowdfunding. These crowdfunding websites include crowdfunding platforms like Kickstarter, GoFundMe, Experiment, Fundly. But with the rising popularity of these investment based crowdfunding websites, there is also a rise in the cases of scam via these websites where the people don’t get any reward in exchange for their investment.Another issue with the traditional payment systems is that noticeable transaction fee is levied on payment via these payment methods. Our main goal is to create an intermediate network between the communities and the project idea for the scam-proof arrangement. The issue with the transaction fee would also be resolved to some extent. We proposed to do this by using Ethereum Smart Contracts-Blockchain instead of the traditional payment methods. This would result in considerable decrease in the scams and make it a trustworthy payment system and would attract more audience.