RESEARCH PAPER

Empowering Crowdfunding with Blockchain Technology

Deepak Kumar 1(corresponding author)
AKTU , Kiet Group Institution, Ghaziabad, India. deepak.2125csit1086@kiet.edu

Avinash Tiwari2
AKTU , Kiet Group Institution, Ghaziabad, India. avinash.2125csit1158@kiet.edu

Amit Kumar Verma 3

AKTU , Kiet Group Institution, Ghaziabad, India. amit.2125csit1176@kiet.edu

Aman kumar4
AKTU , Kiet Group Institution, Ghaziabad, India. aman.2125csit1161@kiet.edu

Supriya Dubey 5
AKTU , Kiet Group Institution, Ghaziabad, India. supriya.dubey@kiet.edu

ABSTRACT: Crowdfunding is an online tool for raising money that uses social media and the
internet to reach out to small businesses, innovators, NGOs, and charities. Traditional
crowdfunding, on the other hand, is hard to understand and has security problems. Adding
blockchain technology solves these problems by making things safer, more efficient, and more
clear, which makes scam less likely. This study looks at the differences and similarities between
controlled and decentralized crowdfunding systems, with a focus on the advantages of using
blockchain. The project suggests a way to solve common crowdfunding problems by using
Ethereum smart contracts to make sure projects are finished on time and reduce trust concerns.
Blockchain-based decentralized crowdfunding makes it easier for more people to participate,
makes the process more open, and lowers the fees.

Keywords: Test Blockchain, Crowd-funding, Decentralized.

1. INTRODUCTION
Crowdfunding has completely changed the way businesses get money. Instead of relying on a
small group of investors, entrepreneurs can now ask a lot of people online for help, which
makes everything more fair and open. This opening up of fundraising through crowdfunding
platforms lets business owners get around the restrictions put in place by traditional
gatekeepers, making it easier for them to connect directly with a wide range of possible
investors. This change has not only made access to capital more equal, but it has also created a
world-wide atmosphere that encourages creativity and new ideas. Overall, crowdfunding is
about people working together to reach common goals by sharing resources and supporting each
other. By getting help from a wide range of people, entrepreneurs can get a lot of money and a
lot of different ways to make their projects come true. Crowdfunding has also given businesses
a chance to succeed that were previously turned down by traditional funding sources because
they were too risky or unusual. Beyond the money it has raised, crowdfunding has built a global
community of people who are committed to supporting creation and making new ideas come to
life. This spirit of working together has led to the creation of ground-breaking goods,
technologies, and platforms for artistic expression, which has improved innovation in many
areas and given people around the world who want to start their own businesses more power.

2. LITERATURE SURVEY

1. Decentralized crowdfunding platform using blockchain technology by Mahima Varun.Etal

2024[1]:
This study examines crowdfunding's evolution, emphasizing blockchain's role in enhancing
security, transparency, and efficiency, fostering global collaboration, and democratizing access
to funds for innovative, entrepreneurial initiatives during COVID-19 and beyond.

2. The Role of Race and Ethnicity in Healthcare Crowdfunding: an exploratory analysis by Sara
Machado.Etal 2024[2] :
The research explores medical crowdfunding's impact on expensive treatments, emphasizing
unequal success rates among racial groups and disparities in care access. It advocates policy
changes to ensure fairness and improve healthcare outcomes for underrepresented communities.

3. The Use of Medical Crowdfunding to Mitigate the Personal Costs of Serious Chronic Illness:
Scoping Review by Mary Kilella.Etal 2023[3]:
The review analyzes medical crowdfunding for chronic illness, highlighting financial burdens,
stress dynamics, and coping strategies. It recommends improved methodologies, stronger
privacy safeguards, and deeper exploration of coping mechanisms to better support vulnerable
participants navigating complex healthcare funding challenges.

4. Crowdfunding platforms: a systematic literature review and a bibliometric analysis by

Alexandra Mora-Cruz.Etal 2023 [4]:
The research explores the rising significance of crowdfunding amid COVID-19, focusing on
Latin America through incentive, equity, and loan models. It underscores crowdfunding’s
advantages for entrepreneurs and investors, recommending deeper investigation into platform
technologies and business development influences.

5. Implementation of crowdfunding web application using aws amplify architecturwith end-to-

end testing using playwright by Ary Utomo.Etal 2023[5] :
The study leverages AWS Amplify, Next.js, and Playwright to develop a secure, user-friendly
fundraising web tool using Agile Scrum methodology. Achieving a 210% efficiency boost and
93.29% user satisfaction, it ensures cross-browser functionality, enhancing fundraising
transparency, accessibility, and effectiveness. It highlights technology's transformative role in
modern fundraising processes.

3.PROPOSED METHODOLOGY
The current medical crowdfunding approach usually entails people or families starting
internet campaigns to raise money for medical bills. Donors are able to make monetary
contributions to these projects through crowdsourcing platforms. In order to attract
possible donors, the procedure frequently involves telling the patient's biography, as
well as their medical history, treatment strategy, and financial need. Contributions from
supporters can range in size, and the money received is usually used to pay for
therapies, prescription drugs, medical bills, travel expenditures, and other associated
costs. Funds are often paid to the beneficiary directly through crowdfunding sites,
however they may charge a percentage fee for their services. While many people in
medical crises have found this strategy to be a lifeline, it also has drawbacks, including
worries about trust, regulatory constraints, and the ability to exploit weaker people.
 Figure 1. Illustration of Existing crowdfunding mode

We have to keep track of and handle a lot of transactions in crowdfunding. The

blockchain idea is used to keep track of these transfers in this case. The main people
involved in this project are the funding platform, the funder, the service provider
platform, and the blockchain idea for keeping track of transactions. Both the fundraiser
and the service provider have to log in to the site. If they are a new user, they sign up on
this service provider website. In this digital age, blockchain is changing the way
companies are usually run. This thesis talks about how Blockchain technology and
Smart Contracts can be used to make DecentralizedApplications (DApps),
DecentralizedAutonomous Organizations (DAOs), and the creation of Currency
(Cryptocurrency) that lets people trade Assets and Wealth. The main goal will be to
built a decentralized social donation app on the Ethereum blockchain.The Blockchain
technology would be used to create the application's decentralized design by creating
Smart Contracts that handle transactions and management on the Blockchain network.
There is no better project to show how Web3, blockchain, Solidity, and smart contracts
work behind the scenes than this one. It has a beautiful design, can connect to the
blockchain, pair metamasks, work with smart contracts, send Ethereum through the
blockchain network, write Solidity code, and, most importantly, it can instantly create,
view, and donate to crowdfunding campaigns through the blockchain. Metamask is used
to connect a react app to the blockchain and an Ethereum wallet. These are the basic
building blocks of the decentralized crowdfunding site. The Chrome Metamask tool will
be used as a wallet so that our decentralized app can talk to it. Users can securely
connect to decentralized apps, store and control account keys, send and receive
Ethereum-based tokens and cryptocurrencies, and do broadcast transactions through a
compatible web browser or the built-in browser of the MetaMask mobile app.The smart
contract was made on the Ethereum network using the Solidity computer language. It
was then put on the blockchain with just one command using third web. From the
thirdweb's easy-to-use website, where the smart contract is deployed, the developer can
look at all the examples of read and write command code and even copy the address of
the deployed smart contract. With this Web 3.0 app, users can send transactions through
the blockchain, which makes the site fully decentralized and open for crowdfunding.
The blockchain will keep track of each transaction forever, and each one will be linked
to a specific crowdfunding effort

Figure 2. Illustration of proposed decentralized crowdfunding model

4. RESULTS
Developing a crowdfunding web application enables project creators to secure financial backing
for ventures like startups, creative projects, or medical expenses. These platforms foster
community engagement, innovation, and collaboration. Challenges include user acquisition,
trust-building, and legal compliance, but they empower creators with global reach to transform
ideas into impactful realities. Integrating advanced technologies like blockchain and AI further
enhances transparency, personalization, and scalability.
 Fig3. Funding for Medical Cause Fig4. Raising funds with blockchain

Fig4. Document upload page Fig5. Patient Registration Form

5. CONCLUSION AND FUTURE SCOPE

Creating a crowdfunding web application harnesses cutting-edge technologies like blockchain
for immutable transaction records, AI for personalized campaign recommendations, and AR/VR
for immersive storytelling. Enhanced payment processing ensures secure, efficient donations.
Expanding into sectors like healthcare and sustainability, these platforms democratize
fundraising, fostering global impact and innovation through user-centric, scalable solutions.

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PROOF OF COMMUNICATION, ACCEPTANCE