Study: Minnesota 3rd in nation among Kickstarter users for tech financing - Bring Me The News

Study: Minnesota 3rd in nation among Kickstarter users for tech financing


Starting a Kickstarter account for your new tech adventure? If you're in Minnesota, you're certainly not alone.

At least according to a trio of researchers from the University of Toronto, that's the case. Ajay Agrawal, Christian Catalini, and Avi Goldfarb explored crowdfunding's increasing popularity, the Huffington Post reports, and Minnesota comes in third behind New York and California for most Kickstarter fundraising.

Some findings are unsurprising, reports the HuffPo. California, New York and Tennessee are hot spots for music, for example. But many of the discoveries are more surprising. Texans have a tendency to invest in gaming, and Minnesota is all about tech.

This data, claim the researchers, can give a new perspective on America's regional quirks. The paper, called "Some Simple Economics of Crowdfunding," has a map (above) of Americans' preferences on the sorts of Kickstarter projects they fund, state by state.

The researchers compared crowdfunding to more traditional forms of funding like venture capital. Crowdfunding offers different incentives and different risks to investors than venture capitalism does.

Kickstarter, the Post notes, is one of the biggest crowdfunding sites out there since it launched in 2009. There have been more than 102,000 projects started through it, with 43 percent of the money coming from the public.

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