African Crowdfunding Association Probing Controversial Uprise.Africa

• The African Crowdfunding Association (ACfA) is carrying out a review of the Uprise.Africa equity crowdfunding platform this week.
• The ACfA is reviewing Uprise.Africa and its adherence to the association’s Charter of Good Conduct.
• The association will release a statement after the review is concluded.

The African Crowdfunding Association (ACfA) is carrying out a review of the Uprise.Africa equity crowdfunding platform this week, the association’s CEO and board member, Elizabeth Howard disclosed this.

The association, which is a non-profit organisation receiving grant funding from FSD Africa, represents African crowdfunding platforms and mediators. Questions are now being asked about the crowdfunding platform, its head, Qadir Tabassum, and an R25-million fake pledge made to Intergreatme startup SA.

The African Crowdfunding Association is reviewing Uprise.Africa and its adherence to the association’s Charter of Good Conduct. Howard highlighted that crowdfunding is not very regulated in Africa and that the association aims to accelerate the implementation of effective regulation across the continent.

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In the absence of regulation, the association serves to protect the industry through the voluntary compliance of its Members with our Charter of Good Conduct, she explained.

She said the review of the association will include a re-evaluation of Uprise.Africa’s compliance with the association’s Charter of Good Conduct.

The association will release a statement after the review is concluded, she said. She noted that Uprise.Africa is a unique platform in Africa as it is governed by the Financial Sector Conduct Authority (FSCA) under the Financial Advisory and In Advisory.

“ACfA will ensure that its members learn the lessons of this situation, and we may decide to convene media in a discussion around the journalistic coverage of crowdfunding campaigns — especially securities-based campaigns — so that principles of consumer protection are respected,” she added.

“It is critical that this industry evolves in a regulated way in order for it to serve the broader investor and entrepreneur ecosystems effectively”, said Howard.