"Taken by Storm" Applies Equally to Cyclones and Crowdfunding

Crowdfunding thrives thanks to the Internet - just like inland tropical cyclones are energised by global warming.
George ILIEV

In 2007 a tropical storm named Erin took America by surprise. Cyclones usually weaken after making landfall but Erin defied the hurricane convention: it grew stronger over Texas and even formed an eye above Oklahoma. Since Erin, scientists have defined a new category of tropical cyclone: while the usual type derive their energy from the heated surface water of the ocean, this new tropical storm category derives its energy from evaporation of soil moisture (figuratively called "brown ocean"). NASA-funded research at the University of Georgia (USA) shows that rising global temperatures and increased humidity in some areas are making this unorthodox category of hurricanes not only possible but increasingly common.

In a similar way, the spread of the Internet and growing consumer wealth create "the perfect storm" that has made a new social phenomenon possible: crowdfunding. The conventional way of funding a project or business has always been through savings and bank loans or by selling shares on the stock market (analogous to the conventional view that the warm ocean feeds tropical cyclones). Crowdfunding projects are known to have existed in the past - e.g. for raising funding for the pedestal of the Statue of Liberty in the 1880s - but were never the norm. Crowd-sourced fundraising has taken off only after the Internet and consumer wealth became widespread. Microfinance platforms such as Kiva and creative micro-investment platforms such as Kickstarter are now making a significant impact worldwide. However, unlike the hurricanes, their impact is hugely positive.

(Photo: Tropical cyclone, as seen from space. Source: Wikipedia)