Lithuania has emerged as one of Europe’s most active crowdfunding markets, while Latvia’s sector remains at an early stage.

According to a report by the European Securities and Markets Authority (ESMA), over €4 billion was raised across the EU in 2024 via more than 180 licensed crowdfunding platforms.

The five largest markets, France, the Netherlands, Spain, Italy and Lithuania, account for over 80% of this activity, with Lithuania alone raising around €280 million.

Experts note that Latvia’s crowdfunding platforms could benefit from closer cooperation with public institutions.

Lithuania’s experience demonstrates that a supportive regulatory framework and public-private collaboration can drive market growth.

A national crowdfunding law introduced in 2017, alongside strong local platforms, helped build investor trust and foster dialogue with regulators.

Dr Vytautas Šenavičius, chair of the Lithuanian Crowdfunding Association, observes:

“It took years of regulatory clarity, the development of strong local platforms and gradual trust-building among investors and with supervision. Cooperation with public institutions such as ILTE helped accelerate the market by combining private investor capital with public financing instruments.”

Platforms operating in both countries report that investor activity remains higher in Lithuania, though interest in Latvia is growing.

Juris Grišins, CEO of Capitalia, notes:

“To broaden companies’ access to capital and reduce dependence on the banking sector, it is important to develop additional financing channels, including crowdfunding platforms and other alternative financiers.”

Cooperation between Lithuanian platforms and state institutions has proven effective. Last autumn, agricultural platform LANDE became an official partner of ILTE, enabling joint financing for farmers.

In Latvia, investment platforms and the Fintech Latvia Association are exploring a co-financing mechanism with public partners to expand access to funding, support SMEs, and strengthen the local fintech and capital markets.

Featured image credit: Edited by Fintech News Baltic, based on image by inguskruklitis via Freepik

This article first appeared on Fintech News Switzerland