Crowdfunding Data & Debate: Trends, Regulation, and Startup Spotlights

CHART OF THE WEEK

Winter tightened its grip on investment crowdfunding in February as Regulation Crowdfunding totals dropped to $21.95 million and investor participation declined sharply compared with both January and the same month last year. The slowdown reflects a quieter stretch that often appears early in the year, though the drop in investor counts suggests retail enthusiasm has cooled more noticeably than capital totals alone might indicate.

Even so, activity did not disappear. Wefunder and DealMaker continued to lead the platform landscape, and several campaigns including Pirouette Pharma and Green Coffee Company attracted strong investor demand. Regulation A offerings also contributed more than $45 million during the month, helping keep overall investment crowdfunding activity above $67 million. With spring historically bringing the industry’s seasonal rebound, the coming weeks could determine whether February marks the yearly low point or the start of a more challenging period for crowdfunding in 2026.

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EVENTS

Live Webinar (Mar 18 @ 1pm ET): Build a Complete Private Markets Portfolio

Private markets investing doesn’t have to be opaque. Join Kingscrowd with Equity Trust Company and Willow Wealth for a practical, 3-layer framework—Core (diversified foundation), Satellite (higher-conviction opportunities), and Liquidity (flexibility without “locking up everything”)—plus a live walkthrough + Q&A.

KINGSCROWD PODCAST

By Sam Fiske / Watch | Apple | Spotify

Reg CF Reform: Are We Fixing the Right Problems?

A new SEC petition proposes raising the Regulation Crowdfunding cap from $5M to $20M — but will that actually unlock growth?

This week on the Kingscrowd Podcast, Scott Kitun and Teddy Lyons debate whether structural reforms like cap increases move the needle, or if the real bottlenecks lie elsewhere.

UPCOMING EVENTS

PITCH REVIEW 💸

By Teddy Lyons\ Deal Report

Brief: tapouts is a pediatric mental wellness company delivering live online group coaching for kids and teens. The platform hosts weekly 30-minute Zoom sessions where children join small peer pods led by trained coaches who guide interactive activities focused on emotional wellbeing, mindset skills, and social development. Tapouts serves parents of children ages 4–16 through subscription access and is expanding toward schools and employer partnerships to scale preventive mental health support.

Teddy’s Quick Take: 

I'm not usually interested in tele-health platforms, as I consider it a very saturated market with little room for innovation. The space is crowded with apps offering meditation or journaling, and traditional therapy that's expensive and hard to access.

But when I see one with millions in revenue and tens of thousands of sessions served, I typically take a second look just in case.

Tapouts focuses on children's mental health through live, coach-led group coaching. The product provides 30-minute weekly interactive sessions where kids talk, play, practice emotional skills, and connect with peers in a fun, social format. It's designed for early stress and anxiety prevention, filling the gap between passive wellness apps that lose engagement after a week and costly clinical therapy that's often unnecessary or inaccessible. What sets it apart is the emphasis on human connection and habit-building. Kids actually want to return, plus it's HSA/FSA eligible for affordability.

Proof is in the traction. They've delivered 28,500 sessions to over 200,000 children, hit $5 million ARR with around 70 percent gross margins, 85% first-session attendance, and 72% converting to paid subscribers. This leads to sustained impact, like kids applying skills at school or home. The company is also backed by VCs like Joyance Partners, Satori Neuro, and M Venture Partners, who've contributed to the $7.4 million in total company funding.

There are some issues of course, like the high burn rate of over $223k and seemingly just a few months of runway. Projections like scaling to $100 million revenue by 2030 are obviously very ambitious and the model relies on maintaining high engagement as they expand into B2B partnerships with schools, employers, and insurers.

If you're eyeing telehealth with real traction in youth wellness and a path to B2B scale, Tapouts is worth a look.

STAFF PICKS 🌶️

The Bouqs Co.

By Teddy Lyons

The Bouqs Co. revolutionizes floral delivery with farm-direct sourcing for sustainable, fresher bouquets via e-commerce, subscriptions, and retail. It boasts 270M stems sold, $91M in revenue, EBITDA positivity, and key partnerships with Macy’s and Whole Foods.

Flying Eyes Optic

By Léa Bouhelier-Gautreau

Wearing glasses under a helmet or headphones is uncomfortable. Flying Eyes Optic doesn't see why it should stay that way. The company built flexible and comfortable glasses for the millions of aviators, motorcyclists, and other headset users. With already $3 million in yearly revenues, the company's ability to reach its audience is pretty clear.

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