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Inside the VentureCrowd collapse: Aussie investors chase $12.2m after promises of 30% returns – ‘That was my entire retirement. I’ll be driving Ubers until I’m 80’
Australian investors are trying to recover $12.2 million after the collapse of VentureCrowd, a crowdfunding platform that had promoted high-return property and investment opportunities. The article centres on the personal toll on investors, including retirees who say they put in life savings after being attracted by promised returns of up to 30 per cent. The case matters because it raises broader questions about the risks of private investment platforms, due diligence, and how ordinary investors can be exposed when ambitious projects fail.
The report says VentureCrowd has gone into administration, leaving creditors and investors facing major losses tied to projects including a Gold Coast development. Some investors said they were led to believe the opportunities were secure or strongly backed, only to find their money trapped in failed ventures. The $12.2 million figure reflects the amount now being pursued, while the article highlights how promised double-digit returns and confidence in the platform’s leadership encouraged people to commit large sums, in some cases their entire retirement funds.
In short
- Investors are chasing $12.2 million after VentureCrowd’s collapse
- Promised returns of up to 30 per cent drew people in
- Some say they lost retirement savings in failed projects
Explained simply
VentureCrowd was an Australian crowdfunding platform that allowed ordinary investors to pool money into property and business projects. The platform has now collapsed and entered administration, with external administrators managing its assets.
The platform attracted thousands of Australian investors, including many retirees seeking income on their savings. It promoted investment opportunities offering returns of up to 30 per cent annually, substantially higher than traditional bank savings, which appealed to people looking for better yields.
The collapse has left approximately $12.2 million in investor funds unrecovered, trapped in failed projects including a Gold Coast development. The case highlights the risks faced by investors backing private ventures through online platforms and raises questions about how thoroughly such opportunities are assessed before being offered to ordinary savers.