Imagine you invest $500 to help a startup get off the ground through investment crowdfunding. The pitch is slick, the platform feels trustworthy, and the company quickly raises its target amount from hundreds of people just like you. Then—silence. No updates, no financials, not even a thank-you.

You’ve been ghosted—not by a friend, but by a company you helped fund.

This isn’t just an unlucky anecdote. It’s happening across the United States. And while it may violate federal law, there’s little enforcement—and virtually no consequences.

Thanks to a 2012 law, startups can raise up to $5 million per year from the general public through online platforms such as Wefunder or StartEngine. The law was intended to “democratize” investing and give regular people, not just the wealthy, a chance to

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