Abstract: Based on an empirical study of some major crowdfunding platforms and their operation, the author categorizes donation-based crowdfunding as the following three main models:self-service model, leveraging model and mixed model. Each model has its advantages and disadvantages. Donation-based crowdfunding contribute to enhancing the public's participation in public good, innovation of charity projects, transparency of the charity industry and the public's trust for the whole charity industry. In the same time, donation-based crowdfunding faces many risks. Before the formulating of Charity Law, donation-based crowdfunding is at the stage of growing wildly. With the enforcement of Charity Law, the legality of some operation models of donation-based crowdfunding will be challenged. In order to make sure that donation-based crowdfunding getting onto the right track, some effective measures from the perspectives of both the regulator and the supervised have to be taken to reduce the risks and meet the challenges.

Key words: donation-based crowdfunding, models, challenges, charity Law