Spending a single dollar on crowd funding is the stupidest thing I think you can do with your money. I can't even wrap my head around it. Toss money at a concept, hoping it becomes reality, even if it does, not a single penny of the profits come your way.
What? Haha, no thanks, ima send it off to the nigerian princes instead.
I think that's overly harsh. There are some problems with crowdfunding sure. It's obviously not an investment, it's not even *technically* a purchase (though most starters are marketed that way), but it has it's strengths too.
For gamers, while there's been a number of big successes, there's been a few blatantly bad Kickstarters. But for a game like Pillars of Eternity, it would have never been made without kickstarter. Publishers wouldn't pick it up, and even if Obsidian did somehow manage to get in with an EA, Ubisoft of SE on it, it's doubtful they would have let it get anywhere near the end product released. Probably would have morphed into some awful Fable-esque game. It's turned out to be a massive success. The same can be said for Shadowrun Returns, Divinity: Original Sin, maybe Wasteland 2. Even Elite Dangerous (as a comparison to SC) which is largely viewed as a good launch and support was kickstarted.
For non-gaming products there's been successes too. The Sansaire Sous-vide was a great success, and at the time was hands down the best non-bank breaking Sousvide you could get. It helped bring it more mainstream and put downward pressure on the prices for precisions cookers like Anova (and now there's a wide selection of immersion-circulator SV).
Like anything, particularly new funding types, it's imperfect and more starters will creep in over the initial few years that will burn backers. But, if you approach it with money you can afford to lose, and with projects that seem like they have a good chance to deliver what you want, it's certainly a viable option. There's just a lot of things that will never get past funding, or past marketing teams/analysts that can turn out to be big successes. It's just that with starters the 'Your Results May Vary' is a lot more crucial to keep in mind than a retail consumer product, and it's certainly not like all of us can't think of at least one consumer product that turned out to be a dud, riddled with hardware issues or failures, didn't deliver as expected/promised/advertised (For gaming, just think of anything post 2000 by Molyneux, AC Unity, Big Huge Games, etc). The difficulty with Kickstarter is that there can be a large time delay in between pledge and delivery that can open up a number of problems, or give them time to arise and that it's very difficult to make a really reliable estimate of what a project will turn out like (if at all) and if it'll deliver as promised. Part of the solution is vetting the project your looking at, be it past history
Nothing unforgiveably wrong with kickstarter, just as it's not the solution to every funding/product/problem. If people want to back a project, all the power to them, but they just have to be aware of what they're getting into and what the risks are.