TL;DR: Independent Collectives are being converted to Organizations to make the platform more consistent. There is no change in functionality.
From its beginning in 2017, the platform was built around three main types of accounts: Individuals, Collectives, and Organizations. Over time we expanded what these accounts could do and introduced concepts like Independent Collectives, Money Management, and Hosting for Organizations.
This gradual evolution created overlap. Many users asked about the difference between an Organization with Money Management enabled and an Independent Collective. The confusion made sense, the two worked almost the same, with only minor differences in flexibility.
As we continue improving the platform, our goal is to make it easier to understand and easier to join, both for new users and for those who have been here for years. A key part of this is clearly aligning account types with how things work in the real world. On the platform, Organizations correspond to legal entities, while Collectives represent groups that do not have a legal entity and therefore operate with the support of a Host. With this clearer foundation in place, we are moving to a simpler and more consistent structure.
A simpler model for Collectives and Organizations
We are simplifying account types on the platform. There will now be two clear categories:
- Organizations are legal entities, such as non-profits, cooperatives, or companies. They can manage funds for themselves and/or act as Hosts for Collectives by receiving and holding contributions on their behalf.
- Collectives are groups of people with a shared purpose, such as an open source project, a local grassroots initiative, or a community group. They raise and spend money through a Host, which is responsible for holding and managing the funds, as well as legal administration, accounting, and tax obligations.
In short, Collectives focus on their mission and activities, while Organizations carry the legal and financial responsibility. This clear separation of roles makes the platform easier to understand for existing users and for newcomers joining in 2026 and beyond.
What’s happening to Independent Collectives
Until now, some groups have used the platform as Independent Collectives, managing their own funds without a Host. To make the overall model more consistent and easier to understand, we are transitioning Independent Collectives to become Organizations.
If you currently have an Independent Collective, there should be no change to your functionality or day-to-day operations. You will continue to use the same tools to receive contributions, pay expenses, and manage your budget.
This change is about simplifying the overall structure of the platform, not altering how you operate today.
Conversion between Collective and Organization
We know that groups evolve over time, and that choosing the right setup is not always obvious from the start. For example, some groups begin as Collectives with a Host, then later create a legal entity and continue independently. Others may initially choose the wrong account type during onboarding.
To support these situations, you will be able to convert between a Collective and an Organization when needed, as long as the account balance is zero at the time of conversion.
A word on pricing
Following our move to a non-profit structure, we have been working on a new pricing model for 2026. The final structure is still under review by the members governing Open Finance Consortium, our non-profit organization.
We have already reached out to some potentially impacted users in July and will follow up again soon. If you have not heard from us, the intent of the new pricing is to keep a free tier available for Organizations ( including current Independent Collectives) that are not hosting other Collectives, not using advanced features, and processing a modest amount of expenses each month.
Fees may apply for higher volumes or advanced features. We will share full details as soon as the pricing is finalized and approved, with enough notice for everyone to prepare.
A step toward a greater onboarding experience
This update is one step in our broader effort to make the platform simpler and more welcoming for everyone. It brings more clarity for both Collectives and Organizations.
For the first time, onboarding can start with a simple question, “Do you have a legal entity?” This helps guide Collectives that need a Host and Organizations that can manage their own funds toward the right setup from the start. It also gives Organizations, whether they host others or not, a more coherent first-time experience.
Over the past year we have focused on steady, meaningful improvements that strengthen the foundation of the platform. This work is now coming together. A new Setup Guide to support onboarding is already available, and we will keep rolling out updates that further improve the onboarding experience for everyone.