It is true that much has been made (including by me) of reported changes made by certain research analysts in their estimates of future performance. Let’s come back to that after we look at the facts on the prospectus.

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Learnist builds on Grockit’s social teaching concept while adding another element that company founder Farb Nivi claims is crucial: The visual element.

Think of Learnist as something of a mashup between Pinterest and Wikipedia. Users find content from across the Web — videos, news stories, music, Soundcloud links and what have you — and post it to a personal board that other users can follow. It’s ideal, Nivi says, for teachers who want to curate multimedia lessons for students to follow, though without the feel of a stodgy, traditional lesson plan.

Grockit has already garnered a following, attracting more than a million users through its test prep service product alone. But the user pool for online test prep is only so large. With Grockit’s wiki-like Learnist product, the company hopes to spread its reach far beyond the cramming crowd. Facebook integration, which the product indeed has, will only help to further the cause.

Naturally, iPad and iPhone apps are in the works, to be expected in the coming weeks.

Trading desks at Goldman Sachs Group Inc. and J.P. Morgan Chase & Co., two of the firms that helped Morgan Stanley underwrite the IPO, were among those lending out Facebook shares that hedge funds needed for short sales, according to people familiar with the matter.

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What we didn’t know, however, is that Facebook was essentially building its own version of a standalone mobile photo-sharing application, ostensibly to compete with Instagram before it took over the mobile photo-sharing world completely.

How do I know that? Because Facebook will launch the product this afternoon in Apple’s App Store.

It’s called Facebook Camera, and it’s essentially Instagram redux. One, it’s a standalone Facebook application, separate from the Facebook app proper, much like the company’s Facebook Messages app. Facebook Photos product manager Dirk Stoop told me in an interview this morning that it’s an instant portal to one of Facebook’s largest use cases: Photo sharing.

Secondly — and I cannot stress this point enough — Facebook seems to have learned a heck of a lot from Instagram. Photos in Facebook Camera are full-bleed, spanning the entire width of the iPhone’s screen (which was probably tested when Facebook tweaked the photo experience for mobile last week). You’re able to comment and “Like” photos directly from the stream. And, of course, there are filters (albeit ones with names nowhere near as fun as Toaster or Valencia).

More than this, it’s very lightweight. The app moves much faster than browsing photos within Facebook. And by introducing a separate camera app, it’s another way of bypassing the cumbersome, clicky process of adding pictures via the main Facebook app.

It would be nice if the main Facebook app could just work this well, but Stoop said that this app was the brainchild of the dedicated Photos team he spearheads. That means moving faster, and breaking — then repairing — things quicker.

“Having separate teams focus on their area of expertise allows us to innovate faster,” Stoop told me. “Which, eventually, helps to integrate features into the mainline product.” There’s hope, then, that Facebook’s main app will actually get better.

There is, of course, a way around all of this photo-sharing friction: If Facebook were to integrate with iOS just as Twitter has, iPhone users could instantly upload photos to Facebook, straight from the iOS camera app. Stoop didn’t comment when I mentioned as much in our conversation.

So yes, the app is slick. And yes, it’s a fast portal into mobile photo-sharing, the likes of which Facebook needs. But it’s skirting the billion-dollar elephant in the room: Why build another camera app when you just dropped a ton of cash on one last month?

Two things: One, the Instagram deal hasn’t actually closed yet. It’s still purportedly being probed by the FTC, and that could take time to finish. And two, Stoop’s team was most likely working on this product long before buying Instagram was ever a real possibility. Stoop confirmed to me that Instagram CEO Kevin Systrom and his team had nothing to do with building Facebook Camera.

But now that Facebook Camera is finally coming to the App Store a month after the Instagram purchase, the whole deal is starting to make a lot more sense. With Instagram’s rapid rise to prominence in quickly garnering a strong user base, Facebook had to have seen the writing on the wall. Tens of millions of users signed up in the span of two years. And the app surpassed 50 million downloads after finally being released on Android earlier this year.

In essence, Instagram was taking over mobile photos, and Facebook couldn’t wait around and watch the company snap up every user while still working on perfecting the Facebook Camera app.

It’ll be interesting to see just how Facebook integrates Instagram’s user base into Facebook over time. It’s odd, too, that Facebook would launch a standalone Camera app, especially when it’s likely that the acquisition will go through. Still, perhaps a mashup of the two apps is on the road map eventually, despite CEO Mark Zuckerberg’s protestations that Instagram will maintain its autonomy.

Or perhaps Facebook itself doesn’t even know quite yet.

The Los Angeles firm, armed with information from a May 11 “roadshow” meeting with underwriters and Facebook, along with similar estimates of its own, slashed the number of shares it intended to buy. The night before trading began, a Capital Research manager told a banker at Morgan Stanley, the lead underwriter, that the deal’s pricing was “ridiculous,” according to a person familiar with the situation. Some Capital Research fund managers didn’t buy into the IPO at all, say people familiar with the matter.

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It was a bad time for Facebook’s IPO to go south.

Retail investors are not happy. Class-action lawsuits have been filed against Nasdaq, Facebook and the three Wall Street investment banks that took it public. The Securities and Exchange Commission, Financial Industry Regulatory Authority and the Massachusetts Secretary of State are all “looking into” just exactly how the deal went down.

So, will that be enough to sate a scorned investment public at large, especially amid a current political climate of public skepticism — if not outright contempt — for Wall Street as a whole?

Not at all, especially because it is an election year.

Therefore, cue the tsk-tsking politicians lining up Wall Street’s powerbrokers, as well as a Facebook exec, for a session of pompous I-told-you-sos.

It’s clear the big guns on Capitol Hill are gearing up to intervene. The Senate Banking Committee is in the process of meeting with Facebook, regulators and other stakeholders in the IPO, according to a statement issued by its chairman, Sen. Tim Johnson, on Wednesday.

“Once these briefings have concluded and the staff reports back to me,” Johnson said, “I will determine if a Senate Banking committee hearing is necessary.”

Maybe not necessary, but those hearings do seem inevitably inevitable.

Sen. Sherrod Brown, chairman of the Senate Banking subcommittee, chimed in as well. “There’s a lot that we don’t know about this IPO, but a lot that we do,” Brown said in a statement released on Wednesday. “Effective capital markets require transparency and accountability, not one set of rules for insiders and another for the rest of us.”

And while the House Financial Services committee didn’t as yet return my Wednesday afternoon calls, HFS spokeswoman Marisol Garibay told Reuters that it is also being briefed on the issues, and is in the midst of “gathering information and facts.”

After the most hotly anticipated IPO of the year was mired by technological and potential ethical issues, leaving thousands of retail investors holding the proverbial bag, it’s natural that Congress would consider intervening. Allegations against Facebook and its underwriters surfaced earlier this week, claiming a Facebook executive explicitly told at least one member of its syndicate that the firms should lower their financial forecasts for Facebook at the eleventh hour, mere days before the highly anticipated IPO.

This apparently resulted in institutional investors dialing back the price at which these firms would buy Facebook stock, and that could have dampened demand for shares on the first day of trading, affecting retail investors’ chances at any potential first day gains.

Some have taken steps to ease the investor backlash. Morgan Stanley may adjust prices of orders made by its retail investor clients, according to a report from The Wall Street Journal. Nasdaq, too, may earmark around $13 million in order to resolve bad trades.

But there is nothing like a good old-fashioned grilling of money makers and Internet zillionaires for the cameras of C-SPAN to make the summertime barbeque complete.

Eat it up, folks.

Not more than a handful of business days after Facebook’s much ballyhooed IPO, and the noise is only getting worse.

One bright spot is that the downward plunge of the social networking giant’s shares has stopped and stabilized at $32.01. That’s up 3.2 percent today in a down market.

But that bright spot has not stopped the ever-louder Facebook fulminations that have begun to resound somewhat more seriously.

Such as a Reuters’ report yesterday that right in the middle of the social networking giant’s roadshow that Morgan Stanley and other Facebook underwriters reduced revenue forecasts, a last-minute change in outlook which could have contributed to Facebook’s first day stumbles on the Nasdaq. The change came shortly after Facebook amended its S-1 filing for the seventh time, a minor and opaque update further stating that the company was weak on mobile, but with little detail.

And that’s not all.

In an excellent analytical piece published earlier yesterday, Henry Blodget of Business Insider claims that a Facebook executive verbally told Morgan Stanley that the firm should lower its forecasts, a message he alleges was relayed to institutional investors, but not to retail investors. That could have dampened the price at which large and powerful firms were willing to pay for shares, severely limiting any potential opening day gains.

With Morgan Stanley switching down its forecast just days before the IPO, retail investors had no way of knowing that the big institutions weren’t going to be making the large day-one pops that they may have gotten before Facebook allegedly warned of its weakened financial outlook.

A Facebook spokeswoman told AllThingsD the company had no comment on the matter.

Perhaps silence will silence the critics eventually, but whatever the outcome, it’s a noisome mess right now, far from living up to what was the most anticipated tech IPO in recent history.

And it looks like it’s far from over.

As a result of the allegations, the Securities and Exchange Commission, the Financial Industry Regulatory Authority and the Massachusetts Secretary of State are all looking into the issues surrounding the IPO.

There’s also chatter that the Senate Banking Committee is looking into the matter. Although it’s in a preliminary stage, I confirmed as much: The SBC is holding staff briefings with Facebook, regulators and other stakeholders, a Democratic Senate Banking Committee aide told AllThingsD.

Morgan Stanley issued a statement on Tuesday in response to the agencies’ inquiries, claiming that it “followed the same procedures for the Facebook offering that it follows for all IPOs.” The procedures, Morgan Stanley claimed, are within the realm of compliance with regulatory rules. And after Facebook revised its S-1 on May 9, Morgan Stanley said, “a significant number of research analysts in the syndicate who were participating in investor education” — including Morgan Stanley — “reduced their earnings views to reflect their estimate of the impact of the new information. These revised views were taken into account in the pricing of the IPO.”

Finally, in the first of what will no doubt be many to come, at least two separate class-action lawsuits have been filed against Facebook on behalf of investors who lost money because of Facebook’s failed IPO. One of the suits, of course, names co-founder and CEO Mark Zuckerberg as a defendant.

Inevitable lawsuits aside, the larger question is who inside Facebook might take the fall. Eyes are beginning to land on David Ebersman, Facebook’s CFO, the former Genentech CFO who came to the company with high praise from those who knew him, both inside and outside of the company.

As Kara Swisher had previously reported in January, Ebersman played a key role in the lead-up to Facebook’s IPO, taking a firm pole position in dealing with underwriters at Morgan Stanley, JPMorgan Chase and Goldman Sachs at every step of the process.

Part of choosing Ebersman, sources told Swisher earlier this year, was to ensure that the IPO would be pulled off in as low-key a way as was possible; it was one of Zuckerberg’s main tenets, especially in light of the disastrous Groupon IPO.

While many are calling him the likely fall guy, sources close to the situation said his job is not now at risk and pushing him out over this would be a highly unlikely move for Facebook.

But now the IPO has come and gone, and he and the company’s IPO remain anything but low key. S&P Capital IQ initiated Facebook coverage with a “sell” opinion on Wednesday morning, setting a 12-month target price at $31. That’s far from the investor fervor leading up to Facebook’s Nasdaq debut.

In other words: Fasten your seatbelts, as it could be a bumpy week.

That’s why Sonar, one of the few apps in the category that has been around for a few years, is trying something new. Up until now, Sonar has acted much like its name would suggest: Walk into a room, and using publicly available data pulled in from Facebook, Twitter and LinkedIn, the app tells you who’s nearby, and what you may have in common with one another.

Sonar’s new tack, then, is honing in on relevance. The company launched an update to its app on Wednesday, focused on putting users in touch with others nearby that they want to see. Setting the new Sonar Status feature, for instance, is like sending a tweet out to your nearby connections, but no further. So if you’re, say, sending status updates about how awful the beer lines are at a music festival, that status will actually show up for others in your proximity — you know, the people who would actually care about that status update — but no further.

To boot, the company is also flipping on the ambient location switch, adding features that aren’t terribly different from recent competitors like Highlight, Banjo and Glancee. Essentially, the app will run in the background, sharing your location and status with those nearby without having to open the application.

Sonar insists, however, that its app will only send you push notifications if you’re near someone you actually know — in other words, a Facebook friend, or someone you follow on Twitter — instead of people you should know, a la Highlight or Banjo. And if you want to chat with someone nearby without broadcasting it to the world via Twitter, Sonar now lets users send private messages.

It’s an attempt to tackle a glaring issue in the social discovery space: How do we connect with relevant people, especially when relevance changes on a contextual basis? While I may not want to talk with someone I don’t know at a coffee shop, it may prove helpful to connect with other, less familiar people in your extended network when you’re both at a tech conference.

The great unknown at this point is Facebook, the behemoth that has its sights set on improving its mobile experience. Facebook just recently acquired Glancee, one of the competing apps in the social discovery space. It’s anyone’s guess as to how — or when — Facebook will use the technology.

The suit follows reports that analysts at Morgan Stanley and Goldman Sachs Group Inc. cut their revenue forecasts on Facebook amid the investor roadshow, a change that wasn’t widely disseminated.

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That decision by the 41-year-old Facebook executive may have doomed any real chance the social-networking company had that its shares would jump when trading began — a hallmark of successful IPOs. On Tuesday, the second full day of trading, Facebook shares fell $3.03, or 8.9 percent, to $31, after falling 11 percent on Monday. Investors are blaming the downdraft on the last-moment expansion of the offering.

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There are identity thieves, stalkers and people generally trying to take advantage of you.

At least that was one of the things that I took away from a privacy conference last week in Seattle, where the word “creepy” slipped into the conversation as a description of everything from location-based services to more cutting edge Internet businesses.

But advocates argued that the cure for creepy was to make services relevant and useful — not spammy and invasive. In other words, consumers are willing to share their information — age, gender, location — if there’s a benefit to them.

I moderated a panel titled “Building Trust in the Sharing Economy,” which addressed identity issues as people become more comfortable using the Internet to find babysitters, rent out their apartments or lend their car to strangers.

In those cases, honest people typically don’t mind sharing information about themselves in order to be considered a trustworthy consumer or provider. It’s a red flag if they don’t.

Sonny Singh, the VP of sales and business development at Jumio, said it’s not creepy when you show your driver’s license to Hertz when you’re renting a car or to a hotel when you’re checking in. That’s why it shouldn’t be viewed as strange when you use sharing services like Airbnb or RelayRides.

But he said, instead, “they are assuming from your Facebook profile that you are who you say you are.”

Jumio is developing technology that allows users to verify their identity by entering their credit card and driver’s license information using a webcam or camera phone.

Participants in the panel (from left to right in the picture) are: Tricia Duryee, AllThingsD; Drummond Reed, founder, Connect.me; Sam Rosen, co-founder, Scaffold; Xin Chung, CEO and founder, Trustcloud; and Singh.

Here’s a video of the whole discussion, but you can skip to around the 26-minute mark to hear the whole discussion on “creepy.”

On a conference call with brokers after Tuesday’s close, Eric Noll, Nasdaq OMX Group Inc.’s head of transaction services, said the exchange “by no means would have gone forward” with the much-watched Facebook debut if it had known problems would disrupt a “normal trading day.”

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First, a successive series of ups: The app scored tens of millions of users via Facebook over a period of no longer than a month and soared to the top of the iTunes App Store.

Then, a few downers. Members of the press (including yours truly) started sniffing around after Socialcam (and rival app Viddy) rose so high up in the ranks in such a short time. Socialcam’s viral growth was due — in part, at least — to successfully gaming the system by incorporating YouTube videos designed to spread like wildfire.

I posed the question then: Now that Socialcam has millions of Web video users and at least a few million app installs, how will the company keep those users around?

The team’s answer is starting to trickle out. As TechCrunch reported earlier, Socialcam released a new design to it Web interface Tuesday morning, an update focused squarely on the social experience. It features everything you’d expect in a modern social Web interface: Friends-to-follow suggestions, user popularity leaderboards and recent friend activity.

But make no mistake: This is more than just a tacking on of better social features.

Think of it this way: With Socialcam’s initial Open Graph integration, Web traffic flooded into the Web app. Yes, that drove installs on the mobile phone, but what Socialcam realized is that it needed to keep its Web experience in top shape to keep its users coming back. That’s entirely unlike Instagram, the photo-sharing app to which Socialcam is compared almost ad nauseum.

“Ultimately, Instagram had an app-focused strategy,” Socialcam CEO Michael Seibel told me in a telephone interview. “Instagram was trying to get people who were using other photo apps to use their app.”

Why? It’s because photos are different; we “consume” them easily with our phones, requiring no more than a flick of the thumb to scroll through scores of snapshots. And if you nail the mobile app like Instagram did, you don’t need to worry about the Web interface (which Instagram, for the most part, clearly ignores).

Video, on the other hand, is a different animal entirely. We’re used to watching video via the Web interface, not our mobile devices. Over the seven-year rise of YouTube, Google has trained us in our streaming video viewing habits.

So as Seibel sees it, the challenge for Socialcam isn’t to compete against other mobile social video apps. It’s to compete against the Web.

“This is really a social video and mobile video vs. YouTube narrative,” Seibel said. “Theoretically, YouTube owns this space. But as our phones have grown into powerful devices for capturing video, YouTube has done virtually nothing to keep up.”

“We’re the first ones to attack YouTube’s flanks,” Seibel said.

Ground zero was getting the user base. Whether or not you agree with Socialcam’s user acquisition strategy is another matter entirely. The first step after that, according to Seibel, is nailing your Web experience — hence Tuesday’s timely update.

And it’s only after mastering the Web that apps like Socialcam can convert its users to a mobile-centric video world. If we enjoy watching mobile videos through our Web browser, Seibel hopes that will inspire us to start shooting our own. After enough of us do that, perhaps they’ll slowly transition to the mobile app.

It’s rather ironic that Socialcam seeded old YouTube videos in its plan to lure us away from YouTube and into fresh, user-generated content. But I guess they had to start somewhere.

The Los Angeles-based company has not raised institutional funding yet, but is backed by its founders along with Brody Jenner, stepbrother to Kim Kardashian and son of Olympic decathlete Bruce Jenner (see right).

Jenner has already been busy hyping RocketFrog on his official Facebook fan page, which has more than 58,000 likes, by asking fans to join him in poker tournaments for the chance to win $5 Amazon gift cards.

Additionally, the company said that Myspace founder Tom Anderson will join RocketFrog’s advisory board.

Besides its star-studded alliances, the company’s free-to-play Facebook game stands apart from other casino-based games because it allows players to win a variety of prizes, ranging from movie tickets to music, food and more.

Games include blackjack, slots, roulette, deuces wild and video poker, and prizes during the game’s first month include brands such as Creative Recreation, Steve Angello of Swedish House Mafia, Young and Reckless, World of Dance, Abbey Dawn by Avril Lavigne and Paul Oakenfold.

Many companies are scrambling to gain large casino audiences on Facebook now that it appears that online gambling will become legal in the U.S.

Late last year, the Department of Justice issued a new interpretation of the Wire Act of 1961. Under the new ruling, it interprets the act as only outlawing betting on sporting events — not all events and contests. With that clarification in place, it will now be up to each state to pass legislation outlining operating procedures.

A few companies, such as IGT, Zynga and Caesars Interactive, have already started to get ready and a few states have already passed laws.

RocketFrog’s founder Brett Calapp was previously the CEO and co-founder of Centaurus Games, a subscription-based gaming network that sold to PartyGaming in 2010. He was also the president of the Ultimate Blackjack Tour, an international gambling tour, online game network and hit television show on CBS.

At $183 billion, Apple is the world’s most valuable brand, a title it claimed last year as well, though at that time the brand was worth $153.3 billion. In the ensuing year, it has grown another 19 percent. IBM ranked second with $116 billion in value. Google, which ranked second last year, this year swapped places with IBM, after its brand value slipped 3 percent year over year. With a $76.7 billion brand, Microsoft claimed fifth place, ranking below McDonalds — the only non-tech company in the top five.

The biggest year-over-year gain also went to a tech company: Facebook, which rose from No. 35 in 2011 to No. 19 in 2012. A meteoric rise, and one that spiked the company’s brand value 74 percent to $33.2 billion.

Nokia, which ranked 81st in brand value in Millward Brown’s 2011 study after a 28 percent year-over-year decline in value, fell even further in 2012. So far, in fact, that it seems to have fallen right off the chart. Not a surprise, really, given the company’s current situation. But worth noting just the same; as recently as 2008, Nokia was the world’s ninth most valuable brand.

Two quick snapshots, via Cristina Cordova, using stats from AppData. Here’s the usage data for the Washington Post’s Social Reader. Note the second steep drop, in the middle of this month:

And the Guardian’s, which has the same pattern and the same mid-May drop:

Note that Cordova runs biz dev for Pulse, the iOS/Android news reader app, so she’s presumably not unhappy about this trend.

But I don’t have a dog in the fight, and I’m delighted with it myself. I’ve always thought the “social reader” apps were bad ideas, executed poorly: I don’t need to automatically know what my friends are reading — I only want to know about the articles they want me to read, and they’re pretty good about telling me that. And I don’t want to have to use an app to read them — the Web works just fine.

The new digerati consensus is that the drops don’t indicate a sudden revulsion by Facebook users, but that they’re the result of Facebook engineers twisting the dials, and ensuring that Facebook users don’t see the apps in their feeds anymore.

There’s an important lesson there for any Facebook partner or would-be partner (hello, Socialcam!). But as a Facebook user, I don’t really care — I’m just glad I don’t have to see these things anymore.

American Express and Zynga are rolling out a rewards program today that will allow players to earn virtual currency when they spend money in the real world.

FarmVille fans willing to jump through a number of hoops, including signing up for a Zynga-branded prepaid card from American Express, will earn in-game currency, similarly to how consumers earn free airline miles for every dollar spent on an airline-issued credit card.

The rewards program will first roll out in Zynga’s FarmVille game and then will expand to CityVille, CastleVille and other titles over time.

The partnership is smart for American Express since it is working hard to promote Serve, its alternative payment service that is targeting a wider demographic that goes beyond its core business user.

“It opens up tremendous opportunities to address segments of the market that we weren’t able to address with traditional credit or charge products, including the youth or underserved markets,” said Dan Schulman, American Express’s President of Enterprise Growth.

By partnering with Zynga, American Express will be able to pitch the card to a lot of new users.

The two companies started implementing the program five days ago, by offering FarmVille players the chance to visit a Serve-branded farm, where they can earn a virtual tiger. In less than a week, Schulman reports that already 500,000 people have “liked” Serve and have received the tiger.

While FarmVille is one of Zynga’s older properties, it is still one of its most popular, attracting 4.5 million unique users a day.

As I said earlier, it takes a number of steps to sign up.

First, FarmVille fans who visit the Serve farm will be prompted to plant a virtual Serve Money Tree on their farm. Then, they can register to receive a Zynga Serve co-branded prepaid card in the mail. Next, they’ll have to link the card to a bank account, debit card, credit card or cash using a GreenDot MoneyPak.

Only when all the steps are completed will they then be able to use the Serve card anywhere American Express is accepted.

Initially, American Express will reward a consumer’s first five purchases of $25 or more, but over time it expects to expand the program.

Starting later this year, Schulman said the Zynga Serve Rewards program will be able to link to deals inside of the game that can be redeemed in person. For instance, Starbucks could award consumers who have planted coffee crops a chance to redeem a coupon inside the store. Because the offer is linked to the Serve card, the discount will be redeemed automatically and consumers won’t have to remember to print out the coupon.

“It’s a closed loop for Zynga players,” Schulman said. “It’s so very different than what anyone else has done.”

Zynga’s CMO Jeff Karp said the program is not replacing the company’s current rewards program, but rather represents an extension of it. “Our goal is to build and scale the blurring of the lines between the virtual world and the physical world,” he said.

He compared it to other promotions that Zynga has done where it worked with brands, such as 7-11 and Frito Lay.

He said during those promotions, consumers were able to purchase bags of chips or other items, which had codes that could be redeemed inside FarmVille or other games. In those deals, consumers were obviously able to make the mental leap from buying something in the physical world to redeeming credits in the virtual world. Karp said the promotions experienced a redemption rate that was five to 10 times industry averages.

“What’s appealing to these brands is our 292 million monthly uniques, which is providing them with the reach of TV with the effectiveness of online and gaming,” he said.

If you love a celebrity getting all self-righteous on the world, especially the tech world, then here’s a big plate of Richard Dreyfuss for you.

He tsk-tsks all over the stage in this video of highlights from the 16th Annual Webby Awards, which took place last night in New York.

That includes calling out Facebook’s Mark Zuckerberg and Google’s “Eric” Brin — which I am assuming is a mutant mash-up of Executive Chairman Eric Schmidt and co-founder Sergey Brin — for some sort of clickety-click-clack Internet crimes against humanity.

Thankfully, there is a very lovely tribute to Apple legend Steve Jobs at the end that includes President Barack Obama.

Enjoy:

Some investors waited until Monday morning to hear whether their Facebook trades were ever completed, while others remained in the dark.

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Zynga and LinkedIn were also down on the news, opening off around 2 percent and 5 percent, respectively.

After what many called out as a lackluster performance on its opening day, all eyes are on the company’s ticker this week to see how the shares perform going forward. Scores of financial analysts and armchair investors and much of the technology press expected an initial first-day “pop,” a jump of 10 percent to 20 percent or more for fast-moving retail flippers to make a quick buck.

But as Friday’s trading day came and went, and the stock closed only slightly higher than it debuted, many expected that Facebook shares would open off come Monday morning, especially since underwriters were no longer able to prop up the stock by dipping into the greenshoe like they did on Friday.

A great many argued that Facebook shares were priced perfectly, leaving no money on the table for retail investors to come in and sweep up in the first-day pop that so many had expected. Exercising the allotment option was the underwriters’ job, Fortune’s Dan Primack argued vehemently; first and foremost, Facebook was priced to get the most money it could for going public.

Here’s the thing: Like Benchmark Capital’s Bill Gurley reminds, Amazon’s debut saw the stock break issue and stay below its IPO price for months.

It then went on — over the long haul — to rise 1000x.

FB data by YCharts

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With the rise of so-called “crowdfunding,” game makers are finding fans online who are willing to pledge a few bucks toward a game they’d like to see produced.

The primary site where these connections are being made is Kickstarter, a three-year old company. Since Kickstarter got off the ground, the games category has garnered $29 million in pledges, according to the New York Times. Other popular categories include film/video, music and design.

Further, it was reported that 854 game developers successfully reached their fundraising goals, raising an average of $29,409 apiece.

Most impressively, three game companies have raised more than $1.5 million each since the beginning of this year: Double Fine raised $3.3 million from 87,000 backers; Wasteland 2 raised $2.9 million; and Shadowrun Returns secured $1.8 million.

Another site, Gambitious, which will be exclusively dedicated to helping game companies raise money, is preparing to launch on June 5 in Los Angeles as part of E3, the industry’s big annual conference.

The shift to nontraditional fundraising is now even catching the eye of megapublishers like Electronic Arts. Last week, EA said developers who crowdsourced funding will be able to sell their games on Origin at no cost for three months.

Origin is the company’s online game store, which allows users to download PC games electronically and counts up to 12 million users worldwide.

“The public support for crowdfunding creative game ideas coming from small developers today is nothing short of phenomenal,” said David DeMartini, EA’s SVP of Origin, in a release. “It’s also incredibly healthy for the gaming industry. Gamers around the world deserve a chance to play every great new game.”

EA doesn’t disclose how much it charges because it says fees can vary, but through this program, developers will now receive 100 percent of sales during the 90-day window plus any pre-sales that are generated before the title officially launches, a spokesman confirmed.

It’s unclear whether crowdfunding is a fad and consumers will tire of it quickly, and to be clear, not every company that requests money is able to get it.

But it pairs nicely with a broader trend in the industry that AllThingsD’s Eric Johnson wrote about last week. He explained that game developers are increasingly finding it advantageous to stay small, rejecting the notion that productions need big budgets in order to create blockbusters.

The evolution has been aided by the rise of three new distribution platforms, Apple’s App Store, Facebook and Valve’s Steam Store (and to a lesser extent, EA’s Origin, which is catching up). With these digital platforms, developers can reach customers without having to package up their software and sell it at retail, saving thousands of dollars.

With the crowdfunding phenomenon completely under way, Videogame Analyst and Consultant Scott Steinberg saw the opportunity to write an e-book on the subject called “Crowdfunding Your Business: A How-To Guide.” In the recently released book, he argues that crowdfunding helps developers identify projects that consumers are willing to pay for, before they’ve wasted the money and time on developing them.

He writes that by “requesting feedback or recruiting help from public donors via open calls for assistance — you can gauge demand for and create bankable products from day one.”