Equity crowdfunding is different from rewards-based crowdfunding in several ways. The most obvious way is that investors receive a stake in your company in exchange for capital. Rewards-based crowdfunding does not require you to give up equity but instead to provide some type of reward (such as a free product) to investors.
Equity crowdfunding is also better suited for startups and entrepreneurs that are seeking larger amounts of capital — typically $50,000 or more. Rewards-based crowdfunding may be a better fit for smaller capital needs.