Etsy has landed $20 million in its fifth round of funding, led by Index Ventures. The latest round values Etsy around $300 million, bringing its total amount of funding raised to $52 million.

Joining the team is Adam Freed, former Google International executive, bringing some heavy-hitting management to the online craft retailer. Another new addition to Etsy is Index Ventures Partner Danny Rimer, now sitting on the board with founder Rob Kalin and Union Square Ventures Partner Fred Wilson, among others.

Etsy isn’t a company I get to discuss very often, but I visit the site daily. User-generated and consumer-driven, Etsy is an online marketplace that epitomizes a self-regulated community. The funding comes no surprise, given the recent uptake in e-commerce, down-turned economy, and overall reliance in the web for extended trade markets.

The San Francisco Chronicle, which points to Etsy’s early 2008 valuation, appears a little thrown by the seemingly sudden success of Etsy, going on to list stats shared from the retailer:

* Revenue this year is expected to be $30 million-$50 million. (Kalin says Etsy is profitable.)

* Gross sales through Etsy are expected to be $400 million, CEO Rob Kalin hopes to hit $1 billion next year.

* There’s six million items for sale on the site.

* In May, Etsy users spent $23 million, up 72% year over year.

* The average price for an Etsy item is $18.20.

The fascinating thing about the overall e-commerce trend is its ability to utilize social media and location to reform these self-regulated communities. From Gilt to Groupon, e-commerce is further enabling most industries to find their way into social media, and vice versa. Fashion discounts may be all the rage right now, but we’ll see more industries take up these trends, along with more service-based monetization of individuals within their localized structure, be it virtual or physical.