When “The Blair Witch Project” was a box office smash in the summer of 1999, people braced themselves for a slew of imitators. But it wasn’t until recently that Found Footage as a sub-genre of horror has really started to mature and become respectable as more than just a collection of “Blair Witch” knockoffs. Like its cousin the mockumentary, Found Footage Horror uses filmic techniques associated with non-fiction filmmaking to tell a fictional story that feels more believable or realistic. In most cases, the film is purportedly edited from the recovered footage of characters who are missing or dead.
http://www.scene-stealers.com/top-10s/top-10-found-footage-horror-movies/UPDATE