Moments ago the SEC has voted all in favor of proposing a set of rules to regulate Equity crowdfunding in the United States. We have waited over 500 days for this day to come. The proposed rules will now be open to the general public for comments.
Here are a few of the highlights of the rules proposed:
- Amount an individual can invest will be based on the higher bracket one falls under between their net work and their income level
- Allows non U.S. funding portals to register if they submit to on site examination
- Business's registering to sell securities will need to keep an accurate list of security holders (Possibly hiring a Registered transfer agent)
- The proposal does not require companies to verify income levels, but it asks the public to comment on this, leaving the issue unresolved for now, an SEC official said