Securities & Exchange Commission Regulation Crowdfunding, Final Rule

On May 16, 2016, the final provisions of this rule issued by the U.S. Securities and Exchange Commission went live. The rule details how companies and organizations can raise capital via an online crowdfunding campaign to support a wide range of ideas and ventures. An entity or individual raising funds through crowdfunding typically seeks small individual contributions from a large number of people. Specifically, the rules provide a framework for regulating registered funding portals and broker-dealers that organizations using crowdfunding to raise capital must use when they are offering some sort of security or interest in the company . . .