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Crowdfunding, Reg D and Reg A

The New Routes for Access to Capital and the Potential Legal and Regulatory Risks Although the business community lauded the arrival of new crowdfunding laws, the enforcement community has had a different take on them. As stated in 2017 by then Deputy Attorney General Rod Rosenstein: "The potential downside of crowdfunding is that it occurs outside the watchful eye of a regulated banking and financial industry. Unregulated websites therefore provide a platform for criminals to defraud potential investors."

11 minute readOctober 01, 2019 at 12:09 AM
By
Jacqueline C. Wolff
Brian S. Korn
Crowdfunding, Reg D and Reg A

In 2012, President Obama signed into law theJumpstart Our Business Startups Act (the JOBS Act), the stated purpose of which was to provide easier and simpler routes for small businesses to access capital markets

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