3.0.0 1031 2023-01-11T13:36:31Z 2023-01-11T13:36:31Z Senate S 2017-05-03 115 ssbk00 Banking, Housing, and Urban Affairs Committee Senate Standing Referred to 2017-05-03T20:53:57Z Crowdfunding Amendments Act 115 3213 S 2018-07-16 Read twice and referred to the Committee on Banking, Housing, and Urban Affairs. Related bill CRS JOBS and Investor Confidence Act of 2018 115 488 S 2018-07-18 Message on House action received in Senate and at desk: House amendments to Senate bill. Related bill CRS Crowdfunding Amendments Act 115 6380 HR 2018-07-16 Referred to the House Committee on Financial Services. Related bill CRS 2017-05-03 ssbk00 Banking, Housing, and Urban Affairs Committee Senate Read twice and referred to the Committee on Banking, Housing, and Urban Affairs. IntroReferral 2017-05-03 Introduced in Senate IntroReferral 10000 9 Library of Congress D000618 Sen. Daines, Steve [R-MT] Steve Daines R MT N Finance and Financial Sector Business investment and capital Financial services and investments Securities Finance and Financial Sector 00 2017-05-03 Introduced in Senate 2018-09-04T18:49:55Z Crowdfunding Enhancement Act

This bill amends the Securities Act of 1933 to allow a crowdfunding issuer to sell shares through a crowdfunding vehicle. (Crowdfunding is a method of capital formation in which groups of people pool money either to invest in a company or to support an effort by others to accomplish a specific goal.)

A "crowdfunding vehicle" is a company that:

  • has purposes limited to acquiring, holding, and disposing securities issued by a single company;
  • issues only one class of securities;
  • receives no compensation for such acquisition, holding, or disposition of securities; and
  • meets other specified requirements, including those related to disclosure obligations and the use of investment advisers.

The bill amends the Securities Exchange Act of 1934 to revise the conditions upon which the Securities and Exchange Commission (SEC) shall exempt securities issued in crowdfunding transactions from SEC registration requirements.

Under current law, holders of crowdfunded shares do not count toward the shareholder threshold beyond which an issuer is required to register its securities with the SEC, provided that the issuer: (1) is current in its annual reporting obligations, (2) retains the services of a registered transfer agent, and (3) has less than $25 million in assets. The bill maintains this exemption but removes and replaces the conditions upon which it applies. Specifically, holders of crowdfunded shares shall not count toward the shareholder threshold if the issuer has: (1) a public float of less than $75 million, and (2) annual revenues of less than $50 million.

]]> Crowdfunding Enhancement Act Display Title Crowdfunding Enhancement Act Official Title as Introduced A bill to amend provisions in the securities laws relating to regulation crowdfunding to raise the dollar amount limit and to clarify certain requirements and exclusions for funding portals established by such an Act. Introduced in Senate IS Short Titles as Introduced Crowdfunding Enhancement Act Introduced in Senate 2017-05-03T04:00:00Z https://www.govinfo.gov/content/pkg/BILLS-115s1031is/xml/BILLS-115s1031is.xml 2017-05-03 Read twice and referred to the Committee on Banking, Housing, and Urban Affairs. text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain. Congressional Research Service, Library of Congress This file contains bill summaries and statuses for federal legislation. A bill summary describes the most significant provisions of a piece of legislation and details the effects the legislative text may have on current law and federal programs. Bill summaries are authored by the Congressional Research Service (CRS) of the Library of Congress. As stated in Public Law 91-510 (2 USC 166 (d)(6)), one of the duties of CRS is "to prepare summaries and digests of bills and resolutions of a public general nature introduced in the Senate or House of Representatives". For more information, refer to the User Guide that accompanies this file.