New bill to allow $1m crowdfunding rounds

#1

Post by uripom » Tue, Dec 13, 2011, 5:29 AM UTC

New bill to allow $1m crowdfunding rounds
merkley.senate.gov

Re: New bill to allow $1m crowdfunding rounds

#2

Post by billboebel » Tue, Dec 13, 2011, 6:00 AM UTC

what is a "registered internet website"? Is that just their long winded term for website or do crowdfunding sites need to register with some government agency?

Re: New bill to allow $1m crowdfunding rounds

#3

Post by aclements18 » Tue, Dec 13, 2011, 6:10 AM UTC

billboebel wrote: post #2

what is a "registered internet website"? Is that just their long winded term for website or do crowdfunding sites need to register with some government agency?

I assume in order for it to 'legalize and regulate' there would probably have to be some form of registration specific to the crowdfunding sites. But I agree, they should clarify.

Re: New bill to allow $1m crowdfunding rounds

#4

Post by _wp3r » Tue, Dec 13, 2011, 6:16 AM UTC

In what way is crowd funding illegal now? I am assuming that is what the gentleman was implying with "legalize and regulate."

Doesn't regulation of a 'crowdsourced' anything, kind of defeat the purpose? The entire idea is that many small failures lead too faster successful iterations.

Re: New bill to allow $1m crowdfunding rounds

#5

Post by joshu » Tue, Dec 13, 2011, 6:24 AM UTC

_wp3r wrote: post #4

In what way is crowd funding illegal now? I am assuming that is what the gentleman was implying with "legalize and regulate." Doesn't regulation of a 'crowdsourced' anything, kind of defeat the purpose? The entire idea is that many small failures lead too faster successful iterations.

Crowd donating is legal. Crowd investing is not; currently, investors must be accredited or qualified.

Re: New bill to allow $1m crowdfunding rounds

#6

Post by dmix » Tue, Dec 13, 2011, 6:27 AM UTC

joshu wrote: post #5

_wp3r wrote: post #4

In what way is crowd funding illegal now? I am assuming that is what the gentleman was implying with "legalize and regulate." Doesn't regulation of a 'crowdsourced' anything, kind of defeat the purpose? The entire idea is that many small failures lead too faster successful iterations.

Crowd donating is legal. Crowd investing is not; currently, investors must be accredited or qualified.

I never really understood the reasoning behind accredited investors.

Re: New bill to allow $1m crowdfunding rounds

#7

Post by HistoryInAction » Tue, Dec 13, 2011, 6:42 AM UTC

Not really a new bill, since it's just the Senate equivalent of the House's HR2930: http://thomas.loc.gov/cgi-bin/bdquery/z?d112:h.r.02930:

Re: New bill to allow $1m crowdfunding rounds

#8

Post by anigbrowl » Tue, Dec 13, 2011, 6:46 AM UTC

dmix wrote: post #6

joshu wrote: post #5

Earlier quoted context omitted.

Crowd donating is legal. Crowd investing is not; currently, investors must be accredited or qualified.

I never really understood the reasoning behind accredited investors.

Scam prevention.

Re: New bill to allow $1m crowdfunding rounds

#9

Post by kls » Tue, Dec 13, 2011, 6:53 AM UTC

joshu wrote: post #5

_wp3r wrote: post #4

In what way is crowd funding illegal now? I am assuming that is what the gentleman was implying with "legalize and regulate." Doesn't regulation of a 'crowdsourced' anything, kind of defeat the purpose? The entire idea is that many small failures lead too faster successful iterations.

Crowd donating is legal. Crowd investing is not; currently, investors must be accredited or qualified.

Does anyone know of any sites that are positioned to take advantage of the investing aspect should the legality of it change? Are their any players in the space standing on G waiting on O so to speak.

Re: New bill to allow $1m crowdfunding rounds

#10

Post by Kliment » Tue, Dec 13, 2011, 7:17 AM UTC

kls wrote: post #9

joshu wrote: post #5

Earlier quoted context omitted.

Crowd donating is legal. Crowd investing is not; currently, investors must be accredited or qualified.

Does anyone know of any sites that are positioned to take advantage of the investing aspect should the legality of it change? Are their any players in the space standing on G waiting on O so to speak.

Indiegogo and Kickstarter will likely be the first to jump on it. Indiegogo in particular seems interested, since a number of their customers are asking for this (they wrote an FAQ answer about it).