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Treasury recommends expanding Regulation A eligibility to include Exchange Act reporting companies.
Treasury recommends steps to increase liquidity for the secondary market for Tier 2 securities. Treasury recommends state securities regulators promptly update their regulations to exempt secondary trading of Tier 2 securities or, alternatively, the SEC use its authority to preempt state registration requirements for such transactions.
Treasury recommends that the Tier 2 offering limit be increased to $75 million.
Treasury recommends allowing single-purpose crowdfunding vehicles advised by a registered investment adviser. Treasury recommends that any rulemaking in this area prioritize alignment of interests between the lead investor and the other investors participating in the vehicle, regular dissemination of information from the issuer, and minority voting protections with respect to significant corporate actions.
Treasury recommends that the limitations on purchases in crowdfunding offerings should be waived for accredited investors as defined by Regulation D.
Treasury recommends that the crowdfunding rules be amended to have investment limits based on the greater of annual income or net worth for the 5% and 10% tests, rather than the lesser.
Treasury recommends that the conditional exemption from Section 12(g) be modified, raising the maximum revenue requirement from $25 million to $100 million.
Treasury recommends increasing the limit on how much can be raised in a crowdfunding offering over a 12-month period from $1 million to $5 million.
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