On April 8, 2013, CrowdCheck hosted our Second Annual Crowdfunding Conference. The
conference title was "Fraud and Red Tape: Risks to the Potential of
Securities Crowdfunding". We spent some time working on the title in
order to highlight that there are two competing risks to the future of
securities crowdfunding in the United States—extensive fraud and regulatory red
tape. The SEC has to find the right balance between these concerns, which
is not easy to do.
Securities fraud is a very real concern. As we
have said before, securities fraud
is not just for the sinister scammers. Overly optimistic statements that
don’t adequately explain the underlying assumptions could bring on the wrath of
regulators and investors who believe they were misled by a company's offering
materials. If too many securities issuers make misleading or inaccurate
statements, investors will simply stay away because they will not be able to
make informed investment decisions. And if there are no investors, there
is no crowdfunding.
The other side of the coin is that the SEC cannot
require that the crowdfunding disclosure process look like a full-scale
IPO. Too much cost and effort will cause companies to stay away from the
crowdfunding to begin with. Just as with investors, if there are no
companies, there is no crowdfunding. Read it all
Introduction
Keynote By Sen. Mark Warner
Panel One: Defining The Threat
Panel Two: Response Without Overreach
Keine Kommentare:
Kommentar veröffentlichen