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Crypto founders have 54 days to shape SEC’s $75 million cap proposal
The SEC proposal would create two fundraising exemptions, including a $75 million limit over each 12-month period, and comments are due Oct. 20.
Crypto startups have 54 days left to try to influence a US Securities and Exchange Commission proposal that would set new limits on how certain crypto ventures can raise funds through two proposed exemptions. According to CryptoSlate, the SEC had received 31 posted public comments as of Aug. 27, with an additional item labeled as a meeting memorandum.
The proposal would provide fundraising paths that allow eligible crypto ventures to raise up to $5 million in any four-year period under one exemption, and up to $75 million in each 12-month period under the other. With comments due Oct. 20, remaining commenters had until then to seek changes to how the framework is structured.
CryptoSlate reports that the visible docket letters did not list a major crypto exchange, a large asset manager, a major token issuer, or a broad investor advocacy group in the row labels. The letters instead focused on how the SEC would set boundaries around disclosure and investor protections, non-cash compensation treatment, and whether the $75 million ceiling should apply in specific structuring scenarios.
The comments included requests for clarifications and additional protections, including from Ohanae Securities, which asked for clarification on the $75 million exemption’s availability and suggested rule and disclosure-related changes. Other submissions raised questions about whether offerings using shared infrastructure should have partner vaults aggregated for the $75 million ceiling, and whether the SEC should distinguish certain commercial activity and tighten safeguards on eligibility, limits, and ongoing disclosure, CryptoSlate said.