SEC Grants Approval to FINRA Rules for Crowdfunding Portals
Per the Securities and Exchange Commission’s (“SEC”) order on January 22nd, the Financial Industry Regulatory Authority (“FINRA”) has been granted accelerated approval in regard to its rules for crowdfunding portals. Proposed in October, the FINRA’s rules outline requirements for regulated online intermediaries that bring together start-ups and potential investors.
Issued in Release No. 34-76970, Notice of Amendment No. 1 and Order Granting Accelerated Approval to a Proposed Rule Change, as Modified by Amendment No. 1, to Adopt the Funding Portal Rules and Related Forms and Rule 4518, the order brings the crowdfunding obligations of the JOBS Act one step closer to fruition.