SEC Proposes New Crypto Fundraising Rules with $5M Exemption

The U.S. Securities and Exchange Commission (SEC) has proposed new rules for crypto fundraising in the United States, which could change how token issuers raise capital.

The proposal, called Regulation Crypto Assets, includes two registration exemptions: one allows eligible issuers to raise up to $5 million over four years, while another permits offerings of up to $75 million during a 12-month period, subject to disclosure and financial reporting requirements.

The smaller exemption is designed for early-stage funding, while the larger one could become more important for established crypto projects. The SEC has also proposed a conditional safe harbor for certain crypto assets, which addresses one of the industry's biggest legal questions: when an investment contract involving a token effectively ends.