SEC Proposes New Crypto Rules with Up to $75 Million Offering Path

The Securities and Exchange Commission (SEC) has proposed new rules for crypto assets that would allow issuers to raise up to $75 million through a specialized federal offering route. The proposal, called Regulation Crypto Assets, aims to reduce fundraising barriers while strengthening investor safeguards and discouraging issuers from moving transactions offshore.

Under the plan, there would be two exempt offering routes: a one-time startup exemption allowing offerings of up to $5 million over four years, and a separate fundraising exemption with tiered limits of $20 million for Tier 1 and $75 million for Tier 2 during each 12-month period.

SEC Chairman Paul S. Atkins described the safe harbor as a continuation of the agency's earlier interpretation and an element of its domestic capital strategy. The proposal would require issuers to provide investors with narrative disclosures, while the fundraising route would add public offering materials, financial-condition information, and ongoing reports.