4 ms·

"But if a single non-accredited investor lands on their website as the result of clicking an ad, the law has been broken." + invests. Right? Otherwise, AVG whic

• k33n 7y ago
  Soliciting investment from non-accredited investors is illegal. I learned this from an attorney who specializes in securitization when I was exploring doing a crypto business. It was also explained to me that local angel investing groups exist pretty much for this reason. They create a semi-private network of accredited investors which can be used by the local community to solicit capital in a legal way.
  • mardifoufs 7y ago
    You don't have to "actively" seek investment from non accredited investors for it to be illegal. So a crypto currency could still absolutely be subject to action from the SEC even if they only had a "invest now" option on their website without promoting it . It's just that the SEC doesn't care as much and focuses more on the big fish. Still, passively selling illegal securities is still illegal :) Fig is legal because of a recent crowdfunding law that made it possible to buy equity while funding a project. I think the website was created right after the law passed too, but maybe my memory is fuzzy here
• throwaway_tech 7y ago
  >+ invests. Right? Just offering an unregistered security to the public (without any exceptions applying) is a violation.