FINRA proposal to seek “Essential Information” from Crowdfunding Portals

This items was posted in an article on AdvisorOne which reviewed the amendments and proposals FINRA is scheduled to review during their upcoming December meeting;

Other items on FINRA’s list includes a proposal to seek “essential information” from crowdfunding portals that want to apply for membership with FINRA under the Jumpstart Our Business Startups (JOBS) Act. FINRA notes that prospective funding portals would file their information with FINRA “voluntarily” until the SEC and FINRA put in place rules governing funding portals, which will likely come next year.

The article goes on to mention that previously the North American Securities Administrators listed Crowdfunding as one of its “top investor threats” earlier this year.  This was previously reported in AdvisorOne as well. You may view that list in its entirety here.



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