Politics, Legal & Regulation

August 12, 2015 @ 3:44 pm By Samantha Hurst  |  

Last month, Colorado government officials announced that its new crowdfunding law was set to go into effect on August 5th, which allows residents participate in equity projects. Governor John Hickenlooper signed the Colorado Crowdfunding Act into law back in April, which allows the state’s residents to be able to… Read More

August 12, 2015 @ 3:04 pm By JD Alois  |  

Kiran Lingam, Managing Director at LendTech Angels, has published his thoughts on the Citizen.VC No-Action letter released earlier this week.  Lingam, a securities attorney by education, sees the clarification pushing marketplace lenders to use 506(b), as opposed to utilizing 506(c) – an exemption that allows… Read More

August 12, 2015 @ 8:47 am By JD Alois  |  

Real estate platform RealtyShares has shared their perspective on the recent no-action letter issued by the SEC in response to an inquiry by Citizen VC, Inc. as to that company’s method of onboarding new investors. The letter forwarded to the SEC by Citizen.VC counsel Mintz Levin outlined several policies and… Read More

August 11, 2015 @ 9:32 pm By JD Alois  |  

Citizen.VC, a online investment platform that leverages 506(b) Reg D private placements but NOT 506(c) placements, has received a “No Action” letter from the SEC regarding questions and clarifications as to what qualifies as general solicitation and the establishment of relations with investors.  The guidance… Read More

August 11, 2015 @ 6:37 pm By JD Alois  |  

Lawrence Lessig, a Harvard Professor, iconoclast, and creator of MayDay PAC, has entered the 2016 Presidential election. Lessig is seeking the nomination of the Democratic party joining Bernie Sanders in the quest to dethrone Hillary Clinton from her anointed position as party standard bearer.  Lessig,… Read More

August 11, 2015 @ 10:33 am By JD Alois  |  

On August 5th the US Department of Treasury hosted over 80 individuals as part of a series of roundtables and information seeking events to discuss the fast growing sector of Marketplace Lending.  This past July, Treasury published a “Request for Information” regarding Peer to Peer… Read More

August 11, 2015 @ 8:47 am By JD Alois  |  

Paul Niederer, CEO of ASSOB – one of the very first investment crowdfunding platforms ever, has shared his opinion of the recently published a regulatory framework for crowdfunding in Australia and, in brief, he thinks it is wrong. Forest for the Trees Niedierer believes the… Read More

August 10, 2015 @ 4:12 pm By JD Alois  |  

The China Supreme Court released a judicial interpretation regarding liability for loans gone bad originated on peer to peer lending platforms. The court has stated that while borrowers receive funds via the platforms these intermediaries are not required to guarantee the loans and should not be held… Read More

August 10, 2015 @ 10:30 am By Candace Klein  |  

  As traditional lending tightened for consumers and small businesses, following the 2008 recession and the Dodd Frank regulatory environment that followed, alternative lending has now become quite the burgeoning new industry. And with alternative lenders ranging the gamut from near-bank products and terms to… Read More

August 9, 2015 @ 3:02 pm By JD Alois  |  

Below is the consultation paper released by the Australian government that explains the proposed framework to facilitate equity crowdfunding. The Aussie government is accepting feedback on the proposals presently with the deadline for submission being on August 31st. Australia has recognized that reducing regulatory burdens… Read More

August 6, 2015 @ 10:44 am By JD Alois  |  

Marketplace lending platforms have taken advantage of the fact that many were in attendance in DC for a gathering at the US Department of Treasury to publish a Small Business Borrowers’ Bill of Rights.  The coalition of signees included Funding Circle, Lending Club, Fundera and… Read More

August 5, 2015 @ 2:18 pm By JD Alois  |  

The US Department of Treasury held a discussion today regarding the fast growing Marketplace Lending industry.  Treasury released a brief statement regarding the event highlighting the panelists which included: Michael Barr, University of Michigan Law School William Black, Moody’s Investors Services Nick Bourke, Pew Charitable… Read More

August 5, 2015 @ 10:56 am By Samantha Hurst  |  

Jeremy Corbyn, a British Labour Party politician, recently launched a crowdfunding campaign to raise £50,000 to grow his leadership bid popularity. Within only two weeks, the candidate successfully captured £100,000. According to the Telegraph, the firebrand MP’s campaign was announced on July 24th.  His team revealed they had already raised… Read More

August 5, 2015 @ 8:51 am By JD Alois  |  

In what may be his last speech as an SEC Commissioner, Daniel Gallagher addressed the US Chamber of Commerce and criticized parts of the SEC, and much of the new world order of regulatory over-sight.   Gallagher scorched Dodd-Frank as a grandiose plan that has increased the fragility of… Read More

August 4, 2015 @ 1:29 pm By Erin Hobey  |  

The Australian federal government’s proposed expansion of access to crowdfunding for businesses falls short of the hoped-for system, according to Yahoo Finance.  New draft guidelines issued by the Australian Treasury include increasing the amount companies are allowed to raise through crowdfunding to AUS $5 million,… Read More

August 4, 2015 @ 12:29 pm By Erin Hobey  |  

“China’s central bank has moved to defend draft rules that would force online payment processors to channel large payments through traditional bank accounts, a requirement that industry observers say will stifle innovation while protecting the interests of incumbent banks,” reported FT’s Gabriel Wildau. “The People’s Bank of China… Read More

August 3, 2015 @ 1:25 pm By JD Alois  |  

The United Kingdom has been very vocal, and aggressive, in courting financial firms and FinTech startups. Chancellor of the Exchequer George Osborne wants the UK to be the world leader in developing innovative FinTech firms.  Osborne enjoys a partnership with his objective in Prime Minister… Read More

August 3, 2015 @ 8:37 am By JD Alois  |  

Crowdfund Insider reported last month on the US Department of Treasury’s interest in the fast growing Marketplace / Peer-to-Peer lending space. Treasury published a “Request for Information” (embedded below) seeking public comment to study the various business models and review “how the regulatory framework should… Read More

August 2, 2015 @ 4:01 pm By JD Alois  |  

Back in May of 2014, Crowdfund Insider reported on the first state Attorney General to file suit against a rewards based crowdfunding campaign that had failed to deliver on its crowdfunding promise. This was no big, multi-million dollar crowdfunding project either. It was for a… Read More

July 31, 2015 @ 12:00 pm By Samantha Hurst  |  

Just four months after Colorado announced its equity crowdfunding law, the Centennial State’s government officials announced that its residents will be able to participate in equity funding projects starting this upcoming Wednesday. Governor John Hickenlooper signed the Colorado Crowdfunding Act into law back in April, which will allow the state’s… Read More