The Crowdfunding Professional Assocation or CfPA has issued a release sharing their appreciation of the recent progress made regarding the Jobs Act. Equity-based crowdfunding came one step closer to reality this past Wednesday as the SEC voted to lift the ban on general solicitation of private placements to accredited investors.
The SEC ruling will create a new kind of offering–a 506(c). This allows private companies and investment firms to advertise private securities offerings to accredited investors only. The SEC is still working on proposed rules for Title III, which will enable the general public to participate in equity crowdfunding.