{
  "id": 9164441,
  "title": "SEC Mulls Crypto-Based Capital-Raising Rule",
  "url": "https://urgent.news/2026/09/22/sec-mulls-crypto-based-capital-raising-rule",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-09-22T16:07:30.000Z",
  "source": {
    "name": "Global Finance",
    "slug": "global-finance",
    "url": "https://gfmag.com/economics-policy-regulation/sec-crypto-based-capital-raising-rule/"
  },
  "original_language": "en",
  "account": "The Securities and Exchange Commission (SEC) is contemplating a novel approach for capital raising that eschews equity or debt issuance, instead leveraging cryptocurrency assets. In August, the regulator unveiled Regulation Crypto Assets (Reg CA) for public comment. Initially, Reg CA would permit companies to raise up to $5 million over four years or $75 million per 12-month period. To attain the latter figure, issuers must submit financial statements and adhere to anti-fraud and anti-manipulation provisions under federal securities law. This regulation diverges significantly from alternative capital-raising methods under Regulation Crowdfunding, Regulation A, and Regulation D, which impose maximum limits of $5 million, $75 million, and unlimited funds, respectively. Reg CA's primary distinction lies in its allowance for issuers to offer potential investors principles-based financial disclosures, granting them the discretion to determine the level of information disclosure based on the substance of the information provided, rather than adhering to a set list of required data. Moreover, Reg CA eliminates investment restrictions for non-accredited investors, unlike Regulation Crowdfunding and Regulation A, which impose caps on non-accredited investors' investment amounts. The proposal also incorporates a protective shield for investment contracts issued under Reg CA, rendering the crypto asset subject to such a contract exempt from the statutory definition of a security if the issuer permanently halts or promises to cease all essential managerial activities it represented or promised and files a public statement confirming compliance with those conditions. The SEC's comment period for Reg CA concludes on October 20, after which the agency will review the feedback and potentially revise and enact the rule in the Federal Register. Critics, including legal experts and industry figures, have raised concerns about perceived design flaws in Reg CA, emphasizing the risks associated with principles-based disclosures and the potential for unsophisticated investors to bear unlimited development risk.",
  "summary": "The U.S. regulator floats expanded investor access and simplified financial disclosures. The post SEC Mulls Crypto-Based Capital-Raising Rule appeared first on Global Finance Magazine .",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}