SEC Proposes Crypto Fundraising Exemptions in Abrupt About-Face
The SEC proposed “Regulation Crypto Assets,” creating new exemptions that would let crypto projects raise money without full securities registration. One exemption would allow token offerings up to $5 million over four years for startups. Another would permit issuers to raise up to $75 million every 12 months if they provide financial statements and ongoing reports. Both paths would still require disclosures and remain subject to federal antifraud and antimanipulation rules. The proposal arrives after the Clarity Act stalled in Congress, raising expectations that the SEC would act on its own. SEC leaders said the rules are meant to support innovation while protecting investors, but they do not cover every project and may change after public input. The package also includes a conditional safe harbor that could let a token separate from the investment contract used in its sale if SEC conditions are met. Separately, Treasury proposed stablecoin rules under the GENIUS Act.
