Proposal introduces tailored exemptions for crypto asset offerings with disclosure requirements and a conditional safe harbor.
The U.S. Securities and Exchange Commission proposed new rules for crypto asset offerings, introducing two registration exemptions under “Regulation Crypto Assets.” The first allows a one-time offering of up to $5 million over four years, while the second permits up to $75 million in any 12-month period, both requiring investor disclosures.
The larger exemption mandates financial statements and ongoing reporting. The proposal also includes a conditional safe harbor, allowing crypto assets to exit investment contract status if issuers meet specified conditions, such as completing promised managerial efforts.
Public comments on the proposal will be accepted for 60 days following its publication in the Federal Register.