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Crowdfunding Fraud

Crowdfunding is a method for raising capital whereby many individuals network and pool their funds, usually via the internet or social media. Crowdfunding methods are used in a variety of circumstances including,... more +
Crowdfunding is a method for raising capital whereby many individuals network and pool their funds, usually via the internet or social media. Crowdfunding methods are used in a variety of circumstances including, but not limited to, supporting charitable organizations, disaster relief, product development, artistic projects, and financing start-up companies. The passage of the JOBS Act of 2012 sought to broaden the use of crowdfunding in developing private capital for start-up companies by relaxing certain SEC investor registration requirements. less -
Davis Wright Tremaine LLP

FINRA’s 2024 Annual Regulatory Oversight Report: Select Observations

FINRA recently published its 90-page 2024 Annual Regulatory Oversight Report (Report) providing member firms with insight into six primary topics: Financial Crimes, Crypto Asset Development, Firm Operations, Communications...more

Troutman Pepper

FINRA Report Highlights New Topics and Emerging Risks for 2022

Troutman Pepper on

On February 9, FINRA published its 2022 Report on FINRA’s Examination and Risk Management Program (2022 Report), an authoritative resource for member firms to evaluate and, where necessary, enhance their compliance programs...more

Manatt, Phelps & Phillips, LLP

FTC Settles With Backpack Company for Deceptive Crowdfunding Campaigns

On May 11, 2020, the Federal Trade Commission (FTC) announced a proposed settlement with the operator of a deceptive crowdfunding scheme—Douglas Monahan, who operated iBackPack of Texas—for raising money to develop a...more

Holland & Knight LLP

The RESPONSE: Federal and State Actions Affecting the Financial Services Industry - Edition 16

Holland & Knight LLP on

Like our clients, Holland & Knight's Financial Services Industry Group is committed to actively contributing to our nation's response to the coronavirus (COVID-19) pandemic and related economic fallout and recovery efforts. ...more

Morrison & Foerster LLP - JOBS Act

SEC Issues Investor Alert on Crowdfunding

With the May 2016 effective date of the new crowdfunding rules approaching, the SEC is attempting to help prepare the market. On February 16, 2016, the SEC’s Office of Investor Education and Advocacy issued an investor...more

McCarter & English, LLP

FTC Eyes Kickstarter Campaigns for Consumer Protection

Most Kickstarter projects never reach the funding threshold, so funders never pay anything into the venture. However, as shown by recent enforcement action, agencies such as the FTC (Federal Trade Commission) have become...more

Shumaker, Loop & Kendrick, LLP

Crowdfunding Isn’t Charity

“How do I get backers for my project?” - You see this question asked frequently on social media sites. The projects are sometimes serious, but have often advanced little more than a dream. The person seeking funds may...more

Orrick, Herrington & Sutcliffe LLP

Orrick's Financial Industry Week in Review - October 28, 2013

Joint Release on QM Fair Lending Risks - On October 22, the Fed, CFPB, FDIC, NCUA and OCC issued a joint statement to address industry questions on fair lending risks associated with offering only qualified mortgages. ...more

Stinson - Corporate & Securities Law Blog

Crowdfunding And JOBS Act News Roundup – May 31, 2013

President Obama has nominated a pair of Senate aids to be SEC Commissioners. Dr. Michael Piwowar is the Chief Economist for the U.S. Senate Committee on Banking, Housing, and Urban Affairs, a position he has held since 2009. ...more

Stinson - Corporate & Securities Law Blog

Crowdfunding And JOBS Act News Roundup – April 26, 2013

On Thursday the SEC sent out a press release captioned “SEC Seeks to Halt Scheme Raising Investor Funds Under Guise of JOBS Act.” The action doesn’t really have anything to do with the JOBS Act, as in the sense that it seeks...more

Gray Reed

The JOBS Act and Crowdfunding – Letting Go

Gray Reed on

President Obama is scheduled to sign the JOBS (Jump Start Online Business Startups) Act today that includes provisions to relax the rules on raising capital for equity to allow for crowdfunding. See, sometimes the...more

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