SEC proposes crypto fundraising rules up to $75M

• The SEC proposed two exemptions for crypto fundraising without full securities registration.
• One exemption would allow up to $5 million over four years, while another allows $75 million annually.
• The proposal also includes a safe harbour for separating some tokens from their investment contracts.

The US Securities and Exchange Commission (SEC) proposed rules allowing crypto projects to raise up to $75 million annually without full registration.

The proposal includes a startup exemption for token offerings of up to $5 million over four years.

“This proposal is one step on a long road toward a clear, sensible, enforceable regulatory framework for crypto,” said SEC Commissioner Hester Peirce.

The $75 million exemption would require financial statements, ongoing reports and other disclosures from issuers.

The rules would also keep federal anti-fraud and anti-manipulation requirements in place for qualifying offerings.

The proposal follows the SEC's cancellation of a Regulation Crypto Assets meeting last week over an “unforeseen scheduling issue”.

The move comes as US lawmakers face stalled negotiations over the Clarity Act and Treasury advances stablecoin rules.