Senators Jeff Merkley (D-OR), Jerry Moran (R-KS), and Michael Bennet (D-CO) issued the following statement after the Securities and Exchange Commission (SEC) proposed a rule governing crowdfunding activities . Earlier this week, Merkley, Moran and Bennet renewed their call on the SEC to propose the draft rule without delay in a letter signed by eight U.S. Senators.
"We are pleased the SEC finally took action and proposed a rule governing crowdfunding activities. Crowdfunding has the potential to be a powerful tool for growing the economy by helping small and new businesses raise capital online so they can expand and create new jobs. We look forward to reviewing the rule to ensure that entrepreneurs can access the capital they need to grow their businesses while providing proper safeguards for investors."
Merkley and Bennet were lead sponsors on the CROWDFUND Act, which was passed on April 5, 2012, and allows small businesses to raise start-up capital on the internet.