FINRA Requests Comment on Proposed Regulation of Crowdfunding Activities (FINRA Regulatory Notice)

The Jumpstart Our Business Startups Act (JOBS Act)--a new law aimed at increasing American job creation and economic growth-contains keyprovisions relating to securities offered or sold through "crowdfunding." Under the new law, intermediaries performing crowdfunding on behalf ofissuers must register with the SEC as a "funding portal" or broker and must register with an applicable self-regulatory organization (SRO). FINRA is soliciting public comment on the appropriate scope of FINRA rules that should apply to member firms engaging in crowdfunding activities, either as funding portals or as brokers.

Comments Due: August 31, 2012

Cross References: Title III of the JOBS Act; NASD NTM 03-73.

View notice in full here(links externally to FINRA website).