Special to The SUN
The Colorado Division of Securities, part of the Department of Regulatory Agencies (DORA), has released a set of rules for the Colorado Crowdfunding Act that will govern the actions of those seeking to take advantage of the new legal investment option.
The division has spent the last several months crafting these rules with help from industry experts and the general public.
“We made sure to carefully outline the rules for the implementation of equity crowdfunding in Colorado to both instruct and make the option as clear and easy as possible for potential issuers, but with an eye toward ensuring that consumers who may want to invest are protected,” stated Securities Commissioner Gerald Rome. “Our focus was to keep the paperwork and ‘red tape’ requirements to a minimum while imposing strict disclosure and record-keeping rules in order to limit fraudulent offerings.”