Karsten Wenzlaff, Advisor
August 26th, 2025
Karsten Wenzlaff is a Crowdfunding and Fintech Expert from Germany. He is Secretary-General of Digit[...]
U.S. ACCESS Act Advances to Ease Crowdfunding Rules
Crowdfunding Regulation | June 23, 2025
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U.S. Lawmakers Advance Bill to Boost Regulation Crowdfunding Access
As reported by Crowdfund Insider, on June 11, 2025 the U.S. House Financial Services Committee voted unanimously (51-0) to progress the ACCESS Act (H.R. 3645), a bipartisan bill seeking to modernize and expand Regulation Crowdfunding (Reg CF). The legislation would crease the cap on Reg CF offerings and reduce costly compliance obligations for early-stage businesses. Supporters say these changes are urgently needed to make equity crowdfunding more viable for smaller companies struggling with capital access and high review costs.
Key Updates in the Bill
- The bill was introduced by Rep. Dan Meuser (R-PA), formally titled the Amendment for Crowdfunding Capital Enhancement and Small-Business Support Act, passed the committee with a 51–0 vote.
- The bill wants to raise the threshold for reviewing financial statements from $100,000 to $500,000. Currently, any Reg CF issuer raising more than $100,000 must submit CPA-reviewed financials, which is a requirement often cited as prohibitive for small businesses given that legal fees can take a large chunk of the funds raised. Under the proposed change, issuers could raise up to $500,000 with self-certified financials.
- The bill wants to double the annual Reg CF offering cap from $5 million to $10 million to provide scaling startups more room to raise growth capital through regulated crowdfunding platforms.
See: Equity Crowdfunding Breaks Records in Canada
Rep. Dan Meuser, House Financial Services Committee:
“America’s entrepreneurs shouldn’t have to choose between raising the capital they need and paying accountants more than they plan to raise. The ACCESS Act updates outdated thresholds so the next great neighborhood brewery, tech start-up, or Main Street retailer can spend its first dollars on growth—not paperwork.”
Implications
Small businesses and startups often say that raising capital is a top barrier to growth. In the U.S., Regulation Crowdfunding allows private companies to raise money from the general public through SEC-registered broker-dealer platforms but expensive compliance costs can limit use of the pathway. According to everyone who unanimously voted for the bill on the House Financial Services Committee, increasing the exemption threshold for reviewed statements will reduce costs, improve the uptake of Reg CF, and provide early-stage smaller firms a fairer path to funding.
On the other hand, invest advocates like NASAA, warn that loosening reporting requirements could raise investor risk, but supporters say platforms and disclosure rules already provide sufficient baseline protection.
See: How Fintechs Are Unlocking Value in Private Markets 2024
Given the current economic climate and the unanimous and the fact that both major parties support the bill means there's a good chance of being approved. If adopted by the full U.S. House and Senate, the ACCESS Act could significantly increase the use of equity crowdfunding by small businesses across the U.S.
The Canadian equivalent to Reg CF in the U.S. is National Instrument 45-110 (startup crowdfunding), which has a $1.5 million issuer cap per 12 month period without any requirement to provide reviewed or audited financial statements.
Closing Outlook
The ACCESS Act is a rare bipartisan effort to reduce friction in Reg CF capital formation for small businesses, and if passed, could significantly boost the utility of the instrument and reduce compliance burdens holding back many early stage fundraising efforts in the U.S. Canadian regulators and industry should be closely following these changes to see how they can strengthen their own equity crowdfunding frameworks under Ni 45-110.
The National Crowdfunding & Fintech Association (NCFA Canada) is a financial innovation ecosystem that provides education, market intelligence, industry stewardship, networking and funding opportunities and services to thousands of community members and works closely with industry, government, partners and affiliates to create a vibrant and innovative fintech and funding industry in Canada. Decentralized and distributed, NCFA is engaged with global stakeholders and helps incubate projects and investment in fintech, alternative finance, crowdfunding, peer-to-peer finance, payments, digital assets and tokens, artificial intelligence, blockchain, cryptocurrency, regtech, and insurtech sectors. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: www.ncfacanada.org
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