On March 31, 2025, Crowdfund Capital Advisors submitted a letter to the House Financial Services Committee urging strong support for a series of bills aimed at expanding access to capital through investment crowdfunding.
These bills—particularly the Improving Crowdfunding Opportunities Act, the ACCESS Act, the SEED Act, and various proposals to modernize the accredited investor definition—represent practical, bipartisan steps to support entrepreneurship, innovation, and job creation without compromising investor protection.
We know this industry better than anyone. CCA co-authored the original investment crowdfunding framework alongside Congressman Patrick McHenry and spent more than 460 days in Washington D.C. helping pass the bipartisan JOBS Act in 2012. Since then, we’ve built the only 100% complete and continuously updated dataset tracking Regulation Crowdfunding—more robust than what even the SEC maintains.
Our data proves that this market is working exceptionally well:
- $3B+ raised by over 8,100 companies
- 2.1 million investments made
- 430,000+ jobs created or supported
- $14.7B in enterprise value built
- Over $27.1B in total economic stimulus
This is capital flowing into underserved communities, rural towns, and emerging startup cities—not just Silicon Valley or Wall Street.
What We’re Asking Congress to Do
The legislation under review would modernize Regulation Crowdfunding and remove key barriers to scale:
✅ Raise the Reg CF cap to $10M—or ideally, $20M
✅ Lower compliance costs for small businesses via the ACCESS Act
✅ Introduce the SEED Act for micro-offerings
✅ Enable secondary trading and support GUARDD as a national compliance framework
✅ Expand the accredited investor pool based on knowledge, not wealth
✅ Exempt trusted “finders” from broker-dealer registration
✅ Increase the Reg A+ cap to help scaled companies remain in compliant pathways
These updates reflect how the industry has matured: 60% of issuers are now post-revenue, demonstrating that Reg CF is attracting stronger, less risky companies.
But There’s One Big Thing Missing: Tax Incentives
We also proposed something not currently on the table—but urgently needed: the Early-Stage Investment Tax Incentive for Crowdfunding (ESTI-CF).
This proposed federal policy would allow investors to:
- Write off 50% of their investment in eligible Reg CF companies
- Deduct 100% of their investment if it’s in a distressed, rural, or opportunity zone
- Avoid capital gains tax if they hold the investment for at least 5 years
This model has proven successful in countries like the UK and Canada. It pays for itself through economic growth and ensures capital reaches regions and businesses that need it most.
We invite Members of Congress, regulators, and the public to read our full letter here and review our supporting materials:
Let’s not stall a working system. Let’s scale it.
If Congress is serious about revitalizing American entrepreneurship, now is the time to modernize Reg CF—and consider bold, pro-growth ideas like ESTI-CF.
For questions or support, contact us anytime. We’re proud to continue leading the data, policy, and advocacy agenda for this critical part of the U.S. capital markets.
