Crypto▲ Bullish
Grayscale Says SEC Crypto Plan Could Reopen US Token Fundraising
Grayscale Research says the SEC's Reg Crypto proposal could create a compliant path for US token fundraising, with exemption tracks up to $5M and $75M. The final rule depends on whether the disclosure requirements are actually usable.
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Grayscale Research has weighed in on the SEC's proposed Reg Crypto framework. The firm argues that clearer rules could give US startups a compliant path to raise capital through token offerings for the first time in years.
The proposal, released August 18, creates two potential exemption tracks. One covers raises up to $5 million. A second, subject to stricter requirements, allows up to $75 million. Both would require issuers to provide disclosures, follow resale restrictions, and meet investor-eligibility standards.
For most of the last decade, US token fundraising existed in a legal gray zone. Projects either operated offshore, risked SEC enforcement, or avoided public sales entirely. The SEC's enforcement actions against Telegram, Kik, and Ripple left many teams convinced that any US token sale was a liability. A workable exemption would change that calculus.
The exemption levels matter because they map to different project stages. The $5 million path works for early-stage teams and open-source protocols that need seed funding. The $75 million track could support more mature startups with significant infrastructure costs – hardware, developer salaries, legal review, exchange listing fees.
Grayscale's analysis ties the proposal to broader smart-contract ecosystems. Token fundraising is not chain-specific. If US teams can raise compliantly, networks including Ethereum, Solana, BNB Chain, and others may see more domestic project formation. More compliant launches could support developers, infrastructure, and application growth, the firm said.