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What the SEC's IPO reform talk means for crowdfunding founders
The SEC wants to make going public easier. Does that include you? — plus this week's raise data
Sam Fiske
July 15, 2026 • Estimated Reading Time: 3 minutes
Hi there,
This week: Kingscrowd reviews the SEC's IPO modernization roundtable — including a direct call from OTC Markets' GC to bring Reg A into the reform conversation, and what "seasoned" private offerings mean for founders eyeing a future public raise.
Plus: Hill Road Pictures' Frank Peluso and Bob Vanech join Inside Startup Investing to talk creator-driven film finance, and our latest Founder Report tracks $74.1M raised across 388 companies over the past 30 days.
Let’s dive in.
The SEC held a roundtable this month with top capital markets lawyers and bankers to talk about making it easier — and cheaper — to go public and stay public. Most of the discussion centered on traditional IPOs. But a few moments matter directly if you're building a company through Reg CF or Reg A and thinking about what comes after.
The most relevant comment came from Dan Zinn, General Counsel of OTC Markets. He argued the SEC should stop treating "where a company trades" as a proxy for how much disclosure it should give investors — and pushed for Reg A companies to get more direct attention in these reform conversations. That's a meaningful signal: someone at the table is actively advocating for smaller issuers, not just big IPO candidates.
There was also a good discussion of something a lot of Reg CF and Reg A founders eventually run into: what happens after a private raise, once your investors want liquidity. Panelists described how a "seasoned" private offering (one that's been held long enough to become freely tradable under Rule 144) already works like an informal path to public trading — without a full IPO. That's worth understanding early, even if it's years away for your company.
Finally, panelists flagged real pain points in the traditional path to going public: expensive audits, unnecessary waiting periods, and rules that make it harder for smaller companies to get analyst coverage right after they go public. None of this is Reg CF-specific, but it's useful context — this is the direction regulators are leaning, and it could eventually make the "grow up" path from Reg CF/Reg A into bigger raises a little smoother.
The takeaway for founders: None of these proposals change your Reg CF or Reg A obligations today. But they're worth watching, because they point to where the SEC's attention — and possibly your company's future — is headed. If you're planning to grow past a Reg CF or Reg A raise someday, the path forward may get a little less painful: cheaper audits, simpler disclosure rules, and more room for companies your size to access public markets without the full weight of a traditional IPO. The bigger lesson is this: an active investor who bought into your seasoned Reg D or Reg CF raise doesn't just want return — they eventually want a way out. Understanding how that liquidity path might work, even years in advance, is part of building a company investors want to back in the first place.
JUNE - JULY FOUNDER REPORT
This month’s Founder Report is out, covering the 30-day window from June 15 to July 15. Across 388 active companies, founders raised a combined $74.1M from 32,185 new investors, with the average check landing at $1,784. Reg A+ led the raise mix at 60% of total volume ($44.1M across just 22 companies), while Reg CF spread $30.0M across 366 companies. Transportation was the standout sector, pulling in $25.4M across 19 companies, and DealMaker Securities topped the platform leaderboard with $42.8M in new commitments spanning 74 companies.
Dive into the full breakdown →
EVENTS
Demo Day is coming — hear directly from founders raising right now.
Mark your calendars for Kingscrowd Demo Day Q3 2026 on July 29, 2026 at 3:00 PM ET, where a curated group of founders will pitch live to our investment team and audience, followed by real-time Q&A. It's a chance to hear straight from the entrepreneurs behind some of the most compelling active raises, ask questions in real time, and get direct commentary from Kingscrowd's analyst team on what they look for in a deal.
FROM THE INSIDE STARTUP INVESTING PODCAST
On the latest Inside Startup Investing podcast, host Chris Lustrino sits down with Hill Road Pictures' Frank Peluso and Bob Vanech to talk about So I'm the Crazy One, their upcoming R-rated comedy built on a creator-driven film finance model. Frank brings deep Hollywood roots, including past work with Nick Cassavetes, while Bob draws on his background in digital media, YouTube networks, and equity crowdfunding to explain how they're funding the film. The two dig into casting content creators with built-in audiences, structuring ownership so investors, producers, and cast all share equally, and blending Reg D and Reg CF fundraising with direct-to-consumer distribution. It's a fresh look at how creator audiences can both finance and market a film, and why that pitch may be more intuitive to investors than a typical startup deal.
