MOBU set to take centre stage in security tokens world (Part 1) introduced Reg A+ to establish a better understanding of this type of exemption that companies can take from registering their securities with the SEC. Reg A+ falls into a middle ground between private capital raise options like Reg D, and public options like an IPO.

Relevant Terminology

Alternative Ways to go Public

Apart from Reg A+ we find alternative ways for companies to go public. Each of them offers its own wide-ranging benefits, and while these security-token frameworks are still strict: they allow for ICOs to be conducted in a cheaper and faster way than utility tokens. They also greatly help to reduce legal risk and liability.

Regulation D:

A Reg D offering is also an exemption from SEC registration requirements similar to Reg A+. Reg D offerings grew from $1.3 trillion in 2016 to $1.7 trillion in 2017.