[2] Montana and Massachusetts state regulators sued the SEC requesting a stay that would pause the implementation of Reg A.
[4] On March 25, 2015, the Securities and Exchange Commission adopted final rules to implement Section 401 of the Jumpstart Our Business Startups Act by expanding Regulation A into two tiers.
Under the final rules, Tier 2 issuers are required to include audited financial statements in their offering documents and to file annual, semiannual, and current reports with the SEC on an ongoing basis.
This partially exempts Tier 2 companies from blue sky law securities rules in each state.
[8] The first successful Regulation A+ campaign was completed by automotive startup Elio Motors, raising nearly $17 million from 6,600 investors.
Elio Motors closed out their Regulation A+ offering in February, 2016, and subsequently listed to the OTCQX,[10] making it the first crowdfinanced IPO in the United States.
[11] In July, 2017, Myomo, a medical device maker out of Boston, MA, became the first crowdfinanced IPO to list shares to the NYSE.
The first real estate lending marketplace to obtain SEC qualification utilizing an amended Tier 1 Regulation A offering was Groundfloor, achieving the feat on August 31, 2015.