[credo]

My understanding is that the $1M requirement was signed into law by Reagan in the early 80s.

$2.3M is that amount adjusted for inflation.

You can make a case that the $1M limit was too low (at the time Reagan signed the bill), but imo it doesn't make sense to argue that - in general - any limit should not be adjusted for inflation

[gridspy]

However the costs to launch a business have also decreased in the mean time, as have the size of angel investments.

[jbooth]

The thing is, they're not just dealing with startups -- they're also dealing with fraudulent ventures calling themselves startups.