[tptacek]

Don't current Title III rules make it legally risky for companies to crowdfund like this? The last thing I read about this suggested that crowdfunding like this could put a startup in a position of having to effectively go public very early in their life --- which would suggest that none of the best startups would crowdfund, which would create a major adverse selection problem for Republic.

[pmen]

You're right -- a company with $25M in assets and 500 unaccredited shareholders is essentially forced to go public. That's why traditional security instruments are poorly suited for investment crowdfunding. We created and open-sourced a derivative of the YC Safe called the Crowd Safe to solve for this (more at https://republic.co/crowdsafe).