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by hndamien 2952 days ago
Nothing stops an unaccredited investor betting the farm on Enron. If there is a less perceived risk, people will use more leverage. So all of this "protection" just amounts to restricted opportunity.
1 comments

Several people went to federal prison and Arthur Anderson went out of business over the Enron shenanigans. This seems as much a deterrent as the Securites Act of 1934. If you’re willing to risk federal prison, you can solicit non-accredited investors for unregistered securities.
You are missing the point. Insert any publicly listed stock that tanked. How about a nice safe bank, like Lehman brothers?