Basseterre, November 24th, 2022

As part of the CDB-funded Equity Crowdfunding Project, the Eastern Caribbean Securities Regulatory Commission (ECSRC) conducted a series of stakeholder consultation events in September 2022, to secure feedback on the draft Equity Crowdfunding Rules. These rules seek to introduce an appropriate regulatory framework to govern equity crowdfunding activity across the Eastern Caribbean Currency Union (ECCU) in order to improve access to finance for MSMEs.

The attendance and input at these sessions were greatly appreciated. 

The ECSRC has now reflected on this helpful feedback and made certain modifications to the draft Rules as a result. You can now access the revised version of the Rules with the proposed modifications in tracked changes, and with accompanying comments explaining the rationale for the change, at the link below.

Modified Rules 

Two changes in particular are being proposed as a result of stakeholder feedback: 

• Rule 21(2) (page 14) – Right of Withdrawal. Following feedback, the proposal is to dis-apply the ‘cooling off period’ for investors if they agree to purchase securities within 48 hours of the closing date of the crowdfunding offer. 
• Rule 34(1-3) (page 19-20) – Investment Limits. Following feedback that the original investment limits may be too restrictive, the proposal is to allow investors to invest up to the investment limit stipulated once a year. 

The ECSRC welcomes any feedback on the changes proposed, as well as any additional feedback you have on the draft Rules more broadly.

Any additional, final, feedback is requested by Wednesday 14th December 2022, following which the ECSRC will look to finalise the Rules.

Please contact the ECSRC if you have any questions or comments, or would like to discuss any aspect of the Rules.