It looks like crowd funding legislation is only going to get more and more relaxed.
I know a lot of companies are salivating at the idea of being able to raise money from non-accredited investors, but I can't see this ending well. Funding for startups has always been difficult, but the assumption was the the average accredited investor has the financial expertise to conduct reasonable due diligence.
The average worker, however, likely does not. I think there will be a spike in people giving their $500, 1,000, or 10,000 investment (which to them is a lot of money) and being very disappointed by the lack of liquidity (which no matter how much you tell them its a 5 year lockup, they'll be banging on your door in 3 months) and failures. Multiply this by millions of investors across North America and it could turn very ugly very fast.
I can only see this being bad for startups which actually have solid business models and have been able to raise difficult funding as the "good" startup will be replaced by the startup that has the most aggressive sales team.
Interested to hear WSO input.