House BillHR 3352SecuritiesSecurities and Exchange Commission (SEC)
HALOS Act of 2025
INTRO MAY 13· LAST ACTION JUN 24
READING
4MIN
COSPONSORS
2BIPARTISAN
READER REACTIONS0 TOTAL
NO VOTES YET · BE THE FIRST
One chamber only
LEGISLATIVE PROGRESS
STEP 4 / 8
Introduced
In Committee
Reported
Passed House
Passed Senate
Conference
To President
Became Law
WHAT THE BILL DOES
AI-written
Many startup businesses struggle to raise the money they need to grow, innovate, and create jobs because strict regulations can make it difficult for them to connect with potential investors. This bill addresses that challenge by clarifying the rules around how these companies can publicly communicate their need for funding.
If this bill becomes law, it could lead to more efficient and effective fundraising for early-stage companies, potentially boosting economic activity and innovation. If it doesn't pass, companies will continue to face the current regulatory hurdles, which can limit their ability to find investors and expand, potentially slowing down the creation of new businesses and jobs.
KEY PROVISIONS
5AI-extracted
PROVISION 01
Requires the SEC to revise its Regulation D rules within six months to allow certain presentations at specific events without them being considered "general solicitation."
This provision creates a legal pathway for startups to openly discuss fundraising at designated events without violating federal securities laws.
PROVISION 02
Defines specific criteria for what constitutes an "angel investor group" and an "issuer" (the company raising money) that can participate under these revised rules.
These definitions ensure that only legitimate early-stage companies and qualified investor groups can take advantage of the new flexibility, maintaining a level of investor protection.
PROVISION 03
Sets strict conditions for eligible events and their sponsors, including restrictions on giving investment advice, charging excessive fees, or receiving compensation for introductions.
These conditions are crucial for preventing abuse of the exemption, protecting investors from potentially misleading sales pitches, and ensuring events are informational rather than transactional.
PROVISION 04
Limits the specific information an issuer can share about a securities offering at these events to basic details like the type and amount of securities, the amount subscribed, and the intended use of funds.
This ensures that while companies can announce their fundraising efforts, they cannot provide extensive, detailed offering information that might require full SEC registration.
PROVISION 05
Clarifies that merely attending one of these events does not, by itself, establish a "pre-existing substantive relationship" between an issuer and a potential purchaser for other private offering rules.
This prevents unintended loopholes or complications with other existing private placement exemptions that rely on established relationships.
Many startup businesses struggle to raise the money they need to grow, innovate, and create jobs because strict regulations can make it difficult for them to connect with potential investors. This bill addresses that challenge by clarifying the rules around how these companies can publicly communicate their need for funding.
If this bill becomes law, it could lead to more efficient and effective fundraising for early-stage companies, potentially boosting economic activity and innovation. If it doesn't pass, companies will continue to face the current regulatory hurdles, which can limit their ability to find investors and expand, potentially slowing down the creation of new businesses and jobs.
KEY PROVISIONS
AI-extracted
high
Requires the SEC to revise its Regulation D rules within six months to allow certain presentations at specific events without them being considered "general solicitation."
This provision creates a legal pathway for startups to openly discuss fundraising at designated events without violating federal securities laws.
med
Defines specific criteria for what constitutes an "angel investor group" and an "issuer" (the company raising money) that can participate under these revised rules.
These definitions ensure that only legitimate early-stage companies and qualified investor groups can take advantage of the new flexibility, maintaining a level of investor protection.
high
Sets strict conditions for eligible events and their sponsors, including restrictions on giving investment advice, charging excessive fees, or receiving compensation for introductions.
These conditions are crucial for preventing abuse of the exemption, protecting investors from potentially misleading sales pitches, and ensuring events are informational rather than transactional.
med
Limits the specific information an issuer can share about a securities offering at these events to basic details like the type and amount of securities, the amount subscribed, and the intended use of funds.
This ensures that while companies can announce their fundraising efforts, they cannot provide extensive, detailed offering information that might require full SEC registration.
med
Clarifies that merely attending one of these events does not, by itself, establish a "pre-existing substantive relationship" between an issuer and a potential purchaser for other private offering rules.
This prevents unintended loopholes or complications with other existing private placement exemptions that rely on established relationships.
Not later than 6 months after the date of enactment of this Act
Securities and Exchange Commission shall revise Regulation D rules
GLOSSARY
AI-written
General Solicitation
Publicly advertising or broadly communicating about an offer to sell securities (company shares or other investments) to potential investors, which is generally restricted for unregistered private offerings to protect investors.
Regulation D
A set of rules from the Securities and Exchange Commission (SEC) that allows companies to raise capital through the sale of securities without having to register those securities with the SEC, provided they meet specific requirements, often related to who can invest and how the offering is made.
Issuer
A company or entity that offers to sell or sells its own securities (like stock or bonds) to raise money.
Angel Investor Group
A group of financially sophisticated individuals (accredited investors) who pool their personal money to invest in early-stage companies, often with the goal of helping those companies grow.
Accredited Investor
An individual or company that meets specific income or asset requirements set by the SEC, indicating they are financially sophisticated enough to understand and bear the risks of investments that may not be registered with the SEC.
Broker
A person or company that buys and sells securities on behalf of customers, typically for a commission.
ACTION TIMELINE
13 EVENTS
JUN 24, 25
Received in the Senate and Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.
INTROREFERRAL
JUN 23, 25
Mrs. Wagner moved to suspend the rules and pass the bill, as amended.
FLOOR
JUN 23, 25
Considered under suspension of the rules. (consideration: CR H2866-2868)
FLOOR
JUN 23, 25
DEBATE - The House proceeded with forty minutes of debate on H.R. 3352.
A person or firm that provides investment advice to clients for a fee, and must typically be registered with the SEC or state regulators.
Pre-existing substantive relationship
A established connection between a company offering securities and a potential investor, required under some private offering rules, that ensures the investor is known to the company beyond just their response to a general advertisement.
