The JOBS Act, Jumpstart Our Business Startups Act, is a requirement that intends to create employment opportunities in the States. The Act aims at improving funding for small organizations by reducing the effect of some securities regulations.
This Act was authored by David Weild, who has quite a history in the securities sector, and it was signed into law in 2012 by the then-president Barack Obama. He had in mind that the law should allow more people to invest and enable companies to go public.
Before the Act came into force, companies were required by authorities to augment cash only from investors that are accredited and have a net worth of above $1 million. These amendments were curated to help companies with better ways to raise capital and providing investors with more protection for their investments.
The new regulations would be used with blockchain, which is shared distributed ledger. David said that this new technology would be ideal in facilitating the legal issuance of shares. It would include a vast distribution that has small investors with a small number of intermediaries.
In October 2015, the SEC adopted rules that allowed organizations to sell securities via crowdfunding. The Act provided some federal exemption such that an investor is permitted to crowdfund in trading their securities.
However, according to sources, the Act failed to produce the number of jobs anticipated, which forced the NASDAQ vice-chairman to make it blockchain-based as stated earlier. JOBS Act now seems to be fulfilling its purpose. A good example is the INX ltd which filed an Initial Public Offer petition that was aimed at raising $130 million by vendored security tokens.
Addition of Jobs through Bitcoin
Bitcoin seems to be creating more and more jobs in the economy. Some prominent job sites such as Indeed.com, Monster.com, and Simplyhired.com have been seen to post several tasks relating to Bitcoin. Websites specializing in freelancing also post jobs that are to be paid in Bitcoin.
All thanks to the Internet of Things and Bitcoin, the digital economy now has more opportunities and jobs.