Crowdfunding to Combat the Coronavirus Act: Proposed Legislation Creates $1 billion Prize to Crowdfund COVID-19 Vaccine

Cmte Financial Services (R)
Contact:

Crowdfunding to Combat the Coronavirus Act: Proposed Legislation Creates $1 billion Prize to Crowdfund COVID-19 Vaccine
By: JD Alois, Crowdfund Insider

Representative Patrick McHenry, Ranking Member on the House Financial Services Committee, has proposed legislation to crowdfund a vaccine for the Coronavirus entitled “Crowdfunding to Combat the Coronavirus Act.” The bill creates a $1 billion prize for anyone that develops a vaccine for COVID-19 that is “affordable and widely available.” Any potential vaccine must be determined to cut the mortality rate by over 50%, according to the language of the bill.

Additionally, it eliminates offering ceilings in Regulation Crowdfunding (Reg CF) and Reg. A+ for startups and small businesses working to combat COVID-19.

There are reports of multiple Coronavirus vaccines in development including one that may be ready within weeks in Israel.

The Chinese are expected to start expedited human testing soon on domestically created vaccines.

In the US, public officials have stated that a vaccine is under rapid development but will still require a minimum of 12 to 18 months to make it into public availability.

It was not immediately clear if the bill would receive bipartisan support – something that is necessary to move any legislation out of Committee and to the floor of the House.