The national authorities must ensure that the form of recognition employed guarantees the legal validity of securities-based crowdfunding operations and that there is no unknown regulatory or legal risk borne by crowdinvestors, project sponsors or crowdfunding intermediaries that could jeopardise their crowdfunding operation(s) at any point in time.
In the case where the national regulator provides formal recognition of ACfA but is unable or unwilling to guarantee the validity of securities-based crowdfunding operations under local law, it must provide a transparent legal equivalency framework under which crowdfunding operations that are supervised by ACfA may take place. Such a framework must also make explicit the conditions under which cross-border crowdfunding operations may be conducted.
