Recently Proposed Bills That May Reshape Key Venture Capital Exemptions – What Venture Capital Fund Managers Need to Know

Two bills are currently being advanced in the U.S. House of Representatives that, if enacted, will significantly impact two key exemptions that venture capital funds and their managers often rely on. The Developing and Empowering Our Aspiring Leaders Act of 2025 (DEAL Act) would expand the category of qualifying venture investments to include fund-of-funds and secondary investments. The Improving Capital Allocation for Newcomers Act of 2025 (ICAN Act) would increase the size and investor limits for “qualifying venture capital funds” relying on the Section 3(c)(1) exemption from registration under the Investment Company Act of 1940. READ MORE