"Democratization of Capitalism"Barkats says the JOBS Act is a "game changer," as even the president and members of Congress "realize that creation of jobs and formation of capital cannot come from bureaucrats but from the bottom up." He calls the legalization of crowdfunding for equity and debt investments in the U.S. the "democratization of capitalism." "It's insane that institutional investors have the right to participate in the growth of companies, while ordinary people are excluded. The JOBS Act creates a disintermediation between the so-called experts who brought us to a credit crunch and ordinary investors, allowing each and every of us to make a direct decision." Barkats says medical-research companies provide a good example of how a revolutionary "combination of social media and investors" can benefit entrepreneurs, investors and the entire economy: "If you believe you are on the cusp of an innovative cure, you can solicit from anybody online, and not be held hostage by venture capital firms or Big Pharma, and not be held hostage by so-called non-profit organizations." "The JOBS Act is a great step in the right direction," says Barkats, "but we need more 'doers' at the SEC than regulators. They are sitting on a great project that will allow our companies to compete with the rest of the world. Let the market be free and let people make their own decisions." -- Written by Philip van Doorn in Jupiter, Fla.
Email. Follow @PhilipvanDoorn