basquebromance
Diamond Member
- Nov 26, 2015
- 109,396
- 27,002
- 2,220
- Banned
- #1
legalize it. tax it. get that federal cash!
www.politico.com
excerpts:
One big reason for the financial doldrums is that Congress and the Biden administration have done nothing to ease marijuana restrictions, despite Democrats being in complete control of the federal government.
The latest blow: JPMorgan Chase’s decision to stop accepting some cannabis trades from brokerage clients, as first reported by Reuters on Tuesday. That comes on the heels of Credit Suisse Group making a similar announcement.
The SAFE Banking Act has twice passed the House with big bipartisan majorities. But it’s gone nowhere in the Senate. And key Democratic lawmakers — including Senate Majority Leader Chuck Schumer and Sen. Cory Booker of New Jersey — have been adamant that they don’t think banking legislation should be enacted unless it’s paired with much broader changes to federal cannabis policy.
But a far-reaching cannabis legalization blueprint floated by Schumer, Booker and Sen. Ron Wyden (D-Ore.) over the summer hasn’t been introduced as a formal piece of legislation. Even if that changes, the odds of getting all 50 Democrats behind the plan — let alone the 60 senators needed to break a filibuster — are exceedingly slim
The cannabis sales boom that occurred as Americans hunkered down to ride out the pandemic has also faded. In California, legal cannabis sales peaked at over $350 million in April of this year before declining for five straight months, with September sales falling below $300 million, according to cannabis analytics firm BDSA. Similarly, sales in Colorado topped $225 million in July of last year but have since slumped, with revenues of just over $190 million in September.
Despite the grim market indicators, the long-term projections for the cannabis industry continue to look bright. U.S. revenues hit $20 billion in 2020 — a jump of nearly 50 percent, according to New Frontier Data. Sales are expected to top $40 billion by 2025, driven by big new markets slated to come online in New York, New Jersey and Virginia.
Long-time investors like Paxhia aren’t exactly panicking.
“I have 99 percent of my net worth in this industry, and I'm not concerned where we are today,” he said. “There are a few of us that are really thinking about this as a 20-year horizon.”
Investors sour on cannabis after Democrats fail to help industry
Plummeting stock prices and lack of federal action has soured investors
www.politico.com
excerpts:
One big reason for the financial doldrums is that Congress and the Biden administration have done nothing to ease marijuana restrictions, despite Democrats being in complete control of the federal government.
The latest blow: JPMorgan Chase’s decision to stop accepting some cannabis trades from brokerage clients, as first reported by Reuters on Tuesday. That comes on the heels of Credit Suisse Group making a similar announcement.
The SAFE Banking Act has twice passed the House with big bipartisan majorities. But it’s gone nowhere in the Senate. And key Democratic lawmakers — including Senate Majority Leader Chuck Schumer and Sen. Cory Booker of New Jersey — have been adamant that they don’t think banking legislation should be enacted unless it’s paired with much broader changes to federal cannabis policy.
But a far-reaching cannabis legalization blueprint floated by Schumer, Booker and Sen. Ron Wyden (D-Ore.) over the summer hasn’t been introduced as a formal piece of legislation. Even if that changes, the odds of getting all 50 Democrats behind the plan — let alone the 60 senators needed to break a filibuster — are exceedingly slim
The cannabis sales boom that occurred as Americans hunkered down to ride out the pandemic has also faded. In California, legal cannabis sales peaked at over $350 million in April of this year before declining for five straight months, with September sales falling below $300 million, according to cannabis analytics firm BDSA. Similarly, sales in Colorado topped $225 million in July of last year but have since slumped, with revenues of just over $190 million in September.
Despite the grim market indicators, the long-term projections for the cannabis industry continue to look bright. U.S. revenues hit $20 billion in 2020 — a jump of nearly 50 percent, according to New Frontier Data. Sales are expected to top $40 billion by 2025, driven by big new markets slated to come online in New York, New Jersey and Virginia.
Long-time investors like Paxhia aren’t exactly panicking.
“I have 99 percent of my net worth in this industry, and I'm not concerned where we are today,” he said. “There are a few of us that are really thinking about this as a 20-year horizon.”
