Last week’s midterm elections not only favored Republicans in overwhelming numbers, but also said yes to the continuing trend to liberalize marijuana laws. Two additional states joined Colorado and Washington in permitting recreational use of cannabis, along with an overwhelming vote in favor in Washington DC.
As more states come aboard the weed wagon, it appears that is only a matter of time before the Feds will be forced to follow the people. Today, the largest obstacle to a national cannabis industry is federal law banning marijuana sales. Because of that law a large number of banks will not deal with pot retailers. Without banks behind them cannabis businessmen in Colorado and Washington are now running cash-only operations, a risky business, according to the entrepreneurs.
“But the direction voters are moving in is obvious, and with additional states it’s now harder to call Colorado and Washington ‘experiments,’” said Derek Peterson, founder and CEO of Terra Tech Corp. Terra Tech, based in Irvine, California, focuses on local farming and medical marijuana and is most likely the first publicly traded company to hold a medical marijuana license.
“These are the same voters who elect our federal lawmakers, which I think is the major reason you’re seeing such a quick and dramatic turnaround on these policies in Congress,” Peterson said.
An example of this trend is a bill that passed through the House which makes it easier for banks to do business with legal retailers of recreational and medical marijuana. The bill is still in the queue in the Senate.
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