Landmark marijuana financing bill set to move forward in the Senate

Key Points

A bipartisan bill called the Secure and Fair Enforcement Regulation Banking Act, designed to grant the marijuana industry access to banking services, is set to progress in the Senate. The bill offers legal protection to financial institutions serving state-legal marijuana businesses. The Senate Banking Committee is expected to vote to advance it. Senators leading the bill include Jeff Merkley (D-Ore.), Steve Daines (R-Mont.), Kyrsten Sinema (I-Ariz.), Cynthia Lummis (R-Wyo.), and Majority Leader Chuck Schumer (D-N.Y.). The legislation aims to improve safety for communities and small businesses by granting cannabis businesses access to financial services and prevents regulators from closing accounts based on reputational risk. The bill addresses challenges posed by marijuana’s Schedule I classification and federal prohibition, which hinder financing and expose businesses to risks like robbery and money laundering. Combined U.S. cannabis sales are projected to reach $33.6 billion by 2023. While the bill has passed the House before, its fate in the GOP-controlled House remains uncertain. It introduces stricter requirements for federal regulators to ensure fair treatment of marijuana-related accounts and services.

Please read full article from CNBC here: https://www.cnbc.com/2023/09/27/marijuana-financing-bill-safer-banking-to-move-forward-in-congress.html