We just returned from the Las Vegas Cannabis Business Convention. WOW! The cannabis space is evolving at about the same pace as the bitcoin – crypto universe!
Cannabis banking was a topic of GREAT Interest!
New credit unions, banks and a multitude of platforms are launched weekly. It’s a serious challenge to Blog about all of them on a daily basis.
- An estimated 500 banks will work with medical marijuana companies, but the majority still won’t.
- The cannabis industry will be a front-runner in adopting bitcoin as a safer alternative to cash.
New platforms like SinglePoint and POSaBIT are creating payment systems for dispensaries and consumers using bitcoin. A few new cryptocurrencies have been developed that focus on cannabis transactions, like PotCoin and HempCoin.
In California, meetings occur weekly between California state, banks and federal regulators on plans to enable banks to service the cannabis niche. Starting Jan. 1, 2018 it will be legal to grow and sell marijuana for recreational and medical uses in California.
The California green banking proposal? Basically, it boils down to specify 1 bank as a “central correspondent bank” that maintains accounts from other banks that are doing business with marijuana firms.
A cannabis retailer remits payment to a cannabis distributor for flower, wax, oil… the transaction would go from the retailer’s bank through the central correspondent bank, which would instantly clear payment through the distributor’s bank.
This unique cannabis clearinghouse for cannabis money would allow California to provide a compliance oversight by “assigning examiners to make sure special restrictions set by the federal government are followed, suspicious activity reports are filed and the number and scope of transactions through the central bank are tracked.”
In today’s cannabis environment, it’s even possible to offer cash intensive cannabis businesses the ability to accept secure payments electronically. We allow payments with a smartphone app, tablet or desktop computer. AMAZING!!!
Contact Jer@MyPotGuru.com for details.