Welcome to the latest edition of “Last week in Weed,” catching you up on the latest breaking news and industry developments in the world of cannabis.
Here’s what you may have missed over the last week:
Chase Bank’s Cannabis Cash Dreams
The DEA finds itself at odds with public perception yet again, with 96% of cannabis consumers in a recent survey claiming the agency is biased against the proposed rescheduling of cannabis. The review of the shift from Schedule I to III has drawn widespread skepticism, with critics likening it to “a raccoon guarding your sandwich.” This backlash underscores growing frustration with an agency many see as out of step with modern public opinion.
Meanwhile, JPMorgan Chase CEO Jamie Dimon hinted that his bank might consider working with cannabis companies if federal laws evolve. His cautious use of the word “probably” underscores the immense regulatory hurdles still facing the industry. Yet, Dimon’s remarks signal a shift worth noting—when the largest bank in the United States entertains the idea of cannabis banking, the industry could be on the verge of a financial breakthrough. Until then, dispensaries across the nation will continue managing billions of dollars in cash, creating significant security risks and inefficiencies.
In 2022 alone, U.S. cannabis sales reached $33 billion, yet the lack of access to traditional banking leaves businesses vulnerable, with many forced to rely on expensive third-party financial services or operate as cash-only enterprises. This situation is not only a logistical nightmare but also a public safety concern, with dispensaries frequently targeted for robberies.
Congress Gets a Wake-Up Call… and the DEA Gets Torched
On Capitol Hill, the cannabis industry found an unlikely ally in Democratic Congresswoman Nydia Velázquez, who lambasted a GOP-led committee for failing to support legitimate cannabis businesses and instead punishing these companies for existing in the bureaucratic Twilight Zone between “legal” and “federally illegal.”. Velázquez highlighted the industry’s struggles with sky-high taxes and limited access to financial services, arguing that the federal government’s contradictory stance is strangling an otherwise thriving sector.
Her sentiments echo those of cannabis advocates who point to the economic benefits legalization could bring. According to a report by Leafly and Whitney Economics, the cannabis industry supports over 428,000 full-time jobs in the U.S., with this figure expected to grow as more states legalize recreational use.
Adding to the pressure, Representatives Alexandria Ocasio-Cortez and Ilhan Omar confronted the DEA’s new chief over his claims that cannabis is a “gateway drug.” That argument might have worked back when disco was king, but in today’s cannabis economy, it’s about as credible as a flat-earth conspiracy theorist. In fact a recent National Institute on Drug Abuse (NIDA) study found no conclusive evidence to support the gateway theory, instead highlighting cannabis’s potential role in reducing dependency on opioids and other harmful substances.
The Rise of Cannabis as a Sleep Aid
Move over, Ambien, there’s a new sandman in town, and it smells like skunk. In a shifting landscape of health and wellness, cannabis is emerging as a popular alternative to prescription sleep aids. A survey conducted by the American Academy of Sleep Medicine (AASM) revealed that nearly one-third of Americans have used cannabis to address sleep issues, surpassing the use of prescription medications or booze.
Unlike pharmaceutical sleep aids, which often come with a laundry list of side effects, cannabis offers a natural alternative that many find less intrusive.The choice is obvious: a couple puffs of Snoop Salad or a lab-engineered cocktail that lists “possible death” as a side effect. Sales of cannabis products marketed for sleep, including edibles and tinctures, have surged, with the category accounting for a significant portion of the $3 billion cannabis wellness market.
This trend poses a challenge to pharmaceutical giants like Sanofi and Pfizer, whose prescription sleep aids generated $1.1 billion in 2022 sales. With consumers gravitating toward cannabis for its perceived safety and effectiveness, Big Pharma has clearly found itself grappling with a new wave of competition.
An American Trapped in Russia Over Cannabis
The arrest of an American citizen in Russia for medical cannabis possession has once again brought international tensions to the forefront. Advocacy groups have called on Secretary of State Antony Blinken and Senator Marco Rubio to act decisively to secure the individual’s release.
The case underscores a dangerous trend: cannabis becoming a political pawn in international disputes. This isn’t an isolated incident—Brittney Griner’s high-profile detention in 2022 highlighted how Russia uses cannabis laws as leverage in diplomatic standoffs.
As global attitudes toward cannabis evolve, cases like this highlight the urgent need for clearer international policies on medical cannabis. For Americans traveling abroad, the risks of carrying even legally prescribed cannabis have never been more evident.
