In an interview with Reuters, former heavyweight boxing champion Mike Tyson said that psilocybin mushrooms changed his life as he struggled with suicidal thoughts.
“Everyone thought I was crazy, I bit this guy’s ear off. … I did all this stuff, and once I got introduced to the shrooms … my whole life changed. … To think where I was – almost suicidal – to this now. Isn’t life a trip, man? It’s amazing medicine, and people don’t look at it from that perspective.” – Tyson to Reuters
Earlier this month, Tyson announced he had invested in Wesana, a psychedelic-focused wellness company that is publicly traded on the Canadian Securities Exchange. Wesana is founded by National Hockley League champion Daniel Carcillo.
“Traumatic brain injury has affected me and many people I care about, including fighters and veterans,” Tyson wrote on Twitter, according to Psychedelic Spotlight. “I’m proud to be an early investor in @wesanahealth.”
Tyson launched his cannabis business, the Ranch Companies, in 2018 and last year announced a partnership with Smart Cups to manufacture printed, water-soluble cannabinoid products which would allow consumers to add their own liquid to create unique beverage infusions.
The company also sought the naming rights to Barcelona Spain’s Nou Camp soccer stadium. The company wanted to use the Swiss X brand – the Ranch Companies’ CBD product – for the marketing deal.
In an interview with USA Today prior to his exhibition bout with Roy Jones Jr. – which was sponsored by Weedmaps – Tyson said 5MeO-DMT “told [him] to get into shape.” Tyson said he lost 100 pounds training for the fight.
The Texas Senate declined to vote on a House-approved bill to reduce the criminal penalties for cannabis extract possession before the end of the state’s legislative session, the Austin American-Statesman reports. The measure passed the lower chamber 95-44 on Sunday ahead of the Legislature’s midnight deadline but the Senate declined to hold its own vote.
The proposal would have lowered the penalty for possessing less than 2 ounces of concentrate products – such as edibles, tinctures, and oils – from a felony to a Class B misdemeanor. Individuals caught with concentrate products in the state face between six months and two years in jail.
The House version had been amended by Republican Sen. Charles Perry to include regulations for Delta-8 THC but that amendment was neither approved by the House nor by the conference committee, which unanimously approved the original version.
According to the report, just one of more than a dozen cannabis-related bills made it to the desk of Gov. Greg Abbot (R). The watered-down version of the medical cannabis program expansion bill was the only cannabis-related legislation to be approved by lawmakers and move to the governor. As introduced, the measure would have increased THC limits in medical cannabis products from 0.5% to 5% but the final version only approved an increase to 1%.
A March poll conducted by the University of Texas and Texas Tribune found 60% of Texans support broad cannabis legalization in the state; 28% of poll respondents said they believed cannabis should only be legalized for medical purposes while 13% preferred cannabis remain outlawed in the state.
Diamond by Heavy Hitters, a legacy of purity, potency and purpose, since 1996.
LOS ANGELES, California, June 1, 2021 — Heavy Hitters today announced Diamond, an innovative new experience into the premium cannabis world.
Diamond harmonizes ULTRA premium flower and ULTRA potent THC-A diamonds providing a deep balanced body effect and flavorful filled smooth smoke flow. The majority of the first batch tested at over 50% potency!
“When happy, passionate, cannabis loving, hard working people get together with a mission this fun, they don’t stop until it delivers an experience that will be loved by our connoisseur friends,” said Skyler S., Co-Founder of Mammoth Distribution.
The key to creating such a robust, yet smooth smoke starts with the flower. Diamond uses only fresh and sticky nugs, never any shake or trim, sourced from top California cultivators. Access to flower like this only comes from being in the industry for almost 25 years. It is that same choice flower that is used to make the diamonds by first forming it into sauce then putting it under extreme pressure, resulting in the purest, most potent 99% THC-A diamonds. The purity is important so no residual smells or flavors corrupt the natural, bold bouquet of flavors emanating from the flower.
When masterfully rolled using a proprietary blending technology, the result is an elevated smoke with an even burn, a full-bodied flavor, and the heavy effects synonymous with the brand. Diamond is the latest offering from the ULTRA line, an elite collection that embodies the core of Heavy Hitter’s brand principles: To create the purest, most potent cannabis products on the market.
To celebrate the launch, Heavy Hitters has created a special edition line of Diamond merchandise, custom humidors to store them for the industry insiders, and one-of-a-kind pendant necklaces, handcrafted by Sticks & Stones Jewelry. The pendant has been artfully fashioned, not only using white and black diamonds, emeralds, gold, and silver but also incorporating cannabis flower and THC-A diamonds. The final product is a stunning and unique adornment, the ultimate wearable expression of the Diamond Pre-Roll.
This limited edition product will have a pre-release at select retailers beginning on June 3rd and launching statewide in California at the end of the month.
For more information on Diamond and all of the great product offerings from Heavy Hitters, please visit www.heavyhitters.co.
About Heavy Hitters Los Angeles born, and family-owned and operated since 1996, Heavy Hitters is a true original amongst cannabis brands. Dedicated since day one to only produce the highest quality, purest, and most potent products, Heavy Hitters continues to push the boundaries of what it means to be connoisseur cannabis. Always innovating, their ever-growing brand portfolio includes one of the best selling vape cartridges in California, along with a variety of edibles, concentrates and pre-rolls. Heavy Hitters products are distributed exclusively by Mammoth Distribution and are available in California’s top dispensaries.
Officials in Rhode Island are seeking to revoke the medical cannabis cultivation license of Colorado Ave LLC, which is owned by Brian Bairos – who agreed to pay a bribe to disgraced former Fall River, Massachusetts Mayor Jasiel Correia, WPRI reports. Correia was found guilty earlier this month of extorting cannabis businesses and fraud.
Bairos testified in Correia’s trial that he paid the $150,00 bribe, in return for a non-opposition letter to open a dispensary in the city, in a combination of cash and more than 12 pounds of cannabis to a Correia associate named Tony Costa. Bairos was given immunity in exchange for his testimony.
In a show-cause order issued in February, the Rhode Island Department of Business Regulation (DBR) said Colorado Ave failed to ensure the agency access to its real-time camera feeds and failed to appropriately track and trace plants and inventory. The order also says the revocation is due to Colorado Ave’s “failure to uphold its fitness to engage in the medical marijuana industry by Mr. Bairos’ participating in Giving Tree’s extortion.” Giving Tree was the name of his proposed cannabis dispensary in Fall River.
The case has also ensnared David Brayton, a Rhode Island man who testified at Correia’s trial that he paid a $100,000 bribe to the former mayor for a non-opposition letter to open a dispensary. Brayton has successfully applied for the Rhode Island license lottery for his plan to open a dispensary, Faded Minds, in Providence, the report says.
Brian Hodge, a spokesperson for the DBR, said the agency is aware of Brayton’s links to the Fall River scandal and that regulators reserve “the right to disqualify applicants based on new information” but could not “comment on ongoing investigatory matters.”
Following his conviction, Corriea claimed he would “have a great day of vindication and eventually the real truth will come out” adding that “there were no facts that were brought forward [and] no overwhelming evidence.” He has promised to appeal.
House Judiciary Committee Chairman Jerry Nadler (D-NY) reintroduced The Marijuana Opportunity Reinvestment and Expungement Act of 2021 on Friday.
If approved, the MORE Act — which was crafted with an emphasis on empowering states to enact their own cannabis policies — would remove penalties for cannabis possession, clear some cannabis-related criminal records, and establish social equity programs dedicated to repairing the communities most disadvantaged by the racist drug war and undoing other generational harms of cannabis prohibition.
The bill’s House co-sponsors include Cannabis Caucus co-Chairs Earl Blumenauer (D-OR) and Barbara Lee (D-CA), Judiciary Crime Subcommittee Chairwoman Sheila Jackson Lee (D-TX), House Democratic Caucus Chairman Hakeem Jeffries (D-NY), and Small Business Committee Chairwoman Nydia Velázquez (D-NY).
The bill would establish an Opportunity Trust Fund, funded by a five percent tax (which would increase to an 8 percent tax over three years) on retail cannabis sales. This fund would cover job training, health education, re-entry, and other services including legal aid for people from the most impacted communities. The bill also calls for creating an Office of Cannabis Justice, which would oversee the new social equity requirements.
“Since I introduced the MORE Act last Congress, numerous states across the nation, including my home state of New York, have moved to legalize marijuana. Our federal laws must keep up with this pace. I’m proud to reintroduce the MORE Act to decriminalize marijuana at the federal level, remove the needless burden of marijuana convictions on so many Americans, and invest in communities that have been disproportionately harmed by the War on Drugs.” — Rep. Nadler, in a press release
When House lawmakers first approved the MORE Act last December, it was the first time a body of Congress voted to end cannabis prohibition, but the bill eventually died in the then-Republican-controlled Senate.
However, with Democrats now in control of the Senate as well as the House, it remains unknown whether the MORE Act would reach the Senate floor as Congress is anticipating a separate federal legalization bill from Senate Majority Leader Chuck Schumer (D-NY). While the exact language of that bill remains unknown, it is expected to likewise address social justice concerns and seek to repair the harms of cannabis prohibition — and Sen. Schumer has suggested that he may prioritize his own legislation over other cannabis reform efforts.
“With a strong base of support in the House and in the Senate, the table is set,” said Rep. Blumenaur, who co-founded the Congressional Cannabis Caucus. “It’s past time that we stop federal interference with cannabis banking and research, as well as the terrible pattern of selective enforcement that has devastated communities of color. The MORE Act will help address all of these problems and more.”
Positive employment drug tests reached a 16-year high in 2019 with cannabis positivity rates climbing 11% from 2018 to 2019, from 2.8% to 3.1%, respectively, according to an analysis by Quest Diagnostics. The study found cannabis positivity rates increased highest in the Midwest – 2.9% in 2018 to 3.3% in 2019 – and West where positivity rates increased 24% from 2.2% in 2018 to 4.1% in 2019.
The Midwest also saw rising rates in positive drug tests for methamphetamine – a 12% increase from 0.17% in 2015 to 0.19% in 2019 – and cocaine, which climbed 40% from 0.20% in 2015 to 0.28% in 2019. The West saw a 53% increase in positive drug tests for cocaine from 0.15% in 2015 to 0.23% in 2019, the analysis found.
Dr. Barry Sample, senior director of science and technology at Quest called the increasing positivity rates for methamphetamine and cocaine “a cause for concern” while noting “the national debate on drug misuse in the workforce has focused primarily on marijuana.”
“Marijuana continues to be an enduring presence in the U.S. workforce. Changing attitudes toward its use could pose heightened risks especially in safety-sensitive positions and those states exploring legalization.” – Sample, in a statement
Positive drug tests for opioids declined 19% nationally from 2018 to 2019 – 0.31% to 0.25%, respectively. The positivity rate for semi-synthetic opiates, like hydrocodone, dropped 26% from 0.50% in 2018 versus 0.37% in 2019 and more than 45 percent over five years – 0.68% in 2015 versus 0.37% in 2019. The positivity rate for oxycodone-type drugs saw a 21% decline from 0.43% in 2018 to 0.34% in 2019. The analysis found that positivity rates for oxycodone drugs fell nearly 55% from the 0.75% rate in 2015 to 0.34% in 2019.
Positivity rates for heroin also declined from 0.3% in 2018 to 0.2% in 2019 – representing a 50% decline since the 0.04% positivity rate in 2015 and 2016.
Sample attributed the rise, partly, to the “enormous strain” of the coronavirus pandemic.
“Organizations will need to consider the impact of COVID-19 not only on workplace safety but also as a health concern for their employees for some time to come,” he said.
The majority of individuals who identify as religious support broad cannabis legalization, according to a Pew Research Center survey. Support for the reforms is much stronger, though, among the non-religious.
The poll found support for both medical and adult use by 60% of all adults, with 31% only supporting medical use, and 8% preferring cannabis to remain outlawed.
Among those who identify as religious, only White evangelicals did not support broad legalization, with 44% supporting the reforms, 43% supporting medical use only, and 14% wanting cannabis to remain prohibited.
Adult-use reforms were otherwise supported by 62% of White Protestants, non-evangelicals, 63% of Black Protestants, 58% of White Catholics, and 51% of Hispanic Catholics.
Broad legalization saw support from 76% of those identifying as non-religious, with 20% supporting only medical legalization and 4% opposed to any legalization. Eighty-eight percent of atheists supported adult-use legalization, along with 86% of agnostics, and 70% who identified their religious beliefs as “nothing in particular.”
Those who described themselves as “most religious” were least likely to support broad cannabis legalization, 39%, but 45% of the cohort supported legal medical cannabis use, with 14% fully opposed to any reforms. Sixty-four percent of those self-described as “moderately religious” supported adult-use reforms, while 29% of that population supported only medical use. More than three-out-of-four (76%) who described themselves as “least religious” supported broad legalization, while 20% of the cohort supported only medical cannabis use.
New Mexico officials have released the first proposed cannabis industry rules, focused on producer licenses and plant fees, the Albuquerque Journal reports. The draft regulations set license fees for producer, retailers, and social-use businesses at $2,500 and a three-tier system for producers which would see larger volume producers – capped at 4,500 mature plants – pay higher per-plant fees than smaller businesses.
The current limit for licensed producers in the state in 1,750 plants, the report says.
Last week, Regulation and Licensing Superintendent Linda Trujillo, whose agency is implementing the Legislature-approved law, told reporters last week that the agency’s goal “would be to take it live with commercial sales before April 1” – the deadline approved by lawmakers.
“But today’s proposed rules don’t mean the conversation is over. Through public comment, public hearings and ongoing conversations, we will continue to strengthen these rules to ensure the best possible outcomes.” – Trujillo, in a statement, via the Journal
The draft rules and include requirements for surveillance security and mandates that unused cannabis be disposed of through compost or ground into soil.
Duke Rodriguez, president and CEO of Ultra Health Inc., the state’s largest medical cannabis producer, said the three-tiered system for producers “seems to advocate smallness in aspiration and doesn’t reflect the robustness that will be needed to achieve the 11,000-plus jobs and several hundred million-dollar cannabis industry.”
Starting next month, New Mexicans 21-and-older will be allowed to cultivate up to six mature plants, possess up to 2 ounces of cannabis – or an equivalent amount of concentrates.
More draft rules are expected to be released in the coming months.
This article was written by Gaspard Le Dem and originally published by Outlaw Report.
It has been a brutal year for D.C. businesses. Amid strict coronavirus restrictions, storefronts across the District faced a new socially distanced reality, leaving them to quickly adapt their business models or perish. Some found ways to cope, but many were forced to permanently shutter their doors. At least 375 businesses have closed in D.C. since officials announced the first pandemic lockdowns in early 2020, according to a recent tally by WAMU.
Now, with coronavirus caseloads approaching new lows, commercial activity in D.C. is returning to some sense of normalcy. On May 21, D.C. Mayor Muriel Bowser lifted most remaining limitations on businesses, including restrictions on capacity, hours of operation, and types of activity.
For D.C.’s fledgling medical cannabis industry, the pandemic brought significant challenges as businesses looked for ways to accommodate patients without putting them at risk of contracting a potentially deadly disease.
But it also had its silver linings as a wave of emergency regulations gave growers and dispensaries greater freedom to conduct their business.
The most sweeping change came in October, when D.C.’s Alcoholic Beverage Regulation Administration (ABRA) took over the medical cannabis program from DC Health, an agency that many had criticized for slowing the industry’s growth.
ABRA immediately adopted a more business-friendly approach, issuing a series of emergency rule changes that allowed dispensaries and growers to adapt to the pandemic.
ABRA also gave dispensaries the green light to deliver cannabis products straight to people’s doorstep, along with curbside pickup outside storefronts. A month later, the agency OK’d cannabis sales to out-of-state patients, a major boost for the industry, which was previously limited to D.C. cannabis cardholders.
Then, in March of this year, ABRA simultaneously eliminated a cap on the number of plants that growers could cultivate, allowed dispensaries to host educational classes and demonstrations, and authorized schools to administer cannabis to qualifying students.
Meanwhile, the D.C. Council passed temporary legislation opening up the cannabis industry to formerly incarcerated entrepreneurs, and is now considering a bill to grow the number of dispensary licenses from eight to 16.
Cannabis business owners say ABRA’s deregulation blitz has played a big role in keeping the industry afloat during the pandemic. As of this week, none of D.C.’s eight dispensaries or seven cultivation centers have had to shut down.
Linda Greene, owner of Anacostia Organics, a dispensary in Southeast D.C., told The Outlaw Report that her business is now “stronger than ever” as D.C. begins to reopen.
“The pandemic allowed us to institute some of the mechanisms we had been trying to get for a long time, such as the home delivery, curbside pickup, and pre-ordering,” she said.
While many businesses — restaurants, clothing stores, hotels — were barely getting by after a sharp drop in sales, Greene says her dispensary was actually growing.
“Our business immediately increased and I had to hire additional staff,” she said. “While other businesses were closing, we were keeping DC residents employed.”
But she says her dispensary’s success wasn’t only the result of regulatory changes –– it took hard work from staff and a willingness to change.
“Businesses always have to adjust,” she said. “I’m proud of my staff who put themselves at danger of contracting COVID-19 to ensure our patients had the medications, counseling, and kindness they needed during this pandemic.”
Greene says she now looks forward to tourism returning to the District, and being able to serve cannabis patients from other states.
“Because it is federally illegal to cross state lines with any form of cannabis, many medical patients will depend on the legally licensed medical cannabis dispensaries, such as Anacostia Organics, to obtain their medications while visiting our city,” she said.
Rabbi Jeffrey Kahn, who runs the dispensary Takoma Wellness Center in Northwest, said he hopes customers will soon return to his store in person, as most now prefer curbside pickup or home delivery.
“We would love to see a return to people feeling comfortable in the presence of others,” he said.
Like Anacostia Organics, Kahn’s business was able to prosper despite coronavirus restrictions.
“We have maintained steady growth during the pandemic,” he said.
The Connecticut House Majority Leader said he expects at least one legislative chamber to act next week on a bill to legalize cannabis in the state, WTNH reports. State Rep. Jason Rojas, a Democrat, said he expects the measure to be heard, first, by the Senate.
Rojas added that lawmakers plan on making social equity applicants a priority in the first round of licensing.
“The whole conversation around equity is about ensuring that entrance to the marketplace is able to be accessed by communities and or individuals who live in the communities that have been most impacted by the war on drugs.” – Rojas to WTNH
State Rep. Matthew Ritter, the Speaker of the Democratically-led House, indicated that he was “struck by the number” of lawmakers that “were ‘no’s’ previously, or ‘maybes’ who are kind of getting there.”
House Minority Leader, Republican state Rep. Vin Candelora, said conversations were still needed because of “health issues” associated with “people that are vaping 90% THC.”
A recent Sacred Heart University poll found nearly two-thirds (64%) of Connecticut residents support adult-use cannabis legalization in the state with about 29% opposed and 7% unsure. The survey also found that 61.6% of respondents supported legalization-related criminal reforms such as the expungement of low-level cannabis crimes, which is included in the bill making its way through the Legislature.
The reforms are supported by Democratic Gov. Ned Lamont, who has indicated that if the Legislature fails to approve the reforms this session – which ends June 9 – the issue would “probably” end up being put to voters next year.
Connecticut is bordered by legal states Massachusetts and New York, the latter of which only approved the reforms in March and has not yet launched legal sales.
Rhode Island announced it will delay its long-awaited lottery to choose six more medical cannabis licensees, WPRI reports. The holding pattern comes after one of the applicants appealed their exclusion from the list of qualified applicants and is expected to remain in place until after August.
Complicating the issue further, the state’s plan to have a third-party administrator conduct the lottery failed after finding zero interest. Instead, the lottery will now be conducted by the Rhode Island Department of Business Regulation.
The license finalists were chosen by state regulators after a four-month review of 45 applications filed by 25 applicants — 41 made it to the lottery stage.
“We’re hopeful that we’ll have a final determination sometime in the month of July, which will allow us to flip the switch and turn the lights on for a lottery hopefully that first week in August.” — Matthew Santacroce, head of the Office of Cannabis Regulation, via WPRI
According to public record request documents, Atlas Enterprises Inc. filed the appeal that caused the delay. According to the report, the “notice of denial” says Atlas was denied entry into the lottery for not submitting proper zoning approval documents from Newport, Rhode Island, where there is a moratorium on cannabis retail operations. Additionally, the documents revealed that Atlas did not disclose that their Board Chair, former state Rep. Robert Flaherty, was also involved with a second lottery applicant, Ascend Rhode Island Compassion Center.
“Generally speaking, what we were looking for was completeness and demonstrated compliance with local zoning and real estate requirements,” Santacroce told WPRI.
The setback will delay the final licensing of new medical cannabis operators in the state until the final quarter of this year, according to the report. However, Santacroce is optimistic the new centers will open in late 2021 or early 2022, despite the delay.
“Depending on the turnkey readiness of whoever gets picked from the lottery,” he said, “I’m very confident and very hopeful that we’ll have at the very least a couple of these compassion centers opening their doors by the end of the calendar year to our patient population.”
The industry-leading cannabis business exposition CannaCon is returning to Detroit, Michigan this year for an in-person event from June 25-26, 2021.
Over the years, CannaCon has established itself as the premier destination for cannabis industry networking and professional insights, with unbridled opportunities for business-to-business networking on its exposition floor. And, with well over 200 exhibitors already registered, CannaCon Midwest is now set to be one of Detroit’s biggest in-person events since the pandemic.
Each CannaCon expo is uniquely catered to the needs of the local industry — the upcoming event will feature a brand-building seminar by the Pot Brothers at Law as well as a regulations/licensing-focused seminar by Andrew Brisbo, the Executive Director of the Michigan Marijuana Regulatory Agency. Other seminar subjects will cover advice for investment fundraising, RFID-based compliance tips, the hidden costs of constructing a cannabis cultivation facility, how technology is offsetting the cannabis industry’s climate impact, and more!
“CannaCon is very excited to be back in one of our team’s favorite cities,” said Angela Grelle, the Director of Marketing for CannaCon. “We have been putting on expos here since the very beginning of recreational legalization and it has been amazing to watch Michigan’s industry grow.”
Every CannaCon event neatly demonstrates how the cannabis industry encompasses a lot more than just licensed cultivators and dispensaries — the expo floor is host to many important ancillary companies including technology firms, security specialists, software designers, and advertising consultants.
Currently, you can get your two-day pass to the CannaCon Midwest seminars and exposition floor for just $175. The advanced ticket pricing period ends on June 24.
Register now to secure your spot at the biggest in-person cannabis industry networking event in over a year!
About CannaCon
CannaCon is dedicated to creating and strengthening lifelong partnerships within the emerging cannabis industry. It is our mission to provide a global B2B venue for cannabis businesses, marijuana entrepreneurs, investors and community partners to showcase industry products, people, innovations and technology. We are committed to cultivating business values within the cannabis industry through education and responsible community involvement.
Adult-use cannabis legalization in the U.S. has led so far to a combined total tax revenue of $7.9 billion in states that have approved the reforms, according to a Marijuana Policy Project report. Washington state, which launched adult-use sales in 2014, has seen the most cannabis-derived income with nearly $2.6 billion in revenues from sales, according to the analysis.
Colorado, which also launched sales in 2014, has taken in more than $1.5 billion and, as of April, the state’s public schools have received $404.5 million of the total revenue generated from adult-use cannabis sales in the state.
California, where adult-use sales began in 2018 despite being the first state to legalize cannabis for medical use, has collected about $2.1 billion from adult-use sales. The state saw a 62% revenue increase from cannabis sales from 2019 – about $638 million – to 2020 when revenues reached $1 billion for the first time.
Oregon, which launched adult-use sales in 2016, has garnered slightly more than $540 million over nearly six years of sales, which 40% of revenues being distributed to schools.
Nevada has generated $374 million from cannabis sales since they began in the state in 2017. In the first two months of 2021, the state had netted about one-fifth of the total tax revenues it saw in 2020.
Illinois, which launched adult-use sales six months after the Legislature approved the reforms, has already added nearly $295 million to its coffers from adult-use cannabis sales. In 2020 – the first year of sales – the state generated $174.9 million from sales and almost $120 million already this year.
Massachusetts, the first New England state to allow sales, despite being the second (after Maine) to approve the reforms, has gleaned more than $260 million from adult-use sales, which began in 2018. Through the first two months of this year, the state has already collected nearly half (about $64 million) of what it saw it collected in all of last year (about $118.5 million).
Michigan has reaped about $137 million from adult-use sales since 2019. The state Department of Treasury reported in March that nearly $10 million has been disbursed to municipalities and counties and around $11.6 million will be sent, this year, to the School Aid Fund for K-12 education and another $11.6 million to the Michigan Transportation Fund, once appropriated.
Alaska, the least populated of all the states to legalize adult-use sales, has garnered $78.2 million since the retail launch in 2016. The MPP notes that “a number of factors initially resulted in slower revenue generation than in some other states,” including the lack of dispensaries allowed under the state’s medical cannabis program, which limited the number of businesses that could transition to the adult-use market. The report also said that, due to a limited supply chain, “many stores closed for large stretches of January 2017 or operated with reduced hours.”
Maine has, so far, seen the lowest amount of revenue from adult-use sales, with just $1.7 million since last year. The rollout of retail sales, which voters approved in 2016, was marred by vetoes from former Republican Gov. Paul LePage and then slowed by the coronavirus pandemic.
So far this year, lawmakers in New York, New Mexico, and Virginia have approved the reforms, but sales have not commenced. During the 2020 election, voters in New Jersey, Arizona, Montana, and South Dakota approved adult-use sales; however, in South Dakota the amendment is being challenged in the state Supreme Court.
In Vermont, which legalized use, possession, and cultivation but not sales in 2018, an adult-use market is expected to open next year.
A cannabis industry social equity licensing bill on Wednesday passed the Illinois House and would add 110 new industry licenses through two lotteries that would prioritize applicants from communities most impacted by the War on Drugs, the Chicago Defender reports. As part of the qualifying criteria, one of the lotteries would give preference to individuals previously arrested or convicted of cannabis-related crimes.
State Rep. La Shawn K. Ford (D), told the Defender that the state’s licensing rollout was “like the War on Drugs,” having “disproportionately impacted communities of color.”
“We now have an opportunity to correct the missteps of the original lottery process by refocusing on the intent of the legalization bill. Instead of allowing the wealthy few to maintain control of this new industry, let’s give people in areas that have been left behind a real opportunity to start a local business that is owned and operated by members of the community.” – Ford to the Defender
The new licenses would be in addition to 75 previously approved licenses that were set to be awarded last year, but have been delayed due to lawsuits and issues with the scoring system, the report says.
“As expected, the cannabis industry has been and will continue to be very lucrative,” Ford said in the report. “It’s important as we continue to distribute licenses that we keep track of ownership data and ensure nobody is left behind. I’m hopeful that this proposal will put us on a more equitable path this year.”
A report last year found that none of the state’s cannabusinesses were majority-owned by a person of color.
Due to rising demand, Delaware is set to double the number of vertically integrated licensees in the state with three new medical cannabis business licenses, Marijuana Business Daily reports.
The three new licenses will cover four dispensary locations and must be veteran- or minority-owned. According to state numbers, Delaware’s medical cannabis sales more than doubled from $11 million in 2018 to over $27 million in 2020 (accompanied by complaints from patients of high prices and product shortages, the report notes), demonstrating the need to expand cannabis capacity. The state is forecasted to reach $37 million in medical cannabis sales in 2021.
“With new companies and new product lines coming out, we expect sales to jump considerably.” — Paul Hyland, Delaware’s medical marijuana director, via MJBizDaily
Despite the growing sales numbers, Delaware medical cannabis licensees are wary of a legislative proposal to legalize adult-use cannabis. In its current form, the bill would license 30 retail stores, 30 processors, and 60 producers, but medical cannabis license holders are alarmed because the legislation does not automatically include them in the retail license pool. Current licensees also argue that the large number of licenses will create a surplus of cannabis in the state.
Aaron Epstein, the Chief Operating Officer for Canntech Delaware — one of the state’s upcoming minority-owned cannabis companies — said the adult-use bill would “put us out of business before we even have a chance to open our doors.”
But Zoe Patchell, executive director of the Delaware Cannabis Advocacy Network, disagrees, telling Marijuana Business Daily that Delaware‘s medical cannabis businesses should apply for a license “like everyone else.”
“They want us to give them special privileges that would create an unfair advantage and undermine our social equity and small-business provisions,” Patchell said.
Pennsylvania Gov. Tom Wolf (D) has pardoned an ophthalmologist who served six months in jail in 2014 for growing cannabis for his sick wife before the state legalized the plant for medical use. Dr. Paul Ezell lost his ability to practice medicine as a result of his conviction.
At the time of his arrest, Ezell said he began growing cannabis to help his wife reduce the use of prescription opioids. The grow was discovered after someone reported Ezell after finding some plant clippings in the trash as the doctor was disassembling the operation.
According to a press release from Lt. Gov. John Fetterman’s (D) office, the pardon will allow Ezell, now 65, to return to his profession as an eye doctor.
“Here’s a doctor of 30 years who had not so much as a speeding ticket, and then his whole life is ruined for giving his wife medicine that’s now legal in Pennsylvania. This is a prime example of the destructive power of reefer madness. … He lost his wife, his career, everything. Today, Dr. Ezell can start to rebuild his life. Cases like his illustrate why we must end marijuana prohibition before it destroys one more life.” – Fetterman in a statement
Fetterman chairs the Pennsylvania Board of Pardons and is a proponent for cannabis law reforms.
The case of Ezell’s daughter, who also lost her nursing license due to the charges, is set to be heard by the pardon board next month.
Cannabis concentrates have proven to be one of the most rapidly-growing segments of the cannabis industry. Over the years, discoveries in cannabis extraction have largely driven industry expectations when it comes to determining a high-quality product — for example, the first CO2 extracts were praised as a replacement for butane-based products, while those same butane solvents had been raised above the handmade and bubble hash products from previous years.
Today, live resin is generally considered top-tier among solvent-based concentrates for its fresh-plant flavors and well-preserved terpene profiles. However, its solventless cousin in live rosin has recently earned an even bigger and better reputation among cannabis flavor aficionados. But despite there being genuine hype around each of these products — and despite sharing similarly fresh-frozen source material — there are important and significant differences between live resin and live rosin that we will highlight over the course of this article.
A brief history of cannabis extraction
As the popularity of cannabis concentrates grew, cannabis patients and entrepreneurs developed numerous new methods over the years of creating the extracts. This resulted in many products with wildly different viscosities and appearances, with different names to describe them such as wax, shatter, budder, and sauce.
But still, all of these products shared at least one characteristic: they were all made by dissolving cannabinoids from their source material through the use of a solvent — typically alcohol, butane, CO2, or ethanol — and subjecting them to high pressures and post-extraction solvent purging.
Mandarin Butter shatter from KushMasters (@kmlabs.co) in Boulder, CO
Live resin
Live resin has become nearly ubiquitous among solvent-based cannabis extracts. Named for its fresh, almost “living” flavor profile, it is made using freshly cut and frozen cannabis plants as its source material.
While the drying/curing process is well-established for cannabis flower, this process ultimately sheds many of the cannabis plant’s distinctive flavors and terpenes (often by more than 50%, according to some estimates). But by freezing the cannabis material freshly after harvest and keeping the material frozen during the entire extraction process, industry operators can preserve their crop’s terpene profile at its most defined moment. This carries certain advantages for cannabis operators beyond just the flavor and aromatic improvements — for one, it reduces production time by cutting out the multi-week curing process entirely. Additionally, this would also mean extra space for your production facility and/or grow site.
Researchers have also demonstrated that the best way to preserve cannabis materials for long-term storage is by freezing it.
The use of fresh-frozen material, however, does pose unique challenges. Not only does the material need to maintain its sub-zero temperatures throughout the extraction process, but live resin extracts can also only be made through hydrocarbon extraction. This is a complicated process that requires the use of a compliant C1D1 Extraction Facility (meaning it must be fully capable of housing and evacuating flammable or potential explosive gasses). And while that alone can be extremely cost-prohibitive, there are even more cost considerations in terms of supercritical extraction machines, employee expertise, and steep power requirements and other utilities.
But despite these difficulties, live resin is widely considered the top-tier solvent-based concentrate, particularly with the recent awareness and hype around complex terpene profiles and cannabis flavor preservation.
The rise of rosin
Moving away from solvent-based cannabis extracts, however, there also came cannabis rosin, which is a solventless extract that likewise rose to prominence alongside the legal cannabis industry. The earliest cannabis rosins were popularized through online communities of cannabis grower forums and social media platforms like YouTube. In those early days, connoisseurs would demonstrate in step-by-step video guides how to create extraordinarily clean and flavorful concentrates using just cannabis flower, wax paper, and a typical consumer hair straightener — no solvents necessary.
Aficionados had put together that all you really need to make a delightful cannabis rosin was high-quality flower and the ability to subject it to intense heat and pressure. Eventually, experts engineered specially-made rosin presses capable of fine-tuning and mass reproducing each batch of product. Today, there are dozens of purpose-made cannabis rosin presses that range from compact commercial models to the massive Longs Peak rosin press by PurePressure, which is capable of processing enormous amounts of material per day.
PurePressure Longs Peak rosin press
While solventless might seem simpler than other concentrates, some cannabis manufacturers are concerned that adding solventless concentrates to their portfolio might overly complicate their operations — but in reality, rosin is capable of matching literally any solvent-based concentrate in terms of appearances, viscosity, and potency (not to mention its ability to out-perform in flavor/aromatics). In fact, with only minimal preparations and practice, cannabis operators can easily add high-quality rosin SKUs to their portfolio to achieve even more versatility alongside their solvent-based products.
Solventless hash and live rosin SKUs by Eric Simpson (@simpsonsolventless)
In fact, one of the only disadvantages facing operators who specialize in solventless extracts is that they cannot remediate any lower-quality cannabis harvests into concentrates, as the pressing process actually carries over problematic issues such as mold or mildew (unlike other forms of extraction, which involve “blasting” the plant through a solvent).
As PurePressure’s marketing director Eric Vlosky puts it: “You can’t cheat in solventless — what you put in is what you get out.”
But while this is a drawback in one sense, there’s an upside to it as well, as many cannabis consumers want their experience to be as close to nature as possible — as close to the actual plant as they can get it — and the use of solvents will always carry that slight caveat as a potential (albeit hopefully negligible) contaminant. That fact alone can help bestow a reputation of quality to solventless cannabis brands.
How to make live rosin
Live rosin is made by putting one of the oldest and best-known forms of cannabis concentrates (bubble hash) through a rosin press. The entire process is lengthy but can be summed up in essentially three steps:
Harvesting the cannabis — the plants/source material should be freshly frozen immediately after harvest
Making the bubble hash — while this is a centuries-old process, modern hashmakers have perfected their methods of ice-washing and agitating the cannabis so as to break off and separate the plant material from its cannabinoid and terpene-rich trichomes
Pressing the hash into live rosin, which results in a delightfully flavorful and true-to-the-plant dabbing experience
As more and more operators make the pivot, solventless extraction equipment manufacturers like PurePressure have stepped up to provide specially designed hardware for safely mass-producing high quality ice water hash for the express purposes of pressing into live rosin. From their custom Bruteless hash-washing vessels to the Axis Trichome Separator, scaling up a commercial solventless cannabis operation has never been more possible.
Ice water hash being washed in a 44-gallon PurePressure Bruteless vessel with the Axis trichome separator at KushMasters (kmlabs.co)
Is live rosin worth it for cannabis operators?
Cannabis consumers are certainly catching up with the solventless craze: national sales of rosin concentrates have risen 202.4% from the first quarter of last year, according to data compiled by Headset (covered by MJBizDaily).
There are a lot of advantages to solventless cannabis extraction: because the process involves no “blasting” or supercritical extraction, employee expertise and more importantly safety is of slightly less concern. Additionally, while commercial rosin presses can certainly carry a hefty price tag, the costs still pale in comparison to that of the supercritical extraction process (and the hyper-compliant facilities that such an operation requires).
Ultimately, live rosin may not be the easiest method of extraction for cannabis manufacturers to pursue, but having at least one such solventless offering is guaranteed to at least catch the attention of cannabis flavor aficionados — and that can send an important message about your brand’s identity. And for some, that’s all it takes to turn a one-time customer into a life-long fan.
Maryland’s former Attorney General Douglas F. Gansler announced he is runnning for governor and embraced the legalization of adult-use cannabis in his first remarks as a candidate, according to a Maryland Matters report. Additionally, the two-term attorney general and former prosecuting attorney said that expungement should be included in any such legislation.
“Look, it’s time. It will allow us to regulate the product for safety [and] educate people on how to consume it responsibly.” — Douglas F. Gansler, in remarks announcing his candidacy
Joining an already crowded field, Gansler previously ran for the governorship in 2014 but lost after a number of campaign missteps, including being photographed at an underage party hosted by his son at a Delaware beach house.
Regardless of his re-branding challenges, Gansler’s stance on cannabis could play in his favor.
Although Maryland’s adult-use cannabis legislation stalled this year in committee, a super-majority of Marylanders support legalizing adult-use cannabis and the state recently passed the $1 billion milestone in medical cannabis sales.
Meanwhile, earlier this year, the Maryland legislature passed a bill prohibiting police from performing any “stop and frisk” searches based on cannabis odor.
Acting Solicitor General Elizabeth Prelogar on Monday filed a brief with the U.S. Supreme Court supporting decisions by lower courts that allow the Internal Revenue Service to investigate state-legal cannabis business for potential Section 280-E violations, Marijuana Business Daily reports.
Prelogar is the fourth-highest-ranking official in the U.S. Department of Justice.
“…The court of appeals merely explained, correctly, that the federal prohibition on trafficking marijuana is itself a sufficient basis for the IRS to investigate potential violations of Section 280E by petitioners, irrespective of state law. … The court of appeals was also plainly correct that the Controlled Substances Act would preempt Colorado law in the event of any conflict. Colorado may, of course, choose not to prohibit conduct that federal law prohibits. … Under the Supremacy Clause, however, Colorado may not authorize individuals or businesses to violate federal law.” – Prelogar in the May 24, 2020 brief
Section 280E of the federal tax code does not allow “any trade or business…that consists of trafficking controlled substances” to deduct normal business expenses, whether or not their business is approved by the state in which they operate.
In February, Prelogar filed a brief in another 280E case with the Supreme Court, brought by Denver, Colorado-based Standing Akimbo, making the same arguments, according to a Colorado Politics report.
“Marijuana is listed on Schedule I of the Controlled Substances Act … without any exception for ‘state-legal’ marijuana,” Prelogar wrote in the February 12 brief. “States may not countermand Congress’s decision to prohibit trafficking in marijuana. Such activity violates federal law even when it does not independently violate state law (and even when it is affirmatively permitted by state law).”
James D. Thorburn, the attorney for Standing Akimbo, told Colorado Politics that the filing shows the administration of President Joe Biden (D) is continuing to argue state-approved cannabis legalization is essentially legally void.
The Texas Senate on Tuesday approved a bill expanding the state’s medical cannabis program but it makes significant changes to the measure passed by the House last month, including dropping THC limits from 5% to 1%, the Dallas Morning News reports. Currently, only products containing .5% THC are allowed under the regime.
The Senate-passed proposal also removes patients with chronic pain who otherwise would be treated with opioids from the qualifying condition list – another change that had been approved by the lower chamber.
The Senate version does allow all patients with cancer and post-traumatic stress disorder access to the program.
Morris Denton, CEO of Texas Original Compassionate Cultivation, called removing patients with chronic pain “a step in the wrong direction” but was “pleased with the forward progress” of the legislation.
“Obviously, as big believers in the medicine that this plant can create, we’re disappointed to see they left out the millions of Texans suffering from chronic pain whose only real avenues are opioids, over-the-counter pain medicine or being forced to go to the illegal market in order to self medicate.” – Denton to the Morning News
The bill, which still requires House approval of the Senate-added amendments before moving to Republican Gov. Greg Abbot for his signature, also creates a medical cannabis research program under the purview of Texas Health and Human Services.
The bill increases, by far, the potential number of patients that will be allowed to access medical cannabis products in the state. When created in 2015, the program only included patients with intractable epilepsy. Two years later the program was expanded to include patients with terminal cancer, multiple sclerosis, and seizure disorders.
A Minnesota Grassroots Legalize Cannabis Party candidate for Congress is accusing a Republican strategist of encouraging him to launch his campaign in order to siphon votes from Democrats, Fox 9 reports. Kevin Ne Se Shores said Kip Christianson, who was on the payroll of the Republican National Committee, misrepresented himself when he recruited Shores to make his congressional bid.
Shores, a disabled military veteran suffering from Gulf War Illness, said Christianson made a seven-hour roundtrip to pick up his Affidavit of Candidacy and deliver it to the Secretary of State’s Office 45 minutes before the filing deadline and that the GOP operative paid the $300 filing fee. Shores would ultimately lose in a primary to Rae Hart Anderson, who twice ran for office, unsuccessfully, as a Republican.
The Minnesota Reformer first reported the scheme last June, noting that Republican strategists were recruiting independents and other Republicans to run on the Grassroots Legalize Cannabis Party or the Legal Marijuana Now Party to pull votes from Democrats. Other candidates include Robyn Smith, whose social media campaign focused on support for the GOP and then-President Donald Trump (R); Jason Hoschette, who has ties to Republican Senate aide Pat Kaluza; Tyler Becvar, whose Facebook page shows support for Trump; and Adam Charles Weeks, whose social media profile showed support for Trump, but he would later walk back those comments.
Weeks died in September 2020 – 42 days before the General Election – but still garnered 6% of the final tally.
Christenson told Fox 9 that he never misrepresented himself as a member of the Grassroots Legalize Cannabis Party but when asked about whether he told Shores he was a GOP strategist, he replied “no comment.” Christianson is a Harvard graduate, served as a Trump delegate to the 2016 Republican National Convention, a treasurer for the Minnesota Young Republicans, and a candidate tracker for the MN Jobs Coalition, and had an unsuccessful bid for Minnesota Party Co-Chair.
Flavor Fix is a unique publishing platform that educates consumers on how to combine cannabis and spirits while cross fading responsibly. The platform can be an essential marketing component for brands seeking to gain momentum in this space. The company was founded by ad executives who previously worked in alcohol and spirits and noticed cross-over in advertising challenges between the alcohol and cannabis industries.
According to founder Lavall Chichester, Flavor Fix has a mission of balance and its platform can be used as an advertising tool across both industries. Lavall is an SEO expert who was named in Ad Age’s 40 Under 40, which honors those shaping the world of media, marketing, and advertising. The company founder brings these skills to the strategy and execution of Flavor Fix and is working to influence how the world looks at the concept of the cross fade.
Before founding Flavor Fix, Lavall worked on advertising campaigns for Rémy Martin and Diageo brands. In his time marketing spirits, he dealt with ADA compliance and other challenges while following the rules of Google and Facebook — which are also both prominent hurdles for cannabis businesses. The regulatory complications led the team to run campaigns on publishing sites to advertise and build valuable organic SEO.
While running these alcohol campaigns, Lavall was approached to spend $50,000 promoting a CBD product on Google and Facebook, but he quickly realized this was a near-impossible feat. He experienced the same issues that many cannabis companies face, having ads flagged and removed for ‘violating terms of service.’ He turned to B2C cannabis publishing sites and noticed a lack when it came to focusing on the experience of responsibly enjoying alcoholic beverages alongside regulated cannabis products.
Ultimately, Flavor Fix was created to bring value to an audience who uses cannabis and spirits while also educating others on how to enjoy this combination without the infamously negative cross faded experience.
“CBD, cannabis and alcohol brands have a very difficult time advertising online. We built Flavor Fix as a destination to educate this audience and connect them with brands in the space, making it easier for customers to find and fall in love with your brand,” said Lavall Chichester. “This is especially true for cannabis-infused beverages because Flavor Fix will be one of the main ways people who like alcohol, will get introduced to the glorious infused brands that are being made. On top of all of this, we have taken on the duty to teach people how to consume alcohol and spirits in a responsible way.”
Cross Fade Responsibly is a Flavor Fix tagline that emphasizes balance, seeking quality products, and approaching the experience with respect. This brand mission can be seen in AVO, letters taken from the brand name itself. The A represents a little more, the V stands for a little less, and the O is neutral. The site pairs premium cannabis strains with cocktails and other adult beverages, and accompanies the pairings with music recommendations and suggestions for other experiences that would fit the mood. They are adamant that a cross fade shouldn’t make a person pass out, blackout, or get the spins — instead, getting cross faded should be a comfortable way to unwind after a long week or to enjoy a holiday with family.
The Flavor Fix publishing platform gives readers the tools to have fun and unique experiences while avoiding drinking or smoking too much. This is a crucial education-focused prong of the brand’s philosophy. The other arm of Flavor Fix specializes in executing multi-dimensional marketing campaigns that can help a company meet their brand awareness goals while still operating in compliance.
“One of the only ways you can reach this audience is either on social media through influencers and through hardcore, organic SEO powered by outstanding content.,” said Lavall.
The Flavor Fix site is optimized to rank for search engines and features strain pairings and recipes with dispensary and distillery directories. The publishing site works together with their vetted influencer network and branded luxury items to provide custom-tailored marketing programs that fit their client’s specific needs.
Those looking to reach the Flavor Fix audience can buy packages on the site, including things like content marketing or e-blasts. Or, clients can choose to be part of a campaign that the expert team builds for them. Lavall’s extensive background in SEO adds value to these campaigns because he will always look at the customer’s sites and help improve how they rank overall and help them also dominate their own geo-locations because “near me” searches for local dispensaries, distilleries and business have increase more than 300% since 2020. He guides those who need extra help with their site to his growth marketing company and helps to optimize their site for a reasonable price to ensure they get the most out of their Flavor Fix buy.
“We didn’t just want to create a publishing site, we wanted to add value in many different ways to our customers,” said Lavall. “Then in turn when we do campaigns for brands we can do custom rolling trays and custom wooden items for contests and giveaways.”
Customized ad buys with Flavor Fix can feature social media promotions with influencers who have a proven follower base with interest in the intersection of cannabis and spirits. They currently work with around 75 influencers in the space. They also offer high-quality, small-batch wooden products made with fine Canadian maple. These luxury stash boxes, flight paddles, cutting boards, and rolling trays can be branded and offered as giveaways that build brand awareness. The platform optimized for publishing quality content, valued influencers with proven results, and products that fit seamlessly into your home together build campaign possibilities that meet the goals of both cannabis and spirits brands.
Moving forward, Flavor Fix will continue publishing optimized content and growing the platform. Their phased approach will eventually include brewery and winery directories alongside dispensaries and distilleries. They also plan to test alcohol subscription boxes, create ‘Cocktails & Cannabis’ shirts, and write a recipe book. The company is also considering an app that will allow users to plug in a strain name and receive instant cocktail pairings to complement the flavor and effect. As they grow, they hope to be a launching point for people who want to try infused adult beverages as these novel products enter the market. The team is curious to see what interest is out there and is looking to begin fundraising as they grow alongside this blossoming confluence of responsible cannabis and alcohol use.
A bill to allow Missouri’s medical cannabis companies to deduct ordinary business expenses on their state tax returns is headed to Republican Gov. Mike Parson’s desk after near-unanimous legislative approval, St. Louis Public Radio reports.
The law is expected to ease the tax burden of licensed cannabis operators as they are not allowed to take such deductions on their federal filings due to cannabis’ Schedule I status.
The measure simply allows state-approved medical cannabis businesses to claim an income tax deduction in an amount equal to any expenditures which would otherwise be allowed as a federal income tax deduction.
David Smith, a certified public accountant who works with medical cannabis companies, told lawmakers during a hearing that existing law could mean effective tax rates for cannabusinesses of 70% or higher and “some companies may even be subject to income taxes while operating at a loss.”
Section 280E of the federal tax code does not allow “any trade or business…that consists of trafficking controlled substances” to deduct normal business expenses, whether or not their business is approved by the state.
During a Senate hearing last year, Ncholas Rinella, CEO of Hippos Cannabis, said the level of taxation “limits the industry’s ability to serve patients, supply jobs and reinvest in the communities” they serve.
The law is the first of its kind in the nation, despite Missouri only legalizing cannabis in 2018 – far behind the majority of states that have approved the reforms.
Increased cannabis legalization entails the growing need for managed IT services
It is no secret that the cannabis business is booming. So far in 2021, the states of New Jersey, New York, Virginia, and New Mexico have passed legislation to fully legalize the recreational use of marijuana. States such as Pennsylvania, Florida, Maryland, and many more have already legalized cannabis for medical use.
Aspiring business owners and entrepreneurs are taking full advantage of this — growing, processing, and selling their own products.
Owning any business of any kind, however, comes with a higher demand to protect all aspects of said business. Everything from finances, products, physical security, and cybersecurity constitutes an ever-growing need for cannabis business owners. Cannabis companies can reach out to IT companies for their help in maximizing the value in various aspects of their business.
Benefits of hiring IT service providers in cannabis
Having a reliable IT infrastructure in the cannabis business is an absolute must. Cannabis businesses that do not have an IT professional on staff can greatly benefit from hiring IT service providers. Moreover, even businesses that already have an IT professional on staff can still reap the benefits of hiring service providers to help support their IT infrastructure. As cannabis becomes increasingly available, the reliance on digital solutions, powerful cannabis CRMs, and knowledgeable professionals in the digital sphere will become more and more valuable.
Aspects such as surveillance, regulation compliance, and cybersecurity will be improved with the hiring of IT support, thus furthermore optimizing a business.
IT services for security and surveillance in the cannabis industry
Dispensaries and growing locations being robbed are all too evident. With the popularity of cannabis ever-increasing, its value is only growing, which makes businesses more at risk of security breaches.
The market value for legal cannabis is projected to reach $66.3 billion by the end of 2025.
In hiring dependable IT assistance, facilities that grow, process, and distribute cannabis products can better guard against the possibility of theft. The installation of security systems cameras, and key cards are just a few of the many ways that IT service providers could aid in the safekeeping of cannabis businesses.
Cannabis industry’s need for cybersecurity
Many times, cannabis businesses make the mistake of focusing on just physical security. Not only do cannabis companies require physical security to keep their location guarded. They also require reliable monitored cybersecurity. Valuable data such as financial information, passwords, and customer records are meant, often required to be kept safe. The cannabis industry is a high-risk cybercrime target due to factors such as its recent progressiveness, the value of the industry, and the current lack of IT support for many cannabis businesses.
The average cost of a data breach in the cannabis business is $3 million, mostly due to the cost of legal action, system remediation, and customer awareness. According to the national cybersecurity alliance, 60% of small businesses go out of business within 6 months following a security breach. This percentage could very easily be higher in the make it or break it competition often seen in states with newly passed pro-cannabis legislation. To avoid losing millions of dollars and potentially one’s business, there are many actions and precautions to be considered, including:
Security risk assessments
System hardening
Software and hardware updates
Data loss prevention
Dark web monitoring
IT support aiding in compliance with HIPAA laws
With its expanding popularity, many individuals are looking to medical marijuana as an option to help with injuries and other ailments. Keeping track and securing all of the patient data to comply with the Health Insurance Portability and Accountability Act (HIPAA) becomes very overwhelming.
In 2020, a leak of 85,000 dispensary files containing 30,000 customer files occurred. This leak exposed personally identifiable information and possibly the protected health information of medical cannabis users. While this is a violation of HIPAA laws, fines of up to $50,000 can be given for each record that is exposed. Solutions can be reached with the help of IT support such as:
Advanced user authentication
Encryption of data at rest and in motion
Intrusion detection and prevention
(new frontier data)
How we can maximize the value of our clients’ cannabis business
As always, we are dedicated to helping our clients reach their full potential in their business. In the cannabis industry, dependable IT support is pivotal in the success of a business. At Your Tech Team, we can provide services such as:
Installing and managing security systems, cameras, key cards, etc
Managing and maintaining POS systems
HIPAA and PCI compliance
Provide reliable cybersecurity, deterring cybercrimes
Design scalable IT infrastructure solutions
We look to provide affordable, reliable, and efficient IT solutions for all of our clients. As the cannabis industry grows ever upward, we look to help our clients grow along with it.
