The case study in how a business can exist outside of the embrace of traditional banking — as, in this case, traditional banking is afraid of being done for money laundering, since the product in question is still illegal on a Federal level — continues.
That’s despite the efforts of Fourth Corner Credit Union in Denver, which, per the NYT, “applied in November to the Federal Reserve for a “master account,” which would allow it to interact with other financial institutions and open its doors to some of the hundreds of state-licensed marijuana businesses in Colorado.” It didn’t go well.
Still though, the legal pot industry is forging on regardless.
From Convergex’s “Beige Book of Pot” ‘on Monday (with our emphasis):
Our most recent survey showed even more progress among our contacts’ stores, and demonstrated the natural evolution of a maturing industry. Here are our findings from the interviews we conducted last week:
The newest issue of Men’s Journal contains an amazing story about people desperate to get rich by buying stock in companies exposed to the rapidly-growing legal US marijuana industry. (Hat tip to @modestproposal1 for alerting us to it.)
Written by Erik Hedegaard, the piece focuses on three characters: Read more
Legal rather than technological disruption this time. Colorado is running an experiment where its voters have made possession and consumption of marijuana legal, while Federal prohibition remains in place.
Working out the social and legal niceties is taking time as weed moves from subculture to the mainstream. New York Times columnist Maureen Dowd paid a visit and fell into the classic trap of eating too much THC-laden chocolate too quickly.
Paranoia, however, may be justified for the brewers. Read more
The SEC on Friday suspended another marijuana-related “pink sheet” stock — its fifth in the space of two months — and issued a generalised warning to investors who might be suckered by dope-related frauds as marijuana usage becomes progressively less illegal in the US.
FusionPharm of Denver claims to have been selling what look like re-sprayed shipping containers called FarmPods to would-be cultivators… Read more