MIXED SIGNALS ON RECOVERY

Major Canadian players are running low on cash, and their U.S. counterparts aren’t doing much better, according to a new study from Ello.
MarketWatch

THE SHROOM RUSH?

Canna Law Blog has an interesting post comparing the cannabis and psilocybin movements.

  • Like cannabis, it describes psilocybin reform as advancing along a “two-track” model: local ordinances on one hand and pharmaceuticals.
  • The local ordinances, “Do not contemplate a commercial model and it seems unlikely that they will be lucrative.”
  • However, “The FDA’s willingness to grant breakthrough therapy status to psychedelic drugs, as mentioned above, has put psilocybin approvals in an expeditious place.”
  • Nearly 100 U.S. cities are exploring psilocybin decriminalization.

AMSTERDAM IS BECOMING JUDGIER

In a bid to curtail overtourism, Amsterdam is ending guided tours of its red light district. The city is also studying whether to restrict pot purchases by tourists.
Washington Post

  • In Dutch, the country’s “policy of tolerance” is called gedoogbeleid. Evidently, it has limits.
  • A survey found nearly a third of the 20M tourists who visit the city each year would be less likely to come if they couldn’t buy pot.

Quick Hit

  1. The L.A. Times serves up a guide to enjoying cannabis in Las Vegas.

CANS LEACH THC FROM INFUSED DRINKS

Aluminum beverage cans suck the THC out of cannabis-infused drinks. The issue, which Canadian giant Canopy Growth has been aware of for almost a year, was one of the reasons it delayed its beverage launch last month.
Yahoo Finance Canada

  • ” Scientists have determined the liners can attract emulsified droplets of active cannabis ingredients over time when pot beverages are under pressure, leading to a less effective high when consumed.”

Quick Hit

  1. Cyber hacks and fraud are among the most significant threats facing cannabis businesses, CNN reports.

STATE UPDATE

Coast to coast:

HOW LEGAL IS CALIFORNIA’S LEGAL MARKET?

A January raid on a “model” politically connected farm in Santa Barbara County, Calif. raises questions about the blurry line between California’s legal and illegal industries.
Los Angeles Times

  • Raids on four parcels of land owned by the same person turned up “off-book marijuana sales associated with the farm,” a small volatile extrication lab, about 20 pounds of illegally stored cannabis and “1,000 pounds of cannabis crude,” worth up to $1.6M on the California legal market and much more out of state.
  • Last year the Orange County Register looked at businesses involved in both markets. They called it the industry’s “most widely known yet difficult-to-prove secret.”
  • A column in MJBiz looks at how lack of unity among operators and the ongoing temptations of illegal market business, hold the state industry back.
  • An L.A. Times op-ed called for keeping Big Ag out of cannabis.

Meanwhile in Napa: Tensions between weed and wine businesses are heating up.
Politico

CANNABIS INFLUENCERS’ TENUOUS BUSINESS

With limited outlets available, social media influencers have become an important channel for cannabis brands to spread their name, especially in illegal markets. For the influencers, it can be lucrative, but they operate at constant risk of having their accounts shut down.
Business Insider

  • Angela G., better known as @koala.puffss, (696,000 followers on Instagram) says Instagram deleted her seven times in 12 months.
  • Teresa Garibyan a.k.a. @trippy.treez (224,000 followers on Instagram) says she can make up to $1,500 per post.
  • A Facebook spokesperson said Instagram does not allow the advertising, sale or promotion of cannabis, including “paid influencer posts, product integrations and affiliate links.” It does allow “marijuana advocacy content.”
  • Google-owned YouTube seems to have similar policies.

Also in Business Insider:

REC ON THE BALLOT

Vermont Senator and REC legalization supporter Bernie Sanders won the Nevada primary, cementing his place as the frontrunner for the Democratic Presidential nomination.
New York Times

  • If he’s the nominee, he will be the first major party nominee to support REC legalization.
  • Sanders has said he would legalize nationally via executive order on the first day of his presidency, though that probably isn’t possible.
    Marijuana Moment
  • In recent weeks, former New York City Mayor Mike Bloomberg has been trying to make his views on cannabis more palatable to Democrats. Canna Law Blog gives him a D-.
  • Sen. Elizabeth Warren (D-Mass.) who’s competing for the nomination, outlined her plan to legalize REC and prevent “Big Tobacco” from conquering the industry.

Marc Lotter, director of strategic communications for the Trump 2020 campaign, said marijuana should remain federally illegal.
Tom Angell — Forbes

Are you registered to vote?

Quick Hit

  1. Senator Rand Paul (R-Ky.) continues to cultivate ties with the cannabis industry.
    WestWord

BEER AND POT PARTNER FOR GOOD

The Washington Post discusses a new effort in Colorado to recycle carbon dioxide produced by the Denver Beer Co. to help cannabis plants grow:

From the paper:

“The refrigerator-sized device [developed by Austin-based Earthly Labs] purifies the greenhouse gas and chills it into a liquid. Stored in 750-pound tanks, the recovered CO2 is transported about nine miles to the Clinic, where growers vaporize the liquid and pump it into rooms full of pot plants to speed photosynthesis.”

Quick Hit

  1. Martha Stewart and Snoop’s “Potluck Party Challenge” looks like fun.
    @TheEllenShow

REALTORS: LEGAL WEED SPURS COMMERCIAL DEMAND

A new report from the National Association of Realtors found several positive correlations between legalization and the commercial real estate business:

  • States which have legalized for more than three years have seen increases in demand for commercial prop

However, the report found residential properties near dispensaries were more likely to see home values drop (27%) than increase (10%.)

Related: Large U.S. operators are increasingly turning to debt as a fundraising tool.
MJBiz