Huge (but complex) pot banking potential awaits clearer U.S. signal
Nearly 700 banks and credit unions are active to some degree in banking cannabis-related businesses in the 44 states that now have some form of legal marijuana use. Only a handful of institutions feel comfortable talking about it openly, however. That could change if Congress passes clarifying legislation, which could happen in 2021.
A $52 billion question has lingered in the air far longer than the smoke from any smoldering joint: Will banks and credit unions deem the rewards outweigh the risks and burden of serving state-legal marijuana-related businesses?
Several hundred already do to varying degrees, but large, national entities including the major credit card companies don’t. The ongoing tension between the 44 states that legalize cannabis sales in one form or another and the federal blanket condemnation of pot as a “Schedule 1” narcotic (high potential for abuse) creates a full stop for the majority of