Are Banks Set to Take on the Cannabis Industry?
As the cannabis industry nears a significant milestone with potential federal rescheduling, a key focal point has turned to the financial sector’s readiness to handle this expanding market. In a recent interview with Benzinga, Kevin Hart, founder and CEO of Green Check Verified, offered his insights on how impending changes could transform the industry’s landscape, especially in banking and financial services.
Hart, set to speak at the upcoming Benzinga Cannabis Capital Conference, highlights that while challenges in banking access for cannabis companies remain, solutions exist. He believes that every cannabis business could secure a traditional bank account, suggesting that those who haven’t found one are perhaps not looking hard enough.
Hart also tackled the nuances of the Safer Banking Act, clarifying the differences between the “Safe” and “Safer” banking models. He urged the importance of understanding these models, where “Safe” is an opt-in model and “Safer” is an opt-out model, indicating a possible shift in how financial institutions might approach servicing the cannabis sector in light of new regulations.
With the industry poised for federal rescheduling, Hart emphasized the critical necessity for banks to integrate cannabis businesses into their operations more broadly. This integration, however, is anticipated to be riddled with complexities, requiring banks to navigate new regulatory landscapes and the increasingly pressing demands of the cannabis market.
Hart’s forthcoming participation at the Benzinga Cannabis Capital Conference is set to shed more light on these intricate issues, providing vital guidance for industry leaders as they traverse these transformative times. The conference will offer a platform for discussions on the future of cannabis banking and its broader economic implications should federal rescheduling take effect.
Information retrieved from: Benzinga Article
