When cryptocurrency hit a total of a market cap of $600 billion at the end of last year it caught mainstream attention. The cannabis industry is a highly anticipated one that is being pushed into the spotlight by a “green rush” of investors flooding Wall Street, who expect the cannabis industry to be worth $75 billion by 2030. The cannabis and cryptocurrency industries attract high volumes of bold new investors but they also share some major issues: Both are high-risk, legally uncertain, and have government regulators breathing down their necks. The potential uses of cryptocurrency and blockchain align with the demands of the developing cannabis market, and through a coordinated effort, the unexpected pair can propel themselves to legitimacy in the dynamic modern economy. Banks that operate under federal regulation, are prohibited to service an industry that is still deemed illegal under federal law therefore, Cannabis coins Cannabis businesses in the U.S. operate on a cash-only basis. Cannabis dispensaries can hold up to $100,000 in cash at any given time, and if a business’s finances are not carefully reported to state regulators, their cash is extremely vulnerable to seizure by police using broad asset-forfeiture laws.
Christina Georgacopoulos, Cointelegraph Bitcoin & Ethereum Blockchain News, 09/01/2020 03:05:52