The number of banks and credit unions that report servicing marijuana businesses seems to be stabilizing, according to new federal data. For three quarters in a row, those numbers were consistently declining—due partly to revised reporting requirements from the Financial Crimes Enforcement Network (FinCEN) and also because of the coronavirus pandemic. But the latest report signals that the trend is lifting. As of December 31, there were 684 banks and credit unions that filed reports saying they were working with cannabis clients. That slightly up from the previous quarter, though it’s still down from a peak of 747 in late 2019. A major reason for the steady decline in the months since is because FinCEN, which is part of the Treasury Department, stopped including hemp-only businesses in their quarterly reports since the crop was federally legalized under the 2018 Farm Bill—which accounts for at least part of the dip as compared to prior figures that counted hemp-focused accounts.
Kyle Jaeger, Marijuana Moment, 03/04/2021 11:28:00