Business
Congress Approves Cannabis Banking Bill
In a 321-101 vote, the US House of Representatives passed on Monday the SAFE Banking Act, also known as the Cannabis banking bill. This removes penalties for banks that serve cannabis companies in specific states.
The bill, which passed due to a rare incidence of bipartisan support, will now go to the Senate for voting.
RELATED: NY Legalizes Recreational Weed, Looks to Earn $350M
Cannabis Banking Bill Needed to Remove Barriers
Previously, banks remained reluctant to do business with cannabis companies. Even as cannabis is legal in their home state, it remains illegal under federal law. Rather than risk trouble with the feds, local banks refused to accept cannabis money.
The legal black hole left companies with few options for handling their money. Currently, they rely on small financial firms to process their transactions. Or, they simply restricted all transactions to cash.
The Cannabis Banking bill, once signed into law, will become the first step in removing barriers towards a national cannabis industry.
Bankers Lobbied For The Bill’s Passage
The bill clarifies once and for all that income derived from legitimate cannabis businesses will remain legal. In addition, the bill will direct federal regulators to draft further rules to govern cannabis banking activities.
The American Bankers Association (ABA) lobbied aggressively for the SAFE Banking bill. In a letter, the ABA gave their full support for the bill’s passage.
“Banks find themselves in a difficult situation due to the conflict between state and federal law, with local communities encouraging them to bank cannabis businesses and federal law prohibiting it. Congress must act to resolve this conflict,” members wrote in a joint statement.
Majority of States Allow Medical Use, While Many Allow Recreational Purposes
Once passed, the bill forbids federal banking regulators from penalizing banks and other institutions for serving cannabis businesses. A total of 36 states and four territories already authorized the use of marijuana for medical purposes.
Meanwhile, 17 states approved cannabis for recreational use. However, federal regulations still consider marijuana as a prohibited substance under the federal Controlled Substances Act.
Because of this, banks that provide services to cannabis businesses can face charges and penalties under federal money laundering laws.
Senate Majority Leader Chuck Schumer (D-NY), earlier said that he will try to advance legislation legalizing marijuana use for adults. This can mean a federal decriminalization law for cannabis.
For the SAFE Banking Act, he said he would like to see the bill move forward as part of a more comprehensive cannabis measure. He added it wouldn’t matter if President Joe Biden isn’t supporting the measure.
Watch the Forbes Breaking News video, where Florida Rep. Matt Gaetz Slams “War On Drugs,” Commends Democrats For Marijuana Banking Bill:
Loading ...Do you support the passage of the SAFE Banking Act or more known as the Cannabis Banking bill? Do you think that cannabis companies should have access to banks like any other business?
Let us know what you think. Share your thoughts in the comments section below.
23 Comments
Banks need to help companies that are legal and not deal with drug dealers. Pot is illegal.
Today it is pot, tomorrow it is crack cocaine! This is what happens when politians
can’t do the job they were elected to do. Instead, they invest in these pot companies.
Then, the laws are changed so their fat wallets get fatter. Wake up America!
pot as i a smoker for 15 years or so and being around the same know grass is not what it appears to be to legalize it is a downward spin to nothingness
Yes it should be legal all over 50 states an regions of u.s.a..
Decriminalizing a natural growing herb would be the best thing to do
The banks would have to stop serving tobacco, pharmaceutical companies, Alcohol companies the list goes on.
Like alcohol tobacco and some medications…it’s not for everybody.
Cannabis is the same .. we all sin differently..
Banks should treat them like any other company.The last amount of money spent on marijuana. Should be tax just like any other company. And every financial Company should prosper from it, As the same that has been done with alcohol.
No.. The use of drugs will only lead to the use of ‘harder ‘ drugs!!
Those of you saying weed leads to harder drugs and “iTs iLlEgAl” have obviously never used it. If you had, you’d know you’re stupid for even saying that. Only place weed leads you is to the fridge. Happy, hungry, sleepy. Those are the side effects. 🙄🙄 Don’t you people ever get tired of being dumb?
Cannabis is a herb. It’s been around since dirt existed so to speak. And to the one who said something about sinning the Bible doesn’t state you can or cant . Genesis 24:64. Read Genesis 9:2-4. No im not a Bible thumper but I have a tendency to fact check. Also check James 4:17.
Yes it should be legalized yes the bank so I’ll be able to take money
GOD said to use the herbs to heal each other. I have Early-Onset Parkinson’s. It works like a MIRACLE DRUG for me.
I used pot for years back in the 70s and 80s.It was a party thing on weekends,not everyday. that said, it seems that the weed we have today is much stronger than what I remember.¹with 1the legalization it should be handled the same as any other business. This takes it away from the cartels and helps our economy.
It’s perfectly fine as long as I can go to any state a buy it leagely all states
Cannabis is a natural medicine that anyone can grow and use. This doesn’t make money for pharmaceutical companies and so we have disinformation and propaganda that is being pushed and believed by many uneducated and educated people alike. Cannabis doesn’t lead to crack. Being able to purchase cannabis safely at a dispensary takes away the criminal element and the association with dangerous addictive drugs for the common cannabis-only user. The banks should be able to accept the money from these legal dispensaries.
Firstly, the federal government has no constitutional authority to restrict/regulate the use of a medicinal herb in any of these United States, or to get involved in the relationship between private banks and their customers who are engaged in lawful commerce under existing state laws. Does anyone else see the legal contradiction and incongruity of passing federal legislation to permit banks to do business with companies who are conducting business in violation of current federal law? This sort of legal dissonance is seriously eroding confidence in the integrity of the legal and political establishments in our great country.
If cannabis is legal it would be better for banks to have a legal business with them. I would prefer that cannabis was not legal.
GOD created cannabis just like everything else! The government creates chaos, havoc, control and takes our God-given rights of freedom away! The government leaned towards making alcohol their priority and look what it’s done to the nation! The drug on wars was a joke when they were in on the process of bringing drugs into the country for years! Without this drug I would not be pain free from two sciatic nerves! It’s about time that the people vote to legalize cannabis across the United States! With the cannabis industry we could put our nation back together, reform our laws into a better America because right now we need to SAVE America from the left wing and the people that want to destroy it!!! The government needs to STOP controlling the American people and allow the Cannabis Industry, that gives America millions of dollars to do business in the appropriate manner just like every other industry for the GOOD OF ALL!!!
If alcohol and tobacco are legal, cannabis should be.
Legalize it quit wasting time and money on the war on the American people open the banking decriminalization is a must
I was busted in 1971 in grand have Michigan. I enjoyed it then and now . I enjoy it not being legal. I enjoy braking the laws whenever I can so as not to harm any person or property. norml!
Federal Government still consider it illegal. Legillisation by states.is a way to DISARM THE AMERICAN CITIZEN OF LEGALLY OWNING FIREARMS.!! LOOK AT A FEDERAL GOVERNMENT GUN PURCHASE FORM.!! OBVIOUSLY THE CORRUPT GOVERNMENT IS SMARTER THAN ALL YOU POTHEADS.!! THEY GIVE YOU CANDY.! TO TAKE YOUR RIGHT TO DEFENDING YOURSELF AWAY.!! STUPID POTHEADS ALL.!!!!!
The cannabis companies are making money and this money needs to be placed where it is safe. If you really care this bill needs to be passed so that these cannabis companies can have a place to safely keep their money. If for only that reason it should. Billions are being made and these companies have this money stored where? This is an unsafe practice.
Alcohol is the gateway drug. Pot is safer than booze!!