The US election has proved to be a massive win for cannabis, both the federal and state levels. Stated to be the only most impactful event for cannabis to date, the November 4 election saw several states put adult-use legalization on the ballot. While Montana, New Jersey, Arizona, and South Dakota took up the issue, the House of Representatives passed a number of pro-cannabis bills at the federal level. Cannabis stocks trading is foreseen to be one of the most lucrative investments after the election.
Cannabis industry booming
Spending on legal recreational marijuana surpassed medical for the first time in 2018. Worldwide legal cannabis stock sales totaled around $15 billion in 2019. And according to recent research, there is a 46% boost the year before. As an investor, these figures may have your mouth watering.
What does this election signify for the U.S. Cannabis business?
There is no denying that the U.S. is the most significant contributor to growth in the marijuana market. Even when the drug is illegal on the federal; level, Americans reported $12.2 of the $14.9 billion in worldwide cannabis spending in the previous year.
The current state of marijuana in the U.S. tends to create major financial headaches for the operators. And because of this status, U.S. based marijuana firms can’t secure funding from major financial institutions. They are finding it challenging to transport products across state lines. And the worst part is that the marijuana companies are expected to pay taxes, but illegal businesses can’t take standard business deductions. However, this scenario is expected to change after the elections. With the increasing hemp stock trades, these issues are about to mitigate. The new government would allow cannabis firms to access banking and investing markets. This is most likely to alleviate the burdensome tax situation.
cannin group 