Mississippi bankers can gain rewards in a medical cannabis market but risk a possible shift in U.S. Treasury Department policy that could harm their institutions.
Any jeopardy posed by the 1970 Controlled Substance Act aside, the chief executive of leading U.S. legal cannabis payments provider CanPay expects at least one or more Mississippi community banks or credit unions will work with medical cannabis companies should state voters approve a constitutional amendment Nov. 3.
“Rarely in a new market launch is there not at least one bank willing to back cannabis businesses in that market,” said CEO Dustin Eide, whose digital CanPay application offers legal cannabis buyers free debit transactions at otherwise-cash-only cannabis retail shops and dispensaries in 26 states and Washington, D.C.
Around 65 community banks and credit unions in legal cannabis states serve licensed cannabis retailers. Among the most openly cannabis-friendly CanPay client institutions are Safe Harbor Private Banking, a division of partner Colorado Credit Union; Severn Bank of Annapolis, Md.; and Salal Credit Union of Seattle. The banks and credit unions must adhere to a pile of regulatory requirements and report each cannabis-related transaction.
Read more at msbusiness.com
