President Donald Trump's plan to move cannabis from Schedule I to Schedule III has the industry buzzing, and reactions are coming fast.
For operators like Gibran Washington, CEO of Ethos, the shift is long overdue. "Rescheduling won't solve every problem," he said, "but it finally moves us in the right direction. It opens clearer paths for research, eases unnecessary barriers for patients, and creates a regulatory environment that actually works for operators doing things right." Washington stressed this shouldn't be seen as the finish line: affordability, equity, and the stigma around cannabis still need serious work.
Investors are reading it the same way: a step toward legitimacy, not full legalization. Anthony Coniglio, CEO of NewLake Capital, called it a "historic, long-overdue alignment of federal policy with science, medicine, and what states are already doing." He noted that lifting Section 280E could let compliant operators reinvest in growth, workforce development, and innovation. Adam Stettner of FundCanna added that rescheduling could finally unblock research, support standardized formulations, and push operational rigor across the industry.
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Banking is still a question mark. Terry Mendez, CEO of Safe Harbor Financial, sees the rescheduling as a strong federal signal, but warns the underlying cash and compliance challenges won't disappear overnight. "Incremental progress is good," she said, "but it's not a comprehensive solution. We need federal frameworks that actually match the reality of a $38 billion industry."
The international ripple effect could be big, too. JP Doran of Crucial Innovations Corp pointed out that U.S. action might push regulators in the UK, EU, South Africa, and other emerging markets to rethink outdated rules, expand patient access, and align with modern science. Rescheduling could even speed up global research and cross-border medical cannabis development.
Nonprofits and policy advocates are more cautious. Betty Aldworth of MAPS and MPP called it a symbolic moment that won't solve patient access, cash-only operations, or the collateral consequences of prohibition. "This will generate headlines and optimism," she said, "but without real federal reform, the communities hit hardest by prohibition will keep facing disproportionate barriers."
Even hemp operators are paying attention. Thomas Winstanley, EVP of Edibles.com, pointed out that consistent rules across THC and hemp are key for consumer safety, transparency, and ongoing innovation.
