House Financial Services Committee Puts Spotlight on Cannabis Banking Restrictions
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Key takeaways:
- Odds appear better that Congress will address challenges facing the cannabis industry (and businesses, including banks, providing services to it) through incremental steps as opposed to broad, sweeping action. Bipartisan agreement to make fundamental changes to current law, including legalizing cannabis at the federal level, remains elusive.
- Support for the SAFE Banking Act is more about addressing the public safety risks of a booming cannabis industry that cannot access the regulated banking system, and providing legal certainty to depository institutions, than about helping cannabis businesses themselves.
- As the SAFE Banking Act moves through the legislative process, its provisions are in flux. Substantial uncertainty remains about whether, and in what form, the bill may pass.