SAN JOSE, Calif., April 5, 2018 /PRNewswire/ — A new report from Freedman & Koski, a nationally recognized consulting firm specializing in marijuana legalization and community engagement, envisions the next frontier in the cannabis sector as advances are made to existing regulatory and technology systems and current regulatory challenges and industry uncertainties are overcome.
The report was commissioned and funded by Green Bits, the leading retail management and automatic compliance platform that helps legal cannabis companies run their businesses. Freedman & Koski controlled the paper’s content and methodology, and its ground-breaking conclusions apply broadly to the sector.
Read the report by clicking here.
The report details the problems that plague the current framework of the industry, which the authors define as “Cannabis 1.0.” This framework was marked by a lack of access to banking and other financial services, transportation issues, environmental problems, and water and energy limitations. In addition, as recreational and/or medical cannabis has become legal in 30 states and the District of Columbia, the accompanying regulatory structure has grown into an inconsistent patchwork of state-level laws and rules that pose massive challenges to broad-scale implementation across the nation. Consequently, cannabis regulation is one of the most comprehensive and complex regulatory regimes in the world.
The authors conclude that, to overcome these challenges, all sector stakeholders must embrace technology and innovation, especially concerning compliance with state rules mandating that every milligram of THC be tracked from “seed to sale”.
“In the absence of federal laws that impose a national regulatory compliance structure, tech companies are stepping up to provide the infrastructure and tools that cannabis companies need to succeed,” Green Bits CEO and Founder Ben Curren said. “Fundamentally, management of retail stores and compliance with state rules is a data problem. Tech companies like Green Bits are best positioned to bring order to the chaos, helping to increase the level of compliance in states by providing the important data that states need to make their regulations effective.”
“Cannabis 1.0 has advanced into a multibillion dollar industry because of all the progress in the states, which are, as has often been said, the laboratories of democracy,” said Freedman & Koski Co-Founder Lewis Koski, who co-authored the report and previously served as the Director of the Colorado Marijuana Enforcement Division during the state’s legalization of cannabis. “The rising influence of tech start-ups in the sector have set the stage for the Cannabis 2.0 era, have helped to remove some of the sector’s unpredictability, and will supercharge its future growth. Federal legalization will not happen anytime soon, but tech companies are paving the way through their data-intensive solutions and will ensure the industry is prepared to capitalize on it and grow when it happens.”
According to the report, anticipating Cannabis 2.0 requires the embrace of a stark reality – that federal policy lags behind the states and, moreso, the tech solutions that have entered the sector. For example, on
By: Green Bits