Right now the sort of conservative businessmen who would have been quick to dismiss cannabis heads in the past as degenerate drug users are getting hot under their pin striped collars at the thought of making bags of cash from cannabis stocks and investment opportunities.
1) Cannabis Stocks Opportunities
If you are an investor, there is money to be made from marijuana without having to set up a cannabis grow room, buy a set of scales or hang around on street corners. However, just because the company is showing new green credentials, big business is big for a reason and you may want to check the moral compass of those companies cashing in on cannabis stocks.
Some financial experts predict that the legal marijuana market in California will be worth an extra $5 billion to the Californian economy. However, as legalization of marijuana arrives it is likely that the new situation will take some time to adjust to, from both sides – policy makers and users.
Likely effects of Californian weed legalization –
For example, there are medical cannabis providers, such as the Canadian firm ABcann, who have a background in the cannabis industry and stress the organic nature of their product… and new players like the multinational lawn and garden corporation, Scotts Miracle-Gro, who are developing cannabis grow products and pesticides. Hmmmm tough choice….
2) Cannabis Stocks Positives
With legalization creeping further across the USA (California and Massachusetts in 2018) and coming to Canada, money is flowing into the newly legalized industry. For those cannabis users and growers who have spent a lifetime hiding in the shadows, the normalization of cannabis resulting from a market in cannabis stocks is a good thing.
Just with any economic revolution, new investment opens up new opportunities for many smaller businesses to grab a niche by starting up a new company to service the new demand for all things cannabis. While statistics say that the majority of cannabis start ups will fail, but for those with the right product and experience, a piece of the pie (or at least some generous crumbs) are there to be got!
There is also an argument to say that with cannabis related activity now being traded on the stock exchange, the industry will become more legitimate from a business perspective. As the stigma falls away, we are looking forward to a time when marijuana is just ‘another’ product. This could quickly spread legalization around the world.
3) Cannabis Stocks Negatives
It is an element of cannabis legalization that does not sit well with many old timers in the scene, especially those activists who have sacrificed much and risked all in the fight to legalize medical and recreational cannabis use over the years. For many activists, the stock market rush for marihuana is the ultimate sell out.
They argue, with good reason, that after all these years it has taken the involvement of big business to legitimize cannabis and they are questioning whether big business cares about preserving the cannabis scene or exploiting it solely for profit.
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In a recent Paradise Seeds interview with Tommy Chong, one of the drivers of 1970s cannabis counter culture was dismissive about the sudden interest from big business.
“You get lots of these business types wanting to talk about opportunities in the cannabis industry, but it’s important to work with people who understand what weed is all about. You know what I do? I ask them to smoke a joint with me. Then you see where they are really coming from!”