SNDL - House OKs bill to facilitate banking for cannabis companies

The U.S. House of Representatives approved a bill enabling banks to do business with cannabis companies without fear of penalty, Bloomberg reports. The so-called SAFE Banking Act would be a boon for marijuana companies, which have so-far used to deal in cash because of federal restrictions, which implied extra security costs and logistical problems. The measure was approved by voice vote as part of the National Defense Authorization Act (NDAA) for fiscal year 2022. Representative Ed Perlmutter, a Colorado Democrat, who had re-introduced the bill, in a tweet stated, the Act will strengthen the security of financial system. However, the bill’s prospects are unclear in the Senate. The U.S. Cannabis Council called the current rules that require marijuana firms to be all-cash a security hazard. BTIG analyst Camilo Lyon said in a research note that the SAFE Act’s inclusion with the defense authorization might enhance its prospects. “Discussions with our

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House OKs bill to facilitate banking for cannabis companies