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DE-BANKING
How a LinkedIn post got Chase’s attention — and why we left anyway

Photo by appshunter.io on Unsplash

If you’re a regular reader of this newsletter, you’re probably aware of our banking, er, challenges. I want to write about it in case it’s helpful to anyone out there, and to put it on the record for how difficult it is to operate in this industry, still, in 2026. 

Even for a non-plant touching media company like ours that covers the sector. 

So here’s how it all went down. Or, in other words, how a LinkedIn post got the bank’s attention. 

We were customers of Chase’s business banking unit for nearly three years. 

While we’re certainly not a unicorn, we’re good customers. We pay our credit card bill on time and in full (which maybe makes us less-than-optimal customers, I guess), and we use our account to receive invoices, pay contract writers, and the monthly software subscription fees that keep our little business humming. Cash flows in and out of our account on a regular basis, it’s not sitting there inert. 

I returned from a 9-day trip to Chile with my family on a red-eye flight last Monday. Obviously pretty tired. I get a text message from Chase while still sitting on the tarmac, saying that I need to call right away because my account is at risk of being shut down.

I get off the plane and call and reach a customer service representative in India after a quick hold. They tell me our account was deemed “out of scope” of Chase’s business, and the account is being shut down. They say I’ll receive a check to my mailing address with the full balance in the checking account — it was only a few thousand bucks at the time since we were supposed to receive a big chunk of our March invoices that week — and that our business credit card was being shut down as well.

I pleaded my case, but the person could not answer why the account was being shut down. I asked her if there was any other information they could provide, but they said this is all they have and the decision is final. No recourse. The supervisor I then reached had no further useful information. 

All of our software, including our internet service provider, Slack — which we use to communicate between our Toronto and NYC bureaus (Jay’s kitchen and my apartment) — Quickbooks, etc., were all at risk of losing service, which means our website would be shut down. It also meant I had to reach out to our writers and tell them I couldn’t pay them on time. And if there’s one north star in how I run my business as a journalist, it’s paying writers on time. That sucked. 

The cherry on top? 

We got back to my apartment, I went to get a sandwich and a coffee, and my personal Chase card didn’t work. This was later revealed to be a mistake, but I was caught in some algorithmic dragnet that didn’t like what our business was doing.

On Tuesday morning, after a full night of sleep, I called again to see if anything had changed. I was again told that our account was “out of scope” of Chase’s business. The person told me this time that it’s written into the fine print that Chase can review your account at any time, and they can close it without recourse. I’m guessing that’s standard for most banks, but another sign to read the fine print.

I was pretty annoyed at that point, so I took to social media to vent. I wrote a similar post across my roughly 20,000 followers on Twitter/X and LinkedIn, describing our debanking situation and asking for help. (So many people reached out to help, so if I haven’t gotten back to you yet, thank you…)

Later that day, I got a missed call from Chase’s Executive Office in Houston. When I called back, they told me my account was now under review and not closed. At that point, fed up with the situation, Jay and I had already made the decision to work with our friends at Safe Harbor Financial to get set up with Partners Colorado Credit Union, which is much friendlier to the industry than a behemoth like Chase. 

I told them I would’ve been happy to remain a Chase customer, but we can’t have our business at risk of being disrupted like this. If this happened once, I assumed it would happen again. She told me she understood. I have to say, the Executive Office was far more professional than the regular call center. Out of journalistic curiosity, I asked if she could review the files to see exactly what shut the account down and why. She agreed to do it, and said she’d call me back later.

The next morning, I received a call from her colleague in the Executive Office. This person said my account fell under a review, and was immediately frozen. But get this: after a secondary review, the bank unfroze the credit cards and said my account could remain open. 

So I asked, what triggered the secondary review? They said that a “social media” post of mine on LinkedIn was brought to the bank’s attention. And that’s what triggered the call from the Executive Office, as well as the official second review. 

I told the person that I appreciate their time and help. But the fact that it was my LinkedIn post, which got around 90 likes and 50+ comments, that really triggered a human to consider the issue seems a little bit unfair to the hundreds of cannabis businesses across the U.S. that don’t have the same platform I do.

And it’s not like I’m some big-shot. Chase clearly didn’t want to create trouble with a journalist, which is as rational as it is unfair for everyone else. 

And we’re also not a huge moneymaker for the bank, so for them, it’s better to lose the business and be safe, than to take the risk. Every bank has its own risk calculus and banking small cannabis businesses is clearly below Chase’s. 

So to me, there’s a few lessons here. 

One, the squeaky wheel always gets the grease. Two, people are paying attention on LinkedIn, which goes against every fiber of what I used to believe about the platform. And three, big banks are still highly reluctant to work with any company with a whiff of cannabis even in 2026. Even after Presidents in both parties supported cannabis reform. 

Obviously, this is going to take an act of Congress to change. 

While we are back on our feet, I hope by sharing this story it’ll help wake up some lawmakers who claim to support entrepreneurship and job creation, but don’t want to touch cannabis with a ten-foot-pole. Well, here’s an example of where Congress can actually really help small businesses such as ours, by passing banking legislation like the SAFE Banking Act. 

-JB

“Congress's last-minute revival of hemp prohibition, included in last year's Continuing Appropriations Act, would ban most hemp products and wipe out the multi-billion-dollar industry, while depriving individuals of products they depend upon to improve sleep, relieve anxiety, and alleviate pain,” Kentucky Sen. Rand Paul said. 

“My bill would protect thousands of jobs, family farms, and safe access for veterans and seniors.”

Paul plans to introduce the Hemp Safety Enforcement Act, which would let states “opt-out” of the looming ban on hemp-derived THC products set to go into effect in November. The bill would allow states to continue to set their own regulatory policies, including age-gating, dosing, and licensing. Paul says he looks forward to bipartisan support for the legislation.

VANGST*
Your next hire is already out there. The question is whether you'll find them first.

Photo by Matt LaVasseur on Unsplash

Competition for qualified talent is intensifying at every level. Operators who move fast win. Those still relying on generic job boards and gut-feel screening are falling behind.

Vangst is the staffing platform built specifically for this industry. With more than 300,000 workers in their network and deep expertise in cannabis compliance, licensing, and badging requirements, they take the guesswork out of hiring at scale.

Here's what sets them apart: Vangst handles the entire workforce management stack — payroll, workers' comp, insurance, taxes, HR, and scheduling — so your team can focus on the business, not the paperwork. 

Their temp-to-hire model lets you evaluate candidates in the real work environment before making a full-time offer. And when you're ready to convert? No buyout fees after 360 hours worked.

Whether you're filling one role or building a full team, Vangst has the infrastructure to do it right.

→ Start hiring smarter at Vangst.com

*sponsored

• Trump is expected to sign an executive order this week directing federal research into ibogaine, a Schedule I psychedelic used in clinics abroad to treat PTSD and addiction in veterans. The drug stays illegal for now, but the order would open the door to federal funding for clinical trials. Read more. 

• Pure Oasis, Boston's first recreational cannabis dispensary and one of the state's few Black-owned shops, closed both locations last week after the state froze its account over roughly $400,000 in delinquent taxes — leaving 60 employees unpaid. The closure is the latest sign of strain in Massachusetts, where rising costs, an oversaturated flower market, and federal illegality leave operators with almost nowhere to turn when finances go sideways. Read more.

• Tennessee lawmakers voted 73-22 to send the governor a bill that would strip state health commissioners of their authority to reschedule cannabis in line with federal law, requiring legislative approval first. It's a preemptive block ahead of federal rescheduling — in a state that still has no medical cannabis program. Read more. 

• The IRS said budtenders could eventually qualify for Trump's no-tax-on-tips benefit, but not until cannabis is federally legal — tips received for services that are federally illegal don't qualify under the new law. Read more. 

• Missouri hemp businesses delivered 10,000 letters to Gov. Mike Kehoe urging him to veto a bill that would pull hemp-derived seltzers, gummies, and similar products from store shelves by November unless sold through licensed marijuana retailers. Read more.

• Cheech and Chong's Global Holding Co. announced a new partnership with Breakthru Beverage Group, which will expand the reach of Cheech and Chong's brand of hemp beverages. 

• Craft Beer BrewDog will relaunch under new ownership after Tilray recently acquired the embattled brand.

• Cornbread Hemp announced that it secured an exclusive contract with Alliant Purchasing to participate in Medicare's pilot CBD program.

• Safe Harbor Financial reported its results: The company reported a Q4 net loss of $582,000 on revenue of approximately $2.1 million, up 12% sequentially. For the full year, the company reported a net loss of $2.2 million on revenue of $7.7 million for 2025, down from $15.2 million in revenue the prior year. $SHFS ( ▼ 5.63% )  

• Decibel Cannabis reported its results: The company reported Q4 net revenue of CAD $28.7 million, up 13% year over year, with a net loss of CAD $1.3 million. For the full year, Decibel posted net revenue of CAD $113 million, up 22%, on a net loss of CAD $2.9 million, or $0.01 per share. $DB.TSXV ( ▼ 6.9% )  

TerrAscend appointed Eric Jackson as CFO. He joins from American Signature. $TSNDF ( ▼ 3.31% )  

Dr. Sanjay Gupta’s new CNN documentary on how women are now one of the fastest-growing segments of cannabis users.

Have a watch 👇

Twitter tweet

In Rhode Island’s messy cannabis rollout, worker-owned stores have yet to materialize | The Boston Globe

📅 CULTIVATED CALENDAR
Upcoming Cultivated events that should be on your radar:
May 5-7 | Cultivated @ MJ Unpacked
May 28 | Midwest Cannabis Summit TICKETS

COLORADO
Colorado lawmakers suggest cannabis overhaul

Photo by Monique Caravantes on Unsplash

Colorado lawmakers introduced the Cannabis Consumer Protection Act (SB 26-161) which would overhaul how the state taxes and regulates marijuana, scrapping the current 15% sales tax in favor of a per-milligram levy on intoxicating cannabinoids and shifting product testing oversight from the Department of Revenue to the Department of Public Health and Environment. 

The bill ends the practice of growers and manufacturers submitting their own compliance samples, replacing it with third-party "authorized samplers" who collect directly from retail shelves.

“While Canada’s cannabis industry contributes approximately $16 billion to GDP and supports more than 227,000 jobs, governments across the country have too often treated cannabis policy as a static file rather than an evolving economic opportunity,” High Tide CEO Raj Grover wrote about why Alberta’s leadership is leading the way in Canada. $HITI ( ▲ 0.83% )  

Read more.

• The Natural Medicine Alliance of Idaho says it has collected more than 102,000 signatures for a ballot initiative that would legalize medical cannabis in the state — well above the 70,725 required to qualify for November's general election. Organizers are still pushing to hit the required threshold in some rural legislative districts before the April 30 deadline. Read more.

• Nebraska's Medical Cannabis Commission unanimously approved formal regulations this week, sending them to Attorney General Mike Hilgers and Gov. Jim Pillen for review — a significant step for a program that has operated on temporary 90-day rules since voters approved it in November 2024. The catch: Hilgers has been openly hostile to the program and hasn't committed to approving the rules, and no in-state doctors have yet issued recommendations, largely out of fear of retaliation from his office. Read more.

• Canadian cannabis marketers Colin Bambury and Jeremy Bouvet have launched grnroom, a full-stack creative and marketing agency headquartered in Toronto and Vancouver, with former THC Canada founder Spensir Sangara joining as Head of Growth. More here. 

• STIIIZY now operates 65 stores nationwide, 62 in California and three in Michigan, just in time for 4/20, after absorbing 12 former Gold Flora locations.

• Ayr Wellness is launching HZ, a new live rosin line, across its Florida dispensaries on April 18, timed to 4/20, powered by flower from its recently opened indoor cultivation facility in Ocala

Digital marketing agency Lucyd has hired Matt Nissenbaum, formerly of DTCanna, as Head of Regulated Cannabis to launch a new arm focused on paid media for cannabis brands, retailers, and MSOs

The National Highway Traffic Safety Administration has a new campaign about the risks of driving high ahead of 4/20:

Cannabis Regulator James Pepper on Vermont’s Growing Market | Seven Days 

New York weighs overhauling cannabis regulations after years of snags, unclear processes | Buffalo Business First

📅 CULTIVATED CALENDAR
Upcoming Cultivated events that should be on your radar:
May 5-7 | Cultivated @ MJ Unpacked
May 28 | Midwest Cannabis Summit TICKETS

VIRGINIA
Virginia Governor sends cannabis sales back to lawmakers

Driving the news: Virginia Gov. Abigail Spanberger, a Democrat, is requesting amendments to a bill that would (finally) legalize cannabis sales in the state.

Virginia first legalized cannabis five years ago.

What she’s asking for:

• Push the sales start date back six months, from January 1, 2027 to July 1, 2027.

• Keep the 6% excise tax at launch, but raise it to 8% after July 1, 2029 (the 5.3% retail sales tax and up to 3.5% local add-on remain unchanged).

• Increase from current 1 oz to 2 oz (lawmakers had passed 2.5 oz).

• Replace the existing $25 civil fine for public marijuana use with a class 4 criminal misdemeanor.

• Selling or distributing 50+ pounds illegally would become a class 2 felony punishable by life in prison.

• Tighten enforcement provisions around vape shops and product/consumer safety in tandem with a related bill.

Read her full proposal.

Why it matters: The industry has long awaited Virginia’s market opening. It’s a large, economically powerful state with nearly 9 million people. 

It’s a big market for cannabis sales, and one that many firms will be more than happy to jump into. 

What they’re saying: “Five years ago, the Commonwealth took the first steps to legalize marijuana—and for five years, the work sat unfinished,” Spanberger said. 

“We are working to set up a marketplace that is controlled, regulated, and responsible—because legal markets only succeed when there are clear guardrails and enforcement to back it up.”

She also said she wants to levy enforcement on “shady” vape shops that sell cannabis to kids, possibly alluding to New York’s difficulties with illicit stores selling untested products without checking IDs.

But, but, but: Lawmakers who delivered the legislation pushed back against Spanberger’s proposed changes.

Sen. Lashrecse Aird, also a Democrat, said the proposal represents a “significant departure,” from the original bill passed by the General Assembly.

“By making the legal market harder to access, this proposal allows the illicit market to continue to thrive in every corner store in our Commonwealth. That undermines the core goals of legalization and increases the likelihood of untested products, inconsistent potency, and lacks consumer protections.”

The final word: I’d caution Spanberger against letting the perfect be the enemy of the good, here, having covered state cannabis rollouts for nearly a decade.

Delaying the market launch lets illicit sellers continue entrenching themselves. While not the intent, history shows this makes enforcement much more difficult on the other side. 

But either way, despite these negotiations, cannabis sales are set to start in Virginia next year.

-JB

“Where are the bodies? Where is the harm?” Maine Rep. David Boyer said. “The patients aren’t asking for this. They are asking to kill the bill.” 

Maine's House voted 102-43 to reject LD 1847, a bill that would have required medical cannabis growers to test products for mold, pesticides, and other contaminants. Maine is the only state in the country where medical cannabis is not required to be tested, and the issue now heads to the Senate. Read more.

• Colorado's Marijuana Enforcement Division announced a crackdown on companies illegally substituting cheaper hemp-derived THC for marijuana in dispensary products, citing risks to public safety, market integrity, and tax revenue. The move follows a Denver Gazette/ProPublica investigation that found hemp-derived vapes on dispensary shelves contaminated with methylene chloride, a chemical banned by the EPA for most uses that can cause cancer and neurological damage. Read more.

• Pennsylvania's House Health Committee approved a bill 23-3 that would require hospitals, long-term care facilities, and assisted living residences to allow terminally ill patients to use medical cannabis on-site, so long as it doesn't interfere with their treatment plan. The bill now heads to the full House, as Gov. Josh Shapiro separately pushes the legislature to legalize cannabis statewide.

• Nebraska's Medical Cannabis Commission approved its fourth and final cultivator license, but the state's nascent program still has no timeline for manufacturer applications and no legal protections for doctors who recommend cannabis. Advocates warn that without those protections, physicians may simply refuse to participate. Read more.

🥐 Join Us in Atlantic City: Cultivated @ MJ Unpacked

We’ll be at MJ Unpacked this May at the Hard Rock Atlantic City — and we want Cultivated readers there with us.

When you register using our promo code, you’ll get:

• 20% off your ticket by using cultivated20 at check out

• An invite to a Cultivated readers-only breakfast

• Coffee, conversation, and connections with operators, founders, and investors

The breakfast is sponsored by Aquinnah Capital Partners and will be a relaxed kickoff to the event with the Cultivated community.

👉 Grab your discounted pass + breakfast invitation

We hope to see you there.

• Anti-cannabis group Smart Approaches to Marijuana is suing to block a Trump administration program that covers up to $500 worth of hemp-derived CBD products annually for Medicare patients. The federal government filed to dismiss the case this week, arguing that SAM and its co-plaintiffs have no legal standing because the program doesn't actually require them to do anything. The government's brief delivered a particularly sharp line on SAM's claimed injury: opposing cannabis policy is the organization's core mission, not a diversion from it. 

• Child advocacy groups filed suit against California's Department of Cannabis Control in February, alleging the state has failed to deliver on Prop 64's promises to fund youth programs and protect kids from cannabis harm. Youth Forward executive director Jim Keddy makes the case for the lawsuit in a Capitol Weekly op-ed. Read more.

Cannabis legalization spurs innovation, but not always in ways that benefit patients or public health | The Conversation

The surprising ways cannabis may affect the aging brain | The Washington Post 

Cannabis companies once poured millions into Hartford—now they’re pulling back | CT Insider

📅 CULTIVATED CALENDAR
Upcoming Cultivated events that should be on your radar:
May 5-7 | Cultivated @ MJ Unpacked
May 28 | Midwest Cannabis Summit NEW DATE

OIL
Cannabis companies adjust to record spike in oil prices

Driving the news: Cannabis companies and ancillary businesses are facing new economic challenges as U.S. military operations in Iran have led to record spikes in oil prices and increased inflationary pressures.

On Friday, sobering government reports underscored the uncertainty in the region and rippling effects across the globe. Energy prices in March rose nearly 11%, fueled by a 21.2% surge in gas prices, the highest monthly increase since 1967 when the U.S. Bureau of Labor Statistics began publishing the gasoline index as part of the broader Consumer Price Index.

While some experts predict the escalating energy crises could continue for months, a few oil tankers have passed through the Strait of Hormuz in recent days as the U.S. Navy clears out seabed mines in the waterway amid a tenuous cease fire.

What happened: On Sunday, President Donald Trump on Truth Social announced the Navy would enforce a blockade Monday morning on all Iranian ports in the Strait following unsuccessful negotiations with Iran to end the war. Meanwhile crude oil prices have surged past $104 per barrel, adding more capital strain to cannabis operators. 

Why it matters: Nabis, one of the largest cannabis distributors in California, Nevada and New York, was hit with a 33% increase in fuel prices within a quarter. The San Francisco-based company this year projects to spend $2 million on gas, a steep 60% increase from $1.25 million in 2025. 

In New York it’s forced to take circuitous routes avoiding the New Jersey Turnpike, a tollway into Manhattan and other parts of the state, because the path violates federal interstate marijuana transportation laws. In California, the average price of gas April 12 was $5.894, the highest in the country, according to AAA.

What they’re saying: “It feels like playing a video game when the level of difficulty just increases a bit and you have to think of new ways to address problems,” founder and CEO Vince Ning told Cultivated.

Read the full story. 

On our debanking issue with Chase:

LIT ALERTS*
The East Coast 8th Index | April 2026

The April 2026 update of The East Coast 8th Index is in and the markets continue to experience significant price compression across all tracked states.

The general trend, as expected, is one of stabilization at lower price points.

• In New Jersey, the most expensive market, its price has corrected significantly from its July high of ~$45.00. The price has stabilized since December, hovering just under the $39.00 mark.

• In New York the downward trajectory continues after a brief "holiday bump" late in 2025. The state has officially broken the $38.00 floor, settling at $37.56 this month.

• Connecticut and Maryland continue to move in near-lockstep. Both experienced notable price drops between March and April. Maryland, in particular, saw a sharp downward turn this month, widening the gap between the mid-tier and the more expensive NY/NJ markets.

• Massachusetts remains the extreme outlier. At $23.53, an eighth in Massachusetts is roughly 39% cheaper than in New Jersey. Despite already being the "budget leader," the market has yet to find its absolute floor, showing a continued decline as we head into the 420 holiday.

*To learn more about Lit Alerts and get a special offer only available to Cultivated readers, visit litalerts.com.

• Oregon Gov. Tina Kotek signed HB 4142, requiring hospices, palliative care facilities, and residential health organizations to develop policies allowing registered medical cannabis patients to use cannabis on-site. The bill, which passed the House 39-3 and the Senate 20-8, takes effect January 1, 2027. Read more.

• Callie's Apothecary in Montgomery is on track to become Alabama's first operational medical cannabis dispensary, nearly five years after the state legalized medical marijuana in 2021. Three dispensary licenses have been issued, with up to nine locations expected statewide by summer, though advocates are pressing the state for a public education campaign to help patients navigate the registration process. Read more.

• New Jersey is opening a $15 million low-cost lending program for small cannabis cultivators and manufacturers, with applications opening April 20. Loans range from $100K to $1.5 million, with 5% of funds set aside for businesses in communities hit hardest by the war on drugs. Read more. 

• Maine lawmakers are debating a bill that would bring mandatory testing and seed-to-sale tracking to the state's medical cannabis program, but the fight is exposing a deeper problem: it's unclear whether the state even has the legal authority to require testing at all. Small cultivators and organic farmers are pushing back hard, warning that the proposed rules would put them out of business.

• Glass House Brands $GLASF and Vireo Growth $VREOF announced a joint venture combining their California dispensary operations, creating a 23-location retail network backed by a preferential supply agreement with Glass House. Vireo, which recently acquired 12 dispensaries and a home-delivery platform from Eaze, will hold a 50% stake alongside Glass House, with an option to buy out Glass House's interest after five years. Former Eaze CEO Cory Azzalino will serve as CEO of the JV. 

• After a 10-store pilot last year, Target obtained hemp edible licenses for every Minnesota location on April 1, making it the state's largest licensed hemp retailer. The move comes even as a federal ban on higher-potency hemp THC products is set to take effect in November. $TGT ( ▲ 3.17% )  Read more.

• Village Farms is testing potency range labeling on Pure Sunfarms Pink Kush flower in British Columbia, becoming the first company to show a THC range instead of a single percentage on dried flower in Canada's recreational market. The move is designed to better reflect natural variation in cannabis potency and follows the company's own published research on THC variability. $VFF ( ▲ 6.05% )  

The Bob Marley estate filed suit against Tilray in Delaware last month, alleging the company shifted licensing payment obligations for the Marley Natural brand to an empty corporate entity to avoid paying royalties. The Bob Marley estate terminated the deal after unpaid royalties hit nearly $13 million and is now seeking the remaining $11.3 million balance. $TLRY ( ▲ 1.03% )  

RYTHM cannabis products show up in DJ Khaled’s new music video, a sign of increasing normalization of cannabis beverages: $RYM ( ▲ 0.2% )  

United front: Trade organizations bridge the cannabis–hemp divide | GreenState

Editorial: New York’s pot problem | Albany Times-Union

📅 CULTIVATED CALENDAR
Upcoming Cultivated events that should be on your radar:
May 5-7 | Cultivated @ MJ Unpacked
May 28 | Midwest Cannabis Summit NEW DATE

“I made history when I pardoned 175,000 misdemeanor cannabis convictions, but the real goal was justice. We gave thousands of Marylanders a second chance,” Maryland Gov. Wes Moore said. “Now we have to build a system that delivers that kind of fairness from the start.”

On Friday, Jay, Jeremy, and Marc Hauser unpacked the news of the week, including if the industry should pay attention to Roger Stone’s tweets.

In case you missed it »

Cannabis Finally Has a Credit Tool That Works for Both Sides

Every other industry runs on credit. Retailers order inventory on terms. Suppliers extend net-30s to build relationships. The whole system moves because cash doesn't have to change hands at the moment the deal is made.

Cannabis operators have largely been shut out of that system — until now.

ReadyPaid is a B2B Buy Now, Pay Later platform purpose-built for cannabis and hemp. 

For buyers, it means up to six months to pay, predictable cycles, and the purchasing power to capitalize on big moments — like the 4/20 weekend ahead. 

For sellers, it means getting paid upfront while offering buyers the flexibility they want. No waiting. No risk. Up to a 45% increase in average order size.

The platform is backed by FundCanna, the leading cannabis financing company in the U.S., with nearly $250M funded to date.

If you're heading into 4/20 constrained by cash flow, there's a better way.

→ Learn more at ReadyPaid.com

sponsored

• Michigan cannabis sales hit $255.5 million in March, down 7.8% year over year but up 8.9% from February, per state regulators. Recreational sales drove nearly all of it, while the broader market has now posted back-to-back annual declines. Read more.

• A Travis County judge granted a temporary restraining order Friday blocking Texas state rules that took effect March 31 and effectively banned the sale of smokable hemp by changing how THC levels are calculated, with a hearing on a longer-term injunction scheduled for April 23. Read more. 

• The Retail Cannabis Council of Ontario is organizing a coast-to-coast boycott of Mastercard after the payments giant doubled its annual fee for cannabis retailers from $500 to $1,000 USD with no explanation, citing a "high-risk" designation the industry says is unwarranted given Canada's strict regulatory framework

KANHA is launching Dream, a sugar-free, doctor-formulated sleep gummy made with allulose, monk fruit, chamomile, and reishi, the brand's second product release in a week, a company spokesperson told Cultivated.

A new narrative review published in Cureus finds that cannabis policy in sports is shifting away from punishment and toward harm reduction, with the NFL, MLB, and UFC all loosening restrictions in recent years, even as WADA continues to ban THC in competition amid inconclusive evidence that it enhances performance.

A cheap, 3D-printed device could become the marijuana breathalyzer police have been waiting for | The Oregonian

North Carolina should choose order, not surrender, on cannabis | The Charlotte Observer 

The Real Cost of Cannabis Prohibition | High Times

Why Most Celebrity Cannabis Brands Flopped—And What The Winners Got Right | Forbes

📅 CULTIVATED CALENDAR
Upcoming Cultivated events that should be on your radar:
May 5-7 | Cultivated @ MJ Unpacked
May 28 | Midwest Cannabis Summit NEW DATE

“Who is holding up President Trump's order to reschedule marijuana?” Roger Stone, a political consultant and far-right celebrity of sorts who was instrumental in helping Trump first get elected in 2016 and has since been an advocate for cannabis reform.

Twitter tweet

• Massachusetts lawmakers unanimously passed a sweeping cannabis reform bill that doubles the personal possession limit from one to two ounces, shrinks the Cannabis Control Commission from five members to three, and raises the license cap per entity from three to six. It now heads to Gov. Maura Healey. Read more.

• Rural San Diego County residents are pushing back on a new county cannabis equity program that would allow outdoor cultivation and commercial operations across 28 unincorporated communities, warning of odor, traffic, and infrastructure impacts, reports The Coast News. The Board of Supervisors voted 3-2 in January for the least restrictive version of the plan, with a Planning Commission review set for April 10 and a final vote expected in June.

• Massachusetts' cannabis reform bill, which passed the House 155-0, would require the Cannabis Control Commission to create an anonymous tip portal for workers to report safety violations at licensed cannabis businesses, reports Axios. The Senate is expected to pass it Thursday before it heads to Gov. Maura Healey

• Vireo Growth acquired The Hawthorne Gardening Company from Scotts Miracle-Gro, picking up roughly $110 million in combined cash and net working capital as $SMG ( ▲ 5.77% ) exits the cannabis ancillary space. Scotts EVP Chris Hagedorn has been nominated to Vireo's board. $VREOF ( ▼ 6.02% )  

• Minnesota's Office of Cannabis Management awarded four organizations funding through its CanGrow grant program, which helps farmers enter or expand into cannabis cultivation. The office is also accepting applications for the next round, with a June 1 deadline. Read more.

How $10 Million Meant for Florida Taxpayers Ended Up in the Anti-Marijuana War | High Times

A decade after legalization, pot regulations need reform | The Boston Globe

📅 CULTIVATED CALENDAR
Upcoming Cultivated events that should be on your radar:
May 5-7 | Cultivated @ MJ Unpacked
May 28 | Midwest Cannabis Summit NEW DATE

“While some in Harrisburg claim we can’t afford to make bigger investments in our kids, public safety, and our economy, know this:

If we legalized and regulated adult-use cannabis, we’d bring in $1.3 BILLION in revenue for our Commonwealth over the first five years,” Pennsylvania Gov. Josh Shapiro said, who continues to beat the drum for cannabis reform in his state.

Tax season is complicated for any business — but for cannabis operators, it's a different level entirely. In this episode of Banker on Call, Shield Compliance President Tony Repanich sits down with Jill Scher, Managing Director of Tax & Business Services at CBIZ, to break down the real decisions licensed operators need to make right now.

In case you missed it »

Cannabis Finally Has a Credit Tool That Works for Both Sides

Every other industry runs on credit. Retailers order inventory on terms. Suppliers extend net-30s to build relationships. The whole system moves because cash doesn't have to change hands at the moment the deal is made.

Cannabis operators have largely been shut out of that system — until now.

ReadyPaid is a B2B Buy Now, Pay Later platform purpose-built for cannabis and hemp. 

For buyers, it means up to six months to pay, predictable cycles, and the purchasing power to capitalize on big moments — like the 4/20 weekend ahead. 

For sellers, it means getting paid upfront while offering buyers the flexibility they want. No waiting. No risk. Up to a 45% increase in average order size.

The platform is backed by FundCanna, the leading cannabis financing company in the U.S., with nearly $250M funded to date.

If you're heading into 4/20 constrained by cash flow, there's a better way.

→ Learn more at ReadyPaid.com

sponsored

• Baltimore has collected more than $35 million in cannabis tax revenue earmarked for communities harmed by the drug war, but a fight between City Hall and the independent reparations commission over who controls the money means not a dollar has reached residents — and the first disbursements may not come until early 2027, reports the Baltimore Beat. 

• The DEA confirmed in a new court filing that the cannabis rescheduling appeal process "remains pending" with no briefing schedule set, despite Trump's December executive order directing the attorney general to move cannabis from Schedule I to Schedule III "in the most expeditious manner," reports Marijuana Moment. It's the fifth consecutive status report with essentially identical language, as the agency continues to stall on a process its own administrator pledged to make a top priority.

• California cannabis companies are pushing back on a state bill that would cap THC beverages at 10mg, telling lawmakers that products above that threshold account for 93% of the category's $79 million in annual sales. The coalition, which includes Stiiizy and Pabst Labs, argues the cap would effectively kill the beverage segment and hand business to the illicit market. Read more.

Weedmaps is pulling its stock off Nasdaq, with shares expected to stop trading on the exchange around April 24 and move to OTC markets. The company cited the cost and hassle of staying listed, thin trading volume, and restrictions that a Nasdaq listing places on its ability to serve cannabis clients. $MAPS ( ▼ 3.85% )  

The Texas Hemp Business Council and a coalition of hemp farmers and retailers sued the state Tuesday, seeking to block new regulations that effectively ban THCA flower and pre-rolled joints by applying a "total THC" standard that industry groups say state agencies had no authority to create. The rules, which took effect March 31, also hike manufacturer license fees from $250 to $10,000 per facility and retailer registration fees from $150 to $5,000. Read more.

Dispensary software platform Sweed named Brad Cross as its new chief revenue officer, tapping the SaaS veteran to lead sales, marketing, and customer success as the company pushes deeper into the U.S. cannabis market. Cross most recently served as CRO at fintech firm Upflow. Read more.

The Right Schedule for Marijuana (Among Other Drugs) Does Not Yet Exist | Emory Legal Studies 

Hemp THC industry braces for federal changes that would ban most drinks and edibles | CBS News

📅 CULTIVATED CALENDAR
Upcoming Cultivated events that should be on your radar:
May 5-7 | Cultivated @ MJ Unpacked
May 28 | Midwest Cannabis Summit NEW DATE

HEMP
Edible Arrangements opens a brick-and-mortar store

What happened: The parent of Edible Arrangements is opening its first brick-and-mortar location dedicated to hemp-based THC offerings despite the looming November hemp ban. 

The store, located in Atlanta’s Inman Park neighborhood, is set to open Thursday, roughly a year after Edibles.com entered the market with an expansion plan to deliver and sell delta-9 beverages, gummies, and drink enhancers nationwide.

What they’re saying: Edibles.com executive vice president and general manager Thomas Winstanley told Cultivated on Tuesday it took time to work out some design concerns and the final location.

“We prioritized finding the right space, in the right location, with strong proximity to our core customer base, which naturally extended our timeline,” he said. 

“Rather than rushing to market, we focused on getting the experience exactly right.”

Why it matters: The launch could signal some company optimism amid negotiations on Capitol Hill to reach some compromise on the sale and production of intoxicating hemp products before the Nov. 12 deadline.

The store was originally pegged to rollout last summer, company officials told me about a year ago.

The flagship Atlanta store was intended as a prototype franchising model to expand the concept to other markets, Winstanley told me about a year ago.

“Our goal over time is to be able to make this more accessible, where entrepreneurs who are interested in coming into the category can come in, whether through licensing or franchise model, and open up a storefront where they sell these products under this banner,” he said at the time.

Retail was always a long-term strategy to expand product access, he reiterated Tuesday.

“Having spent years developing dispensaries in highly regulated markets, this was a unique opportunity to build a retail experience with fewer constraints,” the former chief marketing officer of Theory Wellness told Cultivated.

What’s next: You can expect Georgia-based Edible Brands, which launched its e-commerce marketplace in March 2025, to leverage the financial strength and resources of Edible Arrangements, a powerhouse that generates about $500 million in annual sales from its bouquet-shaped fruit baskets.

Winstanley told me last year the subsidiary was working with lobbyists and trade groups to help influence policy.

“We know at the end of the day, that's all we can do. You can't control policy, but you can do your best to influence it,” he said at the time.

For more from Winstanley, check out his appearance on Cultivated Live last year.  

-CC

“I support anybody making their own decisions,” Rep. Thomas Massie (R-Ky.) told the Cincinnati Enquirer when asked about recreational cannabis. 

“The state of Kentucky should be deciding the marijuana laws for the state of Kentucky, not the federal government.

In the wide-ranging interview with the newspaper, the congressman who has clashed with President Trump over the release of the Epstein files, also said he prefers “medicated margaritas.” 

In the inaugural episode of our new segment in partnership with the Canadian Securities Exchange, Jay sits down with Zachary George, CEO of SNDL — one of cannabis's most consequential and unconventional public companies. $SNDL.CSE ( ▼ 0.96% )  

Watch the full episode.

• A proposal from the Nebraska Department of Agriculture to restrict the sale of various hemp-derived THC edible products drew criticism from the industry and Democratic State Sen. John Cavanaugh, who is running in a congressional primary. The language would classify foods with cannabinoids as “adulterated” under the Nebraska Pure Food Act, effectively barring them from sale, reports KETV in Omaha.

• A bill is expected to pass the Massachusetts legislature this week that would overhaul the Cannabis Control Commission. The legislation would reduce CCC members from five to three, allow retailers to double locations to six and void the requirement of vertically-integrated medical cannabis companies, a structure that overwhelmingly favors large, multistate operators while nearly eliminating small, independent businesses from the market, reports WBTS-TV. 

• Ohio Judge Jeremiah Ray halted the implementation of a new Ohio law prohibiting intoxicating hemp products that was set to go into effect on March 20. The temporary restraining order, according to Cannabis Business Times, freezes law enforcement efforts of Senate Bill 56, which was signed by Republican Gov. Mike DeWine in December. 

• West Virginia Treasurer Larry Pack will release $38 million in dormant medical cannabis funds under the state's original 2021 law, splitting the money between the Office of Medical Cannabis, substance abuse treatment, and law enforcement. The move comes days after Gov. Patrick Morrisey vetoed a bill that would have redirected the funds elsewhere. Read more.

In the run-up to 4/20, Portland-based Grön, which was acquired in a January blockbuster deal by Oregon edibles competitor Wyld, released PIXLZ, a Nerds Gummy Clusters-like candy. It’ll be available at licensed cannabis retailers in New York and Arizona.

For more on the Grön and Wyld deal, read Lit Alerts’ exclusive insights on how the deal shakes up in New York, New Jersey, and other markets.  

Grown Rogue reported a Q4 net loss of $2.1 million on $8.8 million in revenue. For the full year, the Oregon-based multistate operator posted net income of $3.2 million on $32.4 million in revenue, up 22% year over year. The company guided 2026 revenue to $32-$35 million and Adjusted EBITDA to $6-$8 million, and set 2027 targets of $50-$58 million in revenue and $14-$18 million in Adjusted EBITDA as New Jersey, Illinois, and Minnesota operations scale. $GRUSF ( ▲ 2.75% )  

New York City-based Rudick Law Group, a cannabis law firm, has added Juliana Salazar, a Columbia-based attorney with a decade of experience in corporate law, market-entry strategies, compliance, operations and entrepreneurship. More on LinkedIn.

A new University of Georgia study published in the American Journal of Health Economics found that dispensary openings in legal states were tied to significant reductions in opioid outcomes, including smaller opioid prescriptions for patients where medical cannabis was available. Researchers reviewed insurance claims from 2007 to 2020. Read more.

Is the high over for hemp drinks? | The Wall Street Journal 

Is recreational cannabis still considered 'taboo' 5 years after legalization in New York? | Spectrum News

Medicare dips a toe into hemp for seniors | Axios

📅 CULTIVATED CALENDAR
Upcoming Cultivated events that should be on your radar:
May 5-7 | Cultivated @ MJ Unpacked
May 28 | Midwest Cannabis Summit NEW DATE

"North Carolina’s cannabis marketplace has been characterized as a 'Wild West' landscape. North Carolinians – including our youth – can legally purchase intoxicating hemp-derived products devoid of any potency limits, standardized laboratory testing, or clear labeling requirements, raising significant and widespread concerns regarding consumer safety, youth access, and public health," said the April 2 report from North Carolina's Advisory Council Cannabis, which recommended a regulator structure for the state's hemp market, while also legalizing cannabis. 

Governor Josh Stein called for legalization following the report's release.

LIT ALERTS*
📈 March 2026 New York Brand Power Rankings

Today we're featuring the Updated March 2026 Brand Power Rankings for the New York cannabis market, calculated by the Lit Alerts team based on March 2026 data.

To calculate this ranking, a weighted index is used that integrates estimated unit sales and estimated dollar value to assess overall demand, while factoring in share of shelf, distribution points, and the frequency of product discounts.

Here’s what the New York Brand Power Rankings show:

• Stability remains at the very top of the list. Despite the shifting landscape below them, the heavy hitters are successfully defending their territory.

  • ayrloom holds firm at the #1 spot. Their dominance in New York remains unchallenged this month.

  • MFNY solidifies its reputation for consistency, maintaining its #3 ranking.

  • Dank. by definition. and Off Hours both held onto their #5 and #6 spots

• Several brands made aggressive double-digit or high-single-digit leaps, likely driven by expanded retail footprints or successful new product drops.

  • Curaleaf Brands (Anthem, Find, & Select) had a powerhouse month. Anthem jumped 6 spots to #28, Find surged 6 spots to #14, and Select moved up 6 spots to #18.

  • 1937 was the highest jump of the month, skyrocketing 8 spots to #33.

  • To The Moon wasn't far behind climbing 7 spots to land at #38.

  • 1906 rebounded well, climbing 5 spots to #39.

• This was a relatively quiet month for new entrants in the Top 50.

  • Umamii #46 and Jetty #47

*To learn more about Lit Alerts and get a special offer only available to Cultivated readers, visit litalerts.com.

• Washington Mayor Muriel Bowser proposed legislation that would allow local breweries to partner with medical cannabis dispensaries to produce THC beverages, in the hopes of clearing an ongoing manufacturing bottleneck in the district's medical cannabis market. 

• A bill that would have legalized consumption lounges in Maine failed to survive the state's House of Representatives, which voted to kill the measure on Monday. 

• Maine's legislature is days away from considering yet another attempt to require the state's medical market to submit to lab testing. Maine remains one of the few legal state markets with limited testing requirements – only adult-use producers must submit to them. 

• The Massachusetts legislature approved a bill that would double the legal limit for possession up to 2 oz., while also narrowing the state's Cannabis Control Commission from five to three members, while also reshaping the commission's authorities. 

• Green Thumb Industries and Cresco Labs are among those who were granted conditional licenses in Texas' medical cannabis market expansion on April 1. In terms of MSOs, the former two companies join Trulieve and Verano who were granted preliminary approval last December. 

• Vireo Growth announced a new partnership with minority-owned Ace Ventures to enter the state's medical market.

Seven years after Illinois legalized adult-use, the final applicant who sued the court after missing out in the license lottery had their day in court last week, marking the beginning of the end for a years-long process that more and more state markets face when launching legal cannabis.

Local View: Minnesota can learn from others in decriminalizing cannabis | Duluth News Tribune

A desperate North Texas mom turned to CBD to stop her son's seizures. She worries changing cannabis laws could cut off access. | WFAA

The Rolling Paper King You've Never Heard of Beat Zig-Zag to the Pop-Up Booklet | High Times

📅 CULTIVATED CALENDAR
Upcoming Cultivated events that should be on your radar:
May 5-7 | Cultivated @ MJ Unpacked
May 28 | Midwest Cannabis Summit NEW DATE

IDAHO
Idaho takes aim at medical cannabis - a Red State phenomenon

A contentious battle is underway in Idaho to fight medical cannabis legalization efforts through a November ballot measure, emblematic of Red State firewalls that have stymied national industry growth for more than a decade.

Through April 4, the Natural Medicine Alliance of Idaho has collected more than 77,000 unverified signatures from registered voters, according to its website. 

Under state law the campaign must gather 70,725 signatures from Idaho voters and at least 6% of registered voters in 18 of 35 legislative districts, according to NORML.

Though the signatures have yet to be verified, Republican lawmakers in the state Senate last week adopted a resolution urging voters to not sign the petition for the Idaho Medical Cannabis Act, which would permit patients with a doctor’s recommendation to buy medical marijuana from state licensed operators.

The alliance is collecting signatures at regional offices in Boise, Twin Falls, and Idaho Falls, as well as permanent locations and events throughout the state. 

The Senate resolution, drawing on outdated tropes and fear mongering, states medical cannabis legalization would have “devastating impacts on Idaho children and their families” and "effectively legalize widespread recreational use.”

The policy position and other recent anti-cannabis legislation in Idaho are against the will of voters. 

Last year Republican Gov. Brad Little signed legislation imposing mandatory minimum penalties for first-time possession, one of only a few states that criminalize it.

Lawmakers in 2025 also passed a bill that will have Idaho voters in November weigh in on a November ballot question that would prohibit “any future voter-initiated ballot questions legalizing marijuana.” 

“Lawmakers are aware that their hostility toward medical cannabis is out-of-step with most voters,” NORML’s Deputy Director Paul Armentano said in a post last week on the organization’s website. “That is why politicians are seeking to remove voters’ voices from the equation.”

In Idaho, Republicans control the offices of governor, secretary of state, attorney general, and both chambers of the state legislature.

According to a late October statewide poll, 83% of Idahoans support legalizing medical cannabis access, The Maijuana Herald reported. 

-CC

Cannabis Finally Has a Credit Tool That Works for Both Sides

Every other industry runs on credit. Retailers order inventory on terms. Suppliers extend net-30s to build relationships. The whole system moves because cash doesn't have to change hands at the moment the deal is made.

Cannabis operators have largely been shut out of that system — until now.

ReadyPaid is a B2B Buy Now, Pay Later platform purpose-built for cannabis and hemp. 

For buyers, it means up to six months to pay, predictable cycles, and the purchasing power to capitalize on big moments — like the 4/20 weekend ahead. 

For sellers, it means getting paid upfront while offering buyers the flexibility they want. No waiting. No risk. Up to a 45% increase in average order size.

The platform is backed by FundCanna, the leading cannabis financing company in the U.S., with nearly $250M funded to date.

If you're heading into 4/20 constrained by cash flow, there's a better way.

→ Learn more at ReadyPaid.com

sponsored

• A commission appointed by North Carolina Democratic Gov. Josh Stein issued an interim report recommending the regulation of THC products for adults rather than criminalization, Marijuana Moment reported. North Carolina is one of only eight states without medical or adult-use marijuana legalization.  

• Minnesota's Office of Cannabis Management has reopened the application window for low-dose hemp edible business licenses after processing more than 2,200 applications in October, according to KSMV-TV, a Fox affiliate based in Eden Prairie, Minn. Regulators have approved more than 1,500 hemp business licenses in the state, where the hemp product movement took root more than three years ago.

• Virginia Democratic Gov. Abigail Spanberger, who has publicly supported cannabis legalization and adult sales, has until April 13 to approve a bill that will start business licensing July 1 and sales as early as November, a rather short window for a turnaround.

The Classic Events, which links industry networking at consumption-friendly golf courses, has announced its lineup for the year, highlighted by some of the nation’s most historic and prestigious venues.

Toking tour stops include:

• July 13: The Ohio Classic at NCR Country Club, host of the U.S. Women’s Open, U.S. Senior Open, PGA championship and United States Golf Association events.

• Sept. 3: The New York Classic at Bethpage State Park Golf Course, often considered the top public golf course in the country and host of the Ryder Cup.

• December 1: The Vegas Classic annual kickoff event in partnership with MJBizCon.

Other events are planned in August at Cog Hill Golf & Country Club in the Chicago suburb of Lemont and The Cali Classic will return in November in Orange County at the Waldorf Astoria Monarch Beach in Dana Point.

“Cannabis has historically been shut out of spaces like these private clubs, championship venues, legacy institutions and parts of society where deals get done,” event founder James Keyes told Cultivated. “We’re now seeing the shift in real time where cannabis operators and executives are not only being welcomed, but hosting high-level business and philanthropy in these environments.”

The business is more than a passion project for the Ohio entrepreneur who survived a brain tumor.

“I built The Classic Events with a purpose component, each event supports brain health and research initiatives, tying together business, community and cause in a way that resonates with this industry,” Keyes said.

📅 CULTIVATED CALENDAR
Upcoming Cultivated events that should be on your radar:
May 5-7 | Cultivated @ MJ Unpacked
May 28 | Midwest Cannabis Summit TICKETS

HEMP
Capitol Hill staff receptive to a hemp THC fix — but the Nov. 12 deadline is closing fast

Photo by Adam Michael Szuscik on Unsplash

Jim Higdon, co-founder of Cornbread Hemp Co., provided some insights on social media on the ongoing high stakes negotiations on Capitol Hill regarding the future of hemp-derived THC products.

“We’ve seen an extraordinary amount of understanding among staff looking to help find a solution to the crunch that we're under,” he said in a LinkedIn video post.

He highlighted the Centers for Medicare and Medicaid Services (CMS) signaling approval of 3 milligram hemp-based THC products for its newly launched program that allows up to $500 in hemp-derived CBD and THC products covered by Medicare and Medicaid.

Higdon also touted lobbying efforts to raise that threshold up to 5 milligrams in THC beverages in a three-tiered distribution system that’s championed by the alcohol industry, distributors and regional liquor store chains since it essentially mimics the system for U.S. alcohol sales.

“We’re going to need help,” he said “but we’re going to get this done.”

The clock is ticking with a looming federal prohibition on most intoxicating hemp products set to take effect Nov. 12.

Higdon had some extra incentive to mention the CMS sign-off.

His Louisville, Ky.-based company last week announced it secured an exclusive contract with Alliant Purchasing to be the exclusive hemp product supplier for the landmark Substance Access Beneficiary Engagement Incentive (BEI) administered by CMS. 

The program, which launched April 1, faces legal challenges.

-CC

• U.S. Attorney General Pam Bondi is out, ending a controversial one-year tenure as President Donald Trump’s law enforcement czar, Washington Post first reported. Personal Trump lawyer and Deputy Attorney General Todd Blanche is in. At CPAC last week Blanche bragged about the mass firings of Justice Department personnel involved in the Trump criminal prosecution and touted the assassinations of purported drug cartel members carried out by U.S. agencies. “We are now treating terrorists, and treating these narco dealers as they should be treated. We’re blowing them up,” he said. It remains to be seen how Blanche’s ascension will affect rescheduling.

• Colorado’s Democratic Gov. Jared Polis signed a bill authorizing hospitals and other state health care facilities to allow terminal ill patients to use cannabis on-premise but the legislation also carries an opt-out option for properties, Marijuana Moment reported. Opponents argue that undercuts the spirit of the law. Though not the same, commercial cannabis optouts by municipalities has been one of the largest barriers to market growth, and are particularly widespread in California and New York. 

A Michigan trade group has filed another lawsuit aiming to overturn a 24% cannabis wholesale tax implemented in January.

The Michigan Cannabis Industry Association (MCIA) and other plaintiffs filed the suit against the Michigan Department of Treasury, claiming the tax is unconstitutional, WZZM-TV in Grand Rapids, Mich. reported.

The latest challenge contends:

• The levy is a "disguised sales tax."

• It supersedes the state’s maximum 6% sales tax rate.

• The tax violates the equal protection clauses of the U.S. and Michigan constitutions by treating marijuana retailers and consumers differently from other tax payers. 

"This is a tax-on-tax ploy that is resulting in consumers getting hit with an effective sales tax rate that is higher than what's legal," MCIA spokesperson Rose Tantraphol told WZZM. "The State of Michigan can call this a wholesale tax but, effectively, this acts as a sales tax on Michigan consumers."

Michigan cannabis sales in January fell nearly 16% from December, the largest percentage decline over that period since adult-use sales launched in December 2019, though January typically sees big sales drops annually.

The trade group last year filed a lawsuit centering on the constitutional process of creating the  24% wholesale tax, a case still pending. 

The tax is projected to generate more than $400 million to rebuild Michigan roads.

Cannabis policy expert Keegan Gendron has been hired as a public affairs manager at Ascend Wellness Holdings amid a tumultuous time for the vertically-integrated New Jersey-based company. $AAWH.U.CSE ( 0.0% )  

“It’s an exciting and chaotic time in the cannabis world (when is it not?), and I’m eager to continue navigating the legislative and regulatory challenges of the industry that has captured my intellect and my heart,” he said in an April 1 LinkedIn post. 

Gendron has been a policy analyst, research associate and consultant since 2020, with prior roles at Cannabis Public Policy Consulting, Weedmaps, and Consumers Energy, according to his LinkedIn profile.

He assumes the role with Ascend embroiled in a few notable lawsuits.

The multistate operator, along with eight others, has been accused of price rigging in Ohio and limiting product availability from smaller, independent suppliers at stores.

The Feb. 5 complaint brought by the State of Ohio and its attorney general alleges the companies:

• Used reciprocal supply agreements in different states, thereby reducing competition among themselves while preventing other brands shelf space.

• Exchanged non-public information on promotions and terms with non-MSO suppliers.

• Implemented discriminatory supply arrangements and promotional terms that favored each other, violating Ohio’s antitrust laws. 

On Monday the U.S. Equal Employment Opportunity Commission (EEOC) sued Ascend citing sexual harassment and claimed its Collinsville, Ill. operations manager and other male employees continually harassed female employees, including touching, sexual comments and advances, requests for sexual relations, and comments about the appearances and bodies of female employees and customers. 

According to the EEOC, several female employees complained to Ascend’s human resources personnel about the harassment, but the company failed to act. At least one woman was forced to resign because the environment was intolerable, the EEOC said.

The allegations stem from as early as February 2021.

📅 CULTIVATED CALENDAR
Upcoming Cultivated events that should be on your radar:
May 5-7 | Cultivated @ MJ Unpacked
May 28 | Midwest Cannabis Summit TICKETS

TEXAS
Smokable hemp takes a hit in Texas

Photo by Daniel Lloyd Blunk-Fernández on Unsplash

Individual states continue to implement more hemp restrictions and all-out product bans as looming federal prohibition on most intoxicating hemp products is set to take effect Nov. 12.

In Texas, a ban on smokeable hemp products was enacted March 31 though market watchers are unsure how enforcement will play out, particularly given the proliferation of online sales and convenience store retailers.

Possession of hemp flower is also legal for Texas consumers, adding another challenge to enforcement efforts.

Flower products like pre-rolls, according to the Houston Chronicle, are estimated to account for 25% to 40% of the total legal hemp market in Texas, which has become one of the nation’s largest markets for retail and production of hemp-derived THC products.

Litigation is expected, according to Axios Houston, with arguments likely challenging the authority of the Department of State Health Services implementing THCA thresholds, a move that wasn’t limited by Congress or the state legislature.

The Texas Hemp Business Council, the state’s premier trade group that spent years lobbying for consumer access, broader business opportunities and nongovernment intervention, is expected to file a lawsuit, Axios reported.

What they’re saying: “It is certainly misguided that the government, whether it's lawmakers or regulators, thinks that they are going to pass these rules and expect that the product is simply going to disappear from Texas,” Heather Fazio, director of the Texas Cannabis Policy Center, said to the Houston Chronicle. “Where there's a demand, there's always going to be a supply.”

Following the trend: Several other states are weighing or have approved new hemp laws and regulations, with recent developments including:

• New Jersey Gov. Mikie Sherrill signing a bill extending the deadline on hemp drink THC limits and multi-serving containers, per Politico Pro.

• The Missouri Senate Tuesday night, according to hoodline, approved a House bill that would outlaw most intoxicating hemp products and tightly limited locations approved to sell low-dose THC offerings. The legislation, slated for enactment Nov. 12, heads back to the House. 

State and municipal restrictions have primarily covered inhaled hemp products and concentrates, with loopholes and allowances for beverages, a carve out championed by several national drink brands, the alcohol industry and regional liquor store chains. 

-CC

“Your neighborhood drug dealer is finally back in business,” Texas cannabis attorney Susan Hays told the Houston Chronicle, referencing the state’s newly enacted ban on smokeable hemp products.

Vireo Growth Inc. announced the closure of its $47 million acquisition of Eaze Inc., providing a major expansion for the Minneapolis-based company in California, Florida, and Colorado. $VREO.CSE ( 0.0% )  

Eaze Technologies, its predecessor once valued at nearly $700 million when it was donned “the Uber of weed,” filed for Chapter 7 bankruptcy last year and planned to wind down operations. (Eaze was also notably part of Silicon Valley’s opening sequence.)

After a rebrand and $10 million cash infusion, it changed the company name to Eaze, and hired some 1,100 employees in California, Colorado, and Florida, where it has delivery operations and 65 retail locations, according to its website. It’s Florida’s 6th largest dispensary chain with 39 stores.

Under the deal, former Eaze CEO Cory Azzalino will lead California operations for Viero’s wholly-owned subsidiary.

Federal judge Trevor McFadden denied a request from a group of marijuana prohibitionists aiming to block a new program that would allow up to $500 in CBD products covered by Medicare and Medicaid.

The lawsuit, filed by Smart Approaches to Marijuana (SAM) and nine other anti-cannabis groups, is scheduled to be heard on April 20 - the unofficial high holiday, Marijuana Moment reported. 

The federal rebate program, which launched April 1, restricts smokeable hemp products, synthetics and other products with more than 3mg or 0.3% THC based on the 2018 Farm Act.

Cultivated reported last week the Centers for Medicare and Medicaid Services (CMS) released new regulatory guidance related to Medicare CBD and other cannabinoid coverage for seniors.

📅 CULTIVATED CALENDAR
Upcoming Cultivated events that should be on your radar:
May 5-7 | Cultivated @ MJ Unpacked
May 28 | Midwest Cannabis Summit TICKETS

NEW YORK
🎂 Happy 5th cannaversary New York

Photo by engin akyurt on Unsplash

New York Gov. Kathy Hochul on Tuesday touted several milestones on the state’s five-year anniversary of passing adult-use cannabis sales, including the issuance of 57% of licenses to women-owned businesses and 51% to minority-owned companies.

That’s a remarkable achievement in social equity, considering most social equity programs have failed applicants, license holders and individual markets.

Retailers have generated $3.3 billion in sales since the market’s launch in late 2022 with a sole retailer, Housing Works. 

Other notable milestones:

• 2,161 adult-use cannabis licenses issued

• 610 operational dispensaries

• 342 Conditional Adult-Use Retail (CAURD) licenses approved and 86% of these social equity licensees operational

“New York’s cannabis market is demonstrating that growth and equity are not mutually exclusive,”John Kagia, acting executive director of the Office of Cannabis Management, said in a press release. “With more than $3 billion in sales, a majority of licenses held by social and economic equity applicants, and a rapidly expanding retail footprint, the state is building a market that is both economically viable and intentionally inclusive.”

The state has invested $17 million to expand social and economic equity initiatives supporting entrepreneurs disproportionately impacted by prior cannabis enforcement. On the criminal justice front 200,000 marijuana-related convictions have been sealed and the state no longer has any individual incarcerated solely for a marijuana offense.

Combatting the illicit market and unlicensed retailers has been one of New York’s most pressing challenges. The state highlighted efforts to reign in offenders, including:

• 2,017 enforcement actions in 2025

• 579 illegal storefronts shuttered

• 581 properties padlocked      

Despite the achievements and market growth, which is propping up the industry nationwide, expansion has been curtailed over the years by dozens of lawsuits, from social equity qualifiers to a recent challenge of the state’s Metrc track-and-trace rollout amid widespread integration issues Cultivated has uncovered.

-CC

“Five years ago, New York committed to building a cannabis market rooted in equity, safety, and opportunity and today, that commitment is delivering real results,” New York Gov. Kathy Hochul said. “We are creating new pathways for small businesses while aggressively shutting down illicit shops that threaten public safety and undermine our legal market.”

• The State of Missouri is seeking a new track-and-trace software provider amid myriad problems highlighted by Department of Health and Senior Services officials against existing contractor Metrc in recent bidding documents, the St. Louis Post-Dispatch reported.

• Cy Scott, CEO and co-founder of Seattle-based cannabis data provider Headset, has launched a new substack newsletter “where I break down what’s actually happening in cannabis, backed by real data,” he said in a Monday X post to followers. He also promised to “say the things people usually avoid saying” about the industry, both good and bad. That’s a refreshing take and one we’ll monitor.

• Dispensary, an Iowa hemp and CBD retailer that was suspended for 30 days in 2023 for noncompliance, has closed its two Des Moines locations, citing the state’s restrictive laws and regulations regarding hemp-derived THC, Des Moines Register reported.   

• Protestors lined the Mississippi Capitol Monday, urging lawmakers to override Republican Gov. Tate Reeves’ vetoes on two bills that would have expanded medical marijuana access to terminal patients and ease restrictions, including the removal of  THC potency limits on certain products, extending caregiver registry cards to two years and eliminating a mandated six-month follow-up visit, according to WLBT-TV in Jacksonville, Miss.

🥐 Join Us in Atlantic City: Cultivated @ MJ Unpacked

We’ll be at MJ Unpacked this May at the Hard Rock Atlantic City — and we want Cultivated readers there with us.

When you register using our promo code, you’ll get:

• 20% off your ticket by using cultivated20 at check out

• An invite to a Cultivated readers-only breakfast

• Coffee, conversation, and connections with operators, founders, and investors

The breakfast is sponsored by Aquinnah Capital Partners and will be a relaxed kickoff to the event with the Cultivated community.

👉 Grab your discounted pass + breakfast invitation

We hope to see you there.

Judson Hill, Georgia market president for Fine Fettle, joined Cultivated Live Tuesday to break down the potential implications of Senate Bill 220, which would expand products and ease patient access.

More specifically, it would allow vapes products, replace the 5% THC cap with a 50% THC cap, and open the program to more qualifying patients. 

Republican Gov. Brian Kemp has until April 2 to sign off on the bill in a relatively short legislative session for the state, which hasn't helped medical marijuana policy advancements the last several years.   

“In Georgia the legislative session is pretty condensed, it’s just Q1 of each year,” Hill told Cultivated's Jay Rosenthal.

Check out the full interview here for more insights on the pending legislation, what it means for the market’s 35,000 patients and the company’s expansion plans. 

In case you missed it »

A group of cannabis businesses in Michigan have filed an amended lawsuit claiming the City of Grand Rapids and certain officials tried to extort millions of dollars and threatened licensing.

The companies, Fluresh, Ascend Cannabis, High Profile, and Skymint Cannabis, claim the state’s social equity program was presented as voluntary but license holders were coerced into paying millions into the program, which diverted funds to a nonoperational nonprofit, MLive reported.

The suit also claims the nonprofit, Seeding Justice Grand Rapids, has collected more than $3 million from marijuana businesses earmarked for social equity initiatives.

Skymint is one of the state’s largest retailers with 17 locations. In 2023 most of its assets, including lease agreements for 21 dispensaries at the time, were sold in a receivership to Tropics LP, its largest lender. Skymint entered the receivership after defaulting on a $70 million Tropics loan in 2022.

Now Is The Time for Latinos In Cannabis To Flex Our Power (Op-Ed) | Marijuana Moment 

Cannabist is trying a back door bankruptcy | Cannabis Musings

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ECONOMICS
📊 U.S. cannabis sales projected to hit $30.5B in 2026

Photo by Y S on Unsplash

Whitney Economics forecasts U.S. cannabis sales in 2026 to increase to $30.5 billion, up 4.9% from 2025. 

The modest growth projection, fueled by retail expansion in New York and New Jersey, has been curtailed by widespread price compression in more established states like California, which saw sales dip to $3.9 billion last year, down 7.1% from 2024, despite unit sales increasing.

While industry headwinds persist, including a pull back in consumer discretionary mimicking the broader economy, growth is still a positive development in the choppy sector more defined by individual state markets than national assessments.

“This is a welcome rebound from just a year ago, when the U.S. legal cannabis market experienced its first year-over-year revenue decline in the legal regulated market’s history.”  founder and Chief Economist Beau Whitney said in a press release.

“The growth rates are still positive, just not as much as in previous years where we had forecasted 13.4% growth for 2026.” 

The Portland, Ore.-based cannabis consulting and data researcher estimated 2025 marijuana sales at $29.1 billion, down from $30.1 billion in 2024, or 3.3%.

Price compression in the U.S. cannabis sector is a rare anomaly in the current economic climate in which inflation, rising oil prices, tariffs and other factors are driving up the cost of goods and services in nearly every other sector.  

-CC

LIT ALERTS*
📉 Price compression has officially come for every format in New York

As part of our Empire State Pivot webinar series, the team at Lit Alerts team conducted a six-month analysis of average menu listing prices for the most popular package sizes.

Across the four most popular product categories in New York, vapes took the hardest hit from price compression, the 1g size dropped -6.76%, the steepest decline of any tracked package size. The 0.5g vape wasn't far behind at -5.14%, making vapes the most compressed category overall.

Flower also felt significant strain, particularly at the 7g weight (-7.09%), which was actually the single largest price compression across all formats and sizes. The 14g and 3.5g followed at -5.86% and -4.37% respectively.

Edibles (100mg) and pre-rolls experienced comparatively milder compression: edibles at -4.29% and pre-rolls ranging from just -0.88% (3.5g) to -2.95% (1g) — suggesting that format held pricing power better than the others during this period.

In short, mid-size flower and vape cartridges bore the brunt of NY's price compression, while pre-rolls — especially larger sizes — proved most resilient.

If you missed us on March 19th, watch the video recording, where Jay and Lit Alert’s Rick Bashkoff were joined by New York cannabis leaders Wyatt Harms of FLAMER and Coss Marte of CONBUD for a candid, data-driven conversation about one of the industry’s most pressing challenges: price compression.

*To learn more about Lit Alerts and get a special offer only available to Cultivated readers, visit litalerts.com.

• The city council in Long Beach, Calif. has advanced a proposal to issue special permits for the sale and consumption of cannabis at certain venues, including Queen Mary, convention center, and the Long Beach Amphitheater, a new outdoor waterfront music venue set to open June 6 with a performance by Snoop Dogg and others, the Long Beach Post reported.

• The recently concluded Seattle show was Marijuana Ventures’ 32 Interchange Remix, a B2B event that links brands with retailers, a business model akin to Hall of Flowers, which recently hosted their marquee expo in Ventura, Calif.   

• Mississippi Republican Gov. Tate Reeves, according to Marijuana Moment, vetoed bills that would have expanded product expansion and medical marijuana access to patients with chronic, terminal illnesses, while approving a measure for therapy research on psychedelic ibogaine.

The New Jersey Cannabis Regulatory Commission will be seeking a new leader. Dianna Houenou, the first chair of the state’s marijuana regulatory agency appointed in 2020 by then-Gov. Phil Murphy, confirmed to Politico she will step down April 10. “I feel it’s time for a new leader to take the helm and chart out the next steps in the agency’s story,”she told the Beltway media outlet. Her departure is the latest shake-up in the top ranks of state-run cannabis compliance departments.

Clint Kellum, who recently sat down for a Cultivated Q&A and Cultivated Live appearance, was appointed director of California’s Department of Cannabis Control in January. In late February, John Kagia was appointed Acting Executive Director of New York’s Office of Cannabis Management, following interim leader Susan Filburn, who took over after Felicia Reid’s abrupt December resignation.

Judson Hill, president of vertically-integrated Fine Fettle, will be joining Cultivated Live today at 10 AM Eastern to discuss Georgia’s evolving medical cannabis framework and regulations, which include proposals to ease access, allow vape products and raise THC caps to 50%, up from 5%, one of the lowest thresholds in the nation. The state’s legislative session ends April 2.  

Tune in on our YouTube channel.

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CULTIVATED EXCLUSIVE
For cannabis companies, a win on taxes, a loss on costs in 2026

Photo by Andy He on Unsplash

Writing today exclusively for Cultivated, Justin Leiby – Professor of Accountancy in the Gies College of Business at the University of Illinois and faculty in Residence at the Cannabis Research Institute at the University of Illinois – discussed how policy changes at the federal level would benefit – but also hamper – progress in the industry. 

The regulated cannabis industry confronts a strange moment: long-awaited federal tax relief may arrive in 2026 as tariffs offset the benefits. 

For years, operators have awaited the end of Section 280E, a federal tax rule that prevents cannabis businesses from deducting ordinary operating expenses like rent and payroll. Operators in Illinois estimate that 44% of 2024 operating expenses were nondeductible under 280E, according to regulatory disclosures. Using public financial filings, I estimate that 280E consumes 52% of operating profit. Assuming a 21% corporate tax rate, operators pay an $92 penalty for every $1,000 spent. 

Relief finally looks possible. A December 2025 executive order accelerated rescheduling, which would remove operators’ exposure to 280E. However, even if that happens, the benefit may not show up on the bottom line.

Read more:
For cannabis companies, a win on taxes, a loss on costs in 2026

During a House Energy and Commerce Subcommittee meeting, Congresswoman Alexandria Ocasio-Cortez said, “Our current drug scheduling system in the U.S. does little to deter drug abuse or overdose rates, but instead hinders research and unfairly criminalizes communities…” plus, “We need to invest in actual solutions like prevention, treatment, and recovery.”

Congressman Steve Cohen (D-TN) sent a letter last week to Attorney General Pam Bondi and DEA Administrator Terry Cole to ask what’s up on the process to reschedule cannabis. For good measure, the Congressman also wants to know why the DEA is missing deadlines for updates. More from Marijuana Moment.

On Friday, Chris Casacchia joined This Week in Cannabis Live regulars Jeremy, Jay, and AnnaRae Grabstein from High Spirits. During the program, Jeremy laid out the brutal macro environment for cannabis operators: rising input costs, declining wholesale prices, and tariff pressure all hitting at once.

In case you missed it:

• Long-time cannabis reporter and Managing Editor of Marijuana Moment Kyle Jaeger, announced on LinkedIn that he’s moving on from Marijuana Moment to take on the role of senior statehouse reporter at State Affairs. From the Cultivated team – we’re wishing Kyle the best. 

• Storz & Bickel’s co-founder Jürgen Bickel is moving on from his leadership of the company, which is owned by Canopy Growth. David Männer will be taking over the role of Managing Director. Bickel joined Cultivated Live last year, in case you missed it. $WEED ( ▲ 0.38% )  

• The California Department of Cannabis Control has posted a new job, which might be interest to someone in the Cultivated world: Senior Legislative Specialist. This person “serves as the lead federal policy analyst for the Department and is responsible for developing and advancing the Department’s federal legislative and intergovernmental affairs program…” Let’s hope there are some federal policies to analyze at some point soon.

New Mass Cannabis Business Owner Addresses The Threat Of Repeal | Talking Joints Memo

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Upcoming Cultivated events that should be on your radar:
May 5-7 | Cultivated @ MJ Unpacked
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CAPITOL HILL
🏛️ The US cannabis industry descends on DC

Photo by Caleb Perez on Unsplash

Driving the news: The U.S. cannabis industry has… a lot … of legislative priorities. But lately, there’s at least an attempt to channel it all in one direction under the US Cannabis Roundtable.

The trade group descended on Capitol Hill this week, meeting with 25 lawmakers from both parties.

The big takeaway? There’s a real push behind the CLIMB Act, recently reintroduced by Reps. Guy Reschenthaler (R-PA) and Troy Carter (D-LA). (And Carter held his own “crawfish and cannabis” event with some industry notables — where was our invite?)

Zoom in: While the path forward isn’t yet clear, and may not be until after the midterms shake things up, the bill would essentially normalize how cannabis companies interact with the broader financial system, and could even pave the way for U.S. companies to list on major domestic exchanges like the Nasdaq and NYSE. 

That would be a massive liquidity boost for companies that have recently relied on debt and distressed M&A to fuel growth. It would also open the industry up to vast swaths of institutional and retail investors, providing real fuel for growth, and a real story about momentum that cannabis has sorely lacked over the last few decades.

And the lobbying day wasn’t without its celebrities. Stacey Rusch, a Real Housewife and founder of SHAYO, a cannabis brand attended as well.

What they’re saying: “The CLIMB Act will help unleash the full potential of the American cannabis industry,” said USCR CEO Saphira Galoob. 

“Right now, Canadian cannabis companies can ring the bell at U.S. stock markets and access American capital markets while domestic cannabis businesses are largely locked out of even the most basic financial services. That's not a level playing field.”

And: “This legislation represents a common-sense step toward aligning federal policy with the realities of today’s cannabis industry,” said Curaleaf CEO Boris Jordan. 

“For too long, U.S. operators have been constrained by outdated regulations that limit access to capital and prevent participation in major exchanges. Advancing the CLIMB Act would open the door to deeper institutional participation and oversight, while supporting the long-term stability and maturation of the sector.”

But, but, but: Cannabis, write large, is still a house divided. 

On one side, you have regulated, state-legal cannabis under the US Cannabis Roundtable. And on the other, you have all sorts of hemp and alcohol companies that want to develop a distinct set of rules that favors their businesses.

While certainly relaxed regulations toward cannabis can help both, often the hemp and cannabis lobbying priorities compete with each other. And a looming November ban of intoxicating hemp-derived THC has placed a real shot clock on the hemp side’s efforts.

To that end, hemp trade groups along with wine and liquor distributors like Total Wine & More, have hired powerhouse lobbying firms in recent days to press lawmakers to develop federal rules regulating hemp-THC drinks more like alcohol, Politico reports.

The Wine & Spirits Wholesalers of America even developed a website to help educate lawmakers and consumers on the issue. 

The final word: Don’t ask us to give you odds on whether the bill will pass. We can’t trade for you. But it is true that in the absence of any news on the rescheduling front, narrow, industry-focused reform like the CLIMB Act is probably the best shot we have at cannabis reform in the legislature for now.

And it would also be wise for hemp and cannabis to get their house in order. Both sides of the industry want to sell THC. The goal should be a regulatory framework around THC itself, that doesn’t distinguish.

-JB

"If you look at other really specialized industries, not every bank in the country participates in those industries,” said Shield Compliance CEO Tony Repanich during our very first episode of Banker on Call. 

“This industry is really complex when you consider the state by state differences, the differences between state and federal law that you have to contend with from a BSA/AML (Bank Secrecy Act/Anit-Money Laundering) perspective. And so maybe you don't want every bank in the country doing this, you want banks that actually know how to do this and understand the industry that they're serving.”

Watch the full episode: 

• Missouri Attorney General Catherine Hanaway ordered 33 shops in her state to halt the sale of unregulated intoxicating hemp products. 

• The U.S. Army will no longer require a waiver to enlist from those with just one cannabis conviction. The military also increased its maximum enlistment age to 42. 

• Advocates may have failed to gather enough signatures to block SB 56 in Ohio, but local breweries have compiled at least 10,000 supporters urging lawmakers to override Gov. Mike DeWine's line item veto of a provision that would have allowed for a regulated hemp beverage market. 

• Advocates are reminding supporters in Virginia that even if the market launches Jan. 1, 2027, cultivators will still need time before there is enough product to fill store shelves. 

• The Teamsters Local 429 secured a new contract for workers at the Sunnyside Dispensary in Wyomissing, Pennsylvania after a 20-day strike.

🥐 Join Us in Atlantic City: Cultivated @ MJ Unpacked

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When you register using our promo code, you’ll get:

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• Coffee, conversation, and connections with operators, founders, and investors

The breakfast is sponsored by Aquinnah Capital Partners and will be a relaxed kickoff to the event with the Cultivated community.

👉 Grab your discounted pass + breakfast invitation

We hope to see you there.

• Cambria Investment Management announced it will liquidate the Cambria Cannabis ETF on or around April 24, with shareholders able to sell holdings through April 17, citing an ongoing review of its product lineup and another sign of retreating institutional appetite for cannabis-focused investment vehicles. $TOKE ( ▲ 0.96% )  

• Curaleaf announced the opening of a new dispensary in Cape Coral, Florida, marking the company's 72nd retail outlet in the Sunshine State. $CURLF ( ▲ 4.22% )  

• New York cannabis brand Jaunty is dropping a limited-edition Liquid Diamonds collaboration with The Waldos, the group credited with coining "420," ahead of April 20.

A federal judge denied a motion to dismiss a New York case after the Second Circuit ruled that The Constitution's dormant Commerce Clause applies to cannabis.

Debt dominates cannabis capital raises as equity deals dry up | MJBizDaily

Big Alcohol's Push to Save Hemp THC Drinks Comes With a Catch | High Times

'Little death bombs': Illegal cannabis farms poison California's forests; who's cleaning them up? | The Trinity-Journal

Is New York's cannabis business really flying high? | BBC

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Upcoming Cultivated events that should be on your radar:
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May 28 | Midwest Cannabis Summit TICKETS AVAILABLE NOW

CALIFORNIA DREAMIN’
Hall of Flowers points to a California cannabis rebound 🌼

Photo by Gérôme Bruneau on Unsplash

What a difference six months makes.

The energy was high, optimism was up and business conditions are improving in the world’s largest cannabis market.

That was the overwhelming, and somewhat surprising, consensus from dozens of brands, retailers and other industry insiders interviewed last week by Cultivated at Hall of Flowers’ signature event at the Ventura County Fairgrounds in Southern California.

The takeaways were a stark contrast to perceptions at their last California show in September at the Sonoma County Fairgrounds, where survivability dominated chatter. The B2B trade show, which links brands with retailers, is one of the few in the nation sanctioned by a local municipality and state regulators to sell product samples and consume on-site, a longheld hope in nearly every other state-legal market.    

Though deep challenges persist in California, including declining annual sales and a robust unlicensed market the state’s Department of Cannabis Control pegs at nearly $6 billion, the vibes were high in the sunny, coastal town.

Some other insights: Established and leading brands seem to be diminishing their booth presence at Hall of Flowers, with several opting for reps and executives walking the floor and networking. That shift has led to an increase in newer and unestablished brands showcasing and launching products.

Hall of Flowers CEO and co-founder Dani Diamond told Cultivated he was pleased with this year’s turnout, and teased a new venue in the Fall.

Hundreds of brands and retailers attended the show primarily to ink deals while others came to increase brand exposure and awareness. 

“Women represent a good portion of customers and buyers recognize that,” Krystal Kitahara, CEO and co-founder of Yummi Karma and High Gorgeous, told Cultivated. 

“They realize when you have a brand that speaks to women that’s pretty important. They control the purse these days.”

Read the full story exclusive to Cultivated subscribers here. 

"There was one thing down in the Grand Canyon years and years later that was a complicated story. By the way I legalized it in California. I did my initiative. It's the great irony, I was the worst spokesperson,” California Gov. Gavin Newsom said to Jonathan Martin of Politico.

Newsom was ham-handedly responding to whether or not he had ever smoked cannabis. Prior to the comments above, Newsom said that he was "scared straight" by his foster brother who he caught smoking from a "peace pipe" that Newsom was one of his prized possessions.

VANGST*
Your next hire is already out there. The question is whether you'll find them first.

Photo by Matt LaVasseur on Unsplash

Competition for qualified talent is intensifying at every level. Operators who move fast win. Those still relying on generic job boards and gut-feel screening are falling behind.

Vangst is the staffing platform built specifically for this industry. With more than 300,000 workers in their network and deep expertise in cannabis compliance, licensing, and badging requirements, they take the guesswork out of hiring at scale.

Here's what sets them apart: Vangst handles the entire workforce management stack — payroll, workers' comp, insurance, taxes, HR, and scheduling — so your team can focus on the business, not the paperwork. 

Their temp-to-hire model lets you evaluate candidates in the real work environment before making a full-time offer. And when you're ready to convert? No buyout fees after 360 hours worked.

Whether you're filling one role or building a full team, Vangst has the infrastructure to do it right.

→ Start hiring smarter at Vangst.com

*sponsored

• Whitney Economics is forecasting that U.S. legal cannabis sales will hit $30.5 billion in 2026, marking a rebound from 2025 sales which dipped for the first time since the first adult-use market launches in Colorado and Washington.

• Georgia lawmakers approved an expansion of the Peach State's medical cannabis program, which will allow for the sale of vapes and remove THC limits which are currently capped at 5%. The bill still needs a signature from Gov. Brian Kemp before it goes into effect. 

• Ohio's overhaul of cannabis hemp rules is apparently still in play. Local brewers are now urging the legislature to override a line-item veto from SB 56, which would have created a regulatory framework for THC beverages instead of outright banning the product category. 

• California is directing Prop 64 funds toward illicit market enforcement, with Mendocino County seeking a $4.5 million grant to rebuild its dedicated cannabis enforcement unit after years of chronic understaffing left illegal grows largely unchecked. Read more.

• Convenience Stores are well aware of the potential for cannabis sales amid the explosion of federally-lawful intoxicating hemp. The convenience industry wants in on hemp even as federal and state policy cracks down on the availability of the product.

• Cheech and Chong's Global Holding Co. announced a new partnership with Breakthru Beverage Group, which will expand the reach of Cheech and Chong's brand of hemp beverages. 

• Craft Beer BrewDog will relaunch under new ownership after Tilray recently acquired the embattled brand.

• Cornbread Hemp announced that it secured an exclusive contract with Alliant Purchasing to participate in Medicare's pilot CBD program.

Glass House Brands reported a $15.5 million loss on $38.9 million in revenue for the fourth quarter of 2025. The results were similar to that of the third quarter of the year, but the year end results showed a drop in revenue from $200.9 in 2024 to $182 in 2025, with a $16.5 million loss, compared to $5.7 million profit in 2024. $GLASF ( ▲ 1.18% )  

Jushi Holdings settled the first case in its Pennsylvania lawsuit against unlicensed operators selling illegal hemp-derived THC products outside the state's regulated market, with Revelry Supply agreeing to terms Feb. 11. The company says it will continue pursuing remaining defendants. $JUSHF ( ▼ 1.92% )  Read more.

Jay and Jeremy talked to Clint Kellum, the new Director of the California Department of Cannabis Control on Cultivated Live.

Have a watch 👇

Americans now use marijuana more often than alcohol. Is this the new sobriety? | Atlanta Journal-Constitution

A Fresh Start for Year 5 – OCM's New Executive Director | Joint Session

Cannabis in assisted living: What seniors and familiar need to know | Green State