The Cashless Cannabis Industry
BTCWires– The marijuana market is making a fortune in the U.S. Recent reports suggest that the marijuana business made over $60 million worth of tax revenue for the state of California in the first four months of recreational cannabis sales. A key note from this insight is that almost all of the money moving in via the sale of marijuana is in cash. it’s important to remember that the money moving through the marijuana financial system is almost 100 percent in cash. The reason for this is because private or government banks refrain from involving in money transactions related to marijuana sale, since it is still classified as a Schedule I illegal drug. In the wake of such contritions, the only option that the marijuana industry is left with is cash.
There are several drawbacks to this system. First off, it makes transactions increasing inconvenient. Further more, there is dire need for a safe environment safeguarding customers and employees. The scope for sanctioning a loan hole trying to pull of business model is compromised entirely. Lastly, tracking transactions raised via business of cannabis becomes a tough challenge for the government as well as businesses.
Cryptocurrency To The Rescue
The Crypto fraternity rises to the occasion at this juncture and looks for a tangible solution. Blockchain and cryptocurrency was recently identified as a potential cure for the marijuana industry’s financial difficulties at the recent Consensus 2018 conference in New York City. Several companies spoke on the subject and initiated solutions for achieving greater goals. The event sold more than $17 million tickets for the event held at the New York, Hilton Midtown.
New startups are investing their money in this idea. More companies which are involved with blockchain technology and cryptocurrencies are aiming for the marijuana industry. Some examples of the same are as follow:
- Cannabis social media hub MassRoots.
- Cannabis software company Webjoint
- Software company Greenstream