🌿 Kamala’s shifting stance, LeafLink banks on Dama acquisition, and rescheduling comment period comes to a close

Happy Friday Pre Rollers! Welcome to another edition of The Pre Roll, the cannabis newsletter that keeps you up-to-date on the industry happenings you need to know.

Here’s what we’re rolling up this week:

• Kamala’s shifting stance

• LeafLink banks on Dama acquisition

• Rescheduling comment period comes to a close

…and more. Let’s get to it.

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🚨 ROLL CALL

Policy

Pass the torch. The views of Vice President Kamala Harris — expected to be the Democratic nominee in the upcoming election after President Joe Biden dropped out of the race and endorsed her — have evolved over her years in public office with regard to cannabis.

Many opponents highlight her early days as San Francisco District Attorney and California Attorney General, when she opposed adult-use legalization in the state in 2010 and presided over the prosecution of cannabis crimes. They often fail to mention, however, the “Back on Track” reentry initiative she pioneered to give low-level drug offenders a second chance.

Her attitude changed as a U.S. Senator and she first backed the idea of federal legalization in 2018. She reiterated this point on multiple occasions.

As part of the Biden administration, she has been vocal in speaking up for the rescheduling of cannabis. In a roundtable conversation at the White House on cannabis reform earlier this year, she called it “absurd” and “patently unfair” that cannabis is considered as dangerous as heroin and more dangerous than fentanyl under federal law, and emphasized a need for speed with regards to the ongoing discussions around rescheduling. She also sent a tweet on 4/20 advocating for a changed approach to cannabis in the country.

While it remains to be seen what her campaign strategy will be when it comes to cannabis, it will almost certainly play a part as it is an increasingly popular issue. Most of her potential VP choices are in favor of federal cannabis reform as well.

Tech

Bank on it. Cannabis wholesale platform LeafLink announced this week the acquisition of cannabis fintech Dama Financial’s banking division, which has done over $3 billion in transactions. The move is a major milestone for LeafLink as it aims to grow its financial offerings to operators — the company already has a payments product that has processed upwards of $1 billion for brands and retailers.

In addition to banking and payments, the LeafLink suite of services includes a marketplace, order and category management, data and analytics, and advertising.

For Dama, the remaining assets not included in the acquisition will rebrand as GrowFlow.

Policy

The comment section. The Drug Enforcement Administration's comment period for cannabis rescheduling ended with close to 43,000 submissions. Analyses of the comments show ranges of anywhere from nearly 70% to exceeding 90% in support of changing the way cannabis is scheduled under federal law.

🇺🇸 STATE OF THE INDUSTRY

Massachusetts: New proposed regulations would positively impact cannabis delivery operators by removing the controversial two-driver requirement and extending the time window in which deliveries can be made.

Minnesota: The application period for recreational cannabis licenses is finally open more than a year after legalization.

Ohio: Licenses were granted to the first 10 recreational cannabis businesses.

Oklahoma: A court ruled that women using medical cannabis during pregnancy cannot be prosecuted for child neglect.

💻 TECH

BLAZE introduces web-based POS

The cannabis retail technology provider released the new version of its point-of-sale system to offer dispensaries a flexible, hardware-agnostic experience.

🌏 AROUND THE WORLD

Thailand: The government is working to regulate rather than recriminalize cannabis.

💨 QUICK HITTERS

• Research from the University of Michigan found medical cannabis patients have increased six-fold since 2016.

• The Southern Ute Indian Tribe invested in a 500,000-square-foot hemp processing plant in Wichita Falls, Texas.

• Results from an industry survey indicated less than 30% of U.S. cannabis businesses are profitable.

📚 WHAT WE’RE READING

• I spent 4 hours and 20 minutes in the state fair’s new weed lounge. Here’s how it went (Los Angeles Times)

• Get Together: WYNK THC Seltzer Unveils Largest Consumer-Driven Ad Campaign, Across Out-of-Home, Social, and Event Activations This Summer (BevNET)

• From blue to green: How a sheriff became a cannabis industry exec (Arkansas Times)

• A year after legalization, where you can and can’t smoke pot in Minnesota is still a little hazy (MPR News)

🎙️ POTCASTS

• S3 Comments Review and 2Q Earnings Preview (Higher Exchanges)

📽️ VIDEO OF THE WEEK

🔎 JOB BOARD

• Sales Director – Colorado

  • Wana Brands

  • $125,000—$150,000

• Executive Director

  • NORML

  • $100,000—$115,000

• Digital Marketing Manager - Colorado

  • Clear Cannabis Inc.

  • $85,000—$110,000

📨 PUFF, PUFF, PASS REEFERAL PROGRAM

Stay tuned for more cannabis industry news next week!

💚,

The Pre Roll Team

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