The cannabis industry waits with bated breath. A recent banking reform bill passed in the House as a featured provision within the latest coronavirus relief package. It’s now up to the Senate to vote and determine its legislative fate.
The Secure and Fair Enforcement (SAFE) Banking Act, as the bill is formally known, lies on the precipice of eradicating the biggest obstacle all marijuana businesses face.
Protecting national banks from federal penalties incurred by servicing businesses associated with cannabis.
We’ve personally experienced this before. It’s incredibly frustrating when progress is halted in our industry based on federal sanctions that penalize our banks, forcing us to shut down. Knowing how much good will come from passing and implementing the SAFE Banking Act has us extremely excited about the outcome of this vote.
Three factors represent key focal points that will immediately improve upon the Senate advancement of the SAFE Banking Act.
- Healthier. The bill suggests that exchanging less cash can help prevent the spread of a virus.
- Increased safety. Keeping large cash reserves on-site has presented safety hazards for dispensaries, requiring heightened security to offset the risk of burglary. Access to banking will dramatically increase safety on the premises.
- Increased funding to federal and state budgets. The government wants their cut, so proper banking will obviously be in their best interest as it will offer greater real-time transparency.
It’s important to note that the SAFE Banking Act can be advanced by senators in a couple of different scenarios. Either through the coronavirus stimulus package discussed earlier, or as a standalone bill in the Senate Banking Committee.
Let’s stay positive and hopeful for some good news in the coming days.