COLORADO: While the cannabis industry has been touted as a “cash-only” enterprise since medical marijuana was first legalized in California nearly 20 years ago, recent reports indicate that the recreational sector has become fed up with handling massive stacks of cash and have since established a clever method for accepting credit cards payments.
Colorado pot shops have struggled for the larger part of the past year to adhere to federal statutes in an attempt to avoid provoking the DEA from sending in a team to shut them down. Part of this challenge has been conducting legal pot sales, which generate about $14 million per month, without the use of financial institutions.
Even though former U.S. Attorney General Eric Holder devised a set of rules in 2014 that would supposedly allow banks to work with marijuana businesses without the risk of prosecution, there have not been many willing to take a chance on these threatening endeavors because no changes to federal policy have been set in stone. Marijuana remains listed a Schedule I drug under the Controlled Substances Act, which has prevented retail pot shops and banks from getting into bed together. It seems that no one is interested in being sent to prison for money laundering.