New bill would let marijuana shops use banks

New bill would let marijuana shops use banks

Pot shops would have access to banks under new legislation in the Senate.

The Marijuana Business Access to Banking Act, introduced Thursday in the Senate, would allow marijuana companies to store their money in banks.

Dispensaries are currently blocked from the banking system. Even though a number of states have legalized the use of medical and recreational marijuana, it is still illegal under federal law.

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This pot paradox has forced many marijuana businesses to keep their cash in their stores because banks are prohibited from doing businesses with them.

The marijuana legislation would wipe away these prohibitions. The senators say this would improve safety and streamline taxes in the industry.

Sen. Jeff MerkleyJeffrey (Jeff) Alan MerkleyOvernight Energy: Perry replacement faces Ukraine questions at hearing | Dem chair demands answers over land agency's relocation | Ocasio-Cortez, Sanders unveil 0B Green New Deal public housing plan Ocasio-Cortez, Sanders unveil 0B Green New Deal public housing plan Senate committee advances budget reform plan MORE (D-Ore.), one of the sponsors of the bill, called the present rule an “invitation to crime.”

“Current federal laws are making marijuana businesses sitting ducks for violent crimes and perpetuating negative stereotypes,” said Sen. Ron WydenRonald (Ron) Lee WydenHillicon Valley: Amazon to challenge Pentagon cloud contract in court | State antitrust investigation into Google expands | Intel agencies no longer collecting location data without warrant Intelligence agencies have stopped collecting cellphone data without warrants: letter Alcohol industry races to save tax break by year-end deadline MORE (D-Ore.), another sponsor of the bill.

Sens. Cory GardnerCory Scott GardnerTariffs threaten 1.5M jobs: Study This week: House kicks off public phase of impeachment inquiry Progressive veterans group launches campaign labeling Trump as a 'national security threat' MORE (R-Colo.), Michael BennetMichael Farrand Bennet 2020 Democrats demand action on guns after Santa Clarita shooting Biden, Buttigieg condemn rocket attacks on Israel Press: Another billionaire need not apply MORE (D-Colo.) and Patty MurrayPatricia (Patty) Lynn MurraySenators press FDA tobacco chief on status of vaping ban Retirement bill blocked in Senate amid fight over amendments Senate Democrats call on White House to abandon plan to collect DNA from migrants MORE (D-Wash.) are also backing the legislation.

Marijuana groups said the bill would be a step in the right direction.

“Without banks, many of our members are forced to operate entirely in cash, which puts their employees at risk for crime,” said Aaron Smith, executive director of the National Cannabis Industry Association. “The legal marijuana industry is worth nearly $3 billion nationwide. We shouldn’t be forced to carry that around in duffel bags.”