This week marked the launch of legal cannabis sales in the sixth largest state: Illinois. And to call it a success is an understatement.
I'll get to all the juicy details in a bit. But it's a great sign for the 10 states poised to legalize cannabis in 2020. I'm going to show you how to profit from the booming medicinal and recreational cannabis industries there too.
Plus, we're going to talk about the possible fallout from anti-vaping legislation - and what you can do about it.
But first things first, Illinois expects thousands of marijuana convictions to be expunged...
Illinois Cannabis Is Open for Business
On Wednesday, Illinois residents purchased legal cannabis for the first time.
At least 43 stores around the state received approval, but six remained unable to open for business due to permitting, construction, and other challenges. The Chicago Tribune reported that people were waiting up to three hours to enter the Mission Dispensary.
This was not just an important day for cannabis proponents. It is viewed as a major legislative win for criminal justice reform advocates. On Wednesday, Illinois Lieutenant Governor Juliana Stratton praised the policy change, as it will also allow for the expungement of some convictions related to cannabis. The Associated Press reports that Illinois Governor J.B. Pritzker granted more than 11,000 pardons for low-level marijuana convictions. Thousands more are expected in the year ahead.
Illinois legalized cannabis for adult cultivation and sales in May 2019. Marijuana Business Daily has estimated that the Illinois recreational market might eventually reach $2.5 billion per year in revenue.
Illinois was the 11th state to legalize marijuana. But a wave of other states will follow in 2020...
Which State Will Legalize Recreational Cannabis Next?
2019 was a big year for cannabis proponents. Illinois' legalization is complete. The U.S. House of Representatives passed a significant marijuana banking bill. And a massive reform bill passed through a House committee for the first time.
Even though two-thirds of Americans support the legalization of cannabis, it remains unlikely that removal of cannabis from Schedule I will happen this year. This puts the focus back on states to set their own rules.
Right now, five states are jockeying to become the next safe-haven for cannabis commerce: New Jersey, New Mexico, New York, Arizona, and Florida. These locations either have ballot initiatives set for this year or campaigns pushing for their addition to the 2020 state ballots.
But today, one other state finds itself in an odd situation...
Vermont has legalized the growth and possession of recreational marijuana. It did so back in 2018. However, it is still illegal to buy or sell cannabis - meaning there isn't any non-"black market" marijuana commerce in the state.
In 2020, however, things could change. The state Senate has already approved a bill that would legalize marijuana sales and oversee the taxation of marijuana. The state House will take the bill back up in 2020. Many local officials have made retail regulation of the cannabis sector a priority. The bill's passage would provide another boost to cannabis investors due to the opening of yet another retail market.
Finally, here's why "vaping" is not the scandal you think it is...
The FDA Rules on Vaping
[mmpazkzone name="in-story" network="9794" site="307044" id="137008" type="4"]
A big development emerged from the White House this week. U.S. President Donald Trump had warned that the federal government would soon take a stance on vaping.
It now appears that the U.S. Food and Drug Administration (FDA) will ban all e-cigarette pod flavors except for menthol and tobacco. The ruling would come in the wake of the recent appropriations bill that raised the national smoking age to 21.
The Wall Street Journal and The New York Times both report that the administration may scale back its September proposal that would enlist almost a total ban on flavored vaping. The reports suggest that flavored nicotine liquids would still be legal for sale for open tank systems and place regulations only on the pods themselves.
The regulation is part of a broader effort to curb teenage smoking. The FDA will likely issue additional guidance on vaping products containing THC. The FDA has warned consumers to stop using THC vaping products while it completes an investigation into recent lung illnesses. That said, the agency has worked alongside government agencies to address the sale of illicit THC products. In December, the FDA and the Drug Enforcement Administration seized 44 websites that advertised the sale of illicit cartridges containing THC.
The "Little Guy's" Gold Mine: Farmers are harvesting lifetimes of wealth. Local startups are taking off. And small-time investors are becoming millionaires practically overnight. It's all owed to the latest agribusiness explosion. Click here to read the details and find out how you can join them...
Follow Money Morning on Facebook and Twitter.
About the Author
Garrett Baldwin is a globally recognized research economist, financial writer, consultant, and political risk analyst with decades of trading experience and degrees in economics, cybersecurity, and business from Johns Hopkins, Purdue, Indiana University, and Northwestern.