Why can’t marijuana bitcoin atm denver accept credit cards? Marijuana is a growing industry. In a trend mirrored by public opinion, the marijuana legalization movement has gained significant legislative momentum over the past two years. Since California first legalized medical marijuana use in 1996, twenty-two other states have voted to allow the sale and taxation of medical cannabis.
Why can’t marijuana dispensaries accept credit cards? Four of those states—Colorado, Washington, Alaska, and Oregon—have flat-out legalized the use of recreational marijuana without the need for a doctor’s note. 60 million in new tax revenues. In the current regulatory climate, however, hard currency is still the sole method of exchange for most pot shops. And while having too much cash lying around may seem like a good problem to have, it’s actually a major headache for marijuana dispensaries. Specifically, the marijuana industry’s reliance on cash increases risk for both customers and marijuana merchants. Customers must travel to the merchant’s location while carrying large amounts of cash, which makes them obvious targets for theft.
Shop owners are a similarly easy mark, which has forced many dispensaries to invest in bank-grade safes, security systems, and other anti-theft measures. This reliance on cash for all of a business’s payments—those made to suppliers, employees, and the state—only increases costs for shop owners and reinforces the perception that they aren’t operating legitimate businesses. Despite these deficiencies, the payment processing industry has thus far been slow to provide a reliable electronic solution. This raises the question: why is it that weed can be sold, taxed, and regulated in nearly half of the states in the U. Let’s start at the top. The largest and most significant obstacle to marijuana payment processing is the federal government’s stance on the sale and use of marijuana.
To affirm this stance, the U. Surprisingly, two of the major card networks have followed the government’s lead in relaxing their policies. The generally accepted upshot is that both networks will allow acquiring banks to make their own decisions regarding the legality of marijuana merchants. Other barriers at the top still remain. The government has given no indication that it will reschedule cannabis, meaning that it could remain illegal on a national scale for the time being. But the fact remains that many of the traditional gatekeepers have at least expressed a willingness to experiment with legal marijuana, and the issue appears to be in the hands of private enterprise at this point. Despite the increasingly lax attitude toward pot from both the government and the major card networks, the banking industry continues to drag its feet on providing digital payment solutions for the marijuana industry.