Square Launches Pilot Program for CBD Products Sales
The use of CBD as an ingredient in many treatments and even foods have become an unstoppable trend. Although, various companies were unwilling to sell CBD and related products due to its legal implications, according to Forbes, the financial services company, Square have started to take a slightly different approach. A Square representative spoke to Forbes about how the payment processing service has started to accept payments for specific CBD products.
No further details have been mentioned, but we can soon expect a rise in sales of CBD products, especially after President Donald Trump signing the bill last year, that legalized hemp. Square quietly took the initiative so that companies which sell CBD products can efficiently process customer credit cards and maintain bank accounts, but only for a short term. The spokesperson also mentioned that Square observes changing policies and strives for new opportunities for their clients.
CBD is one of the various components extracted from cannabis alongside THC. Although THC is responsible for getting high, CBD does not produce the same effect. CBD-included products are used to lower anxiety and provide pain relief without the psychoactive effects of THC, but a substantial amount of research is still needed to prove the benefits of CBD. It is now found in pills, creams, gummies and even coffee. Recently, even the FDA approved marijuana for the treatment of epilepsy.
Marijuana legalization is still a hot debate, as some states are still behind in the trend. Following Canada’s nationwide reforms, the United States also took a stance on marijuana legalization in the 2018 midterm elections. Michigan voted for recreational weed with regulations similar to that of alcohol. Most other states allow residents to have up to one ounce of weed for recreation, and six plants per individual for cultivation. Michigan residents could have up to 2.5 ounces and can grow twelve plants per individual.
In contrast, North Dakota did not change possession and regulation limits, but it did legalize weed for 21 or above adults. People previously convicted for cannabis possession may be expunged. Missouri settled for medical use only. Doctors can suggest the use of CBD products for various conditions and patients can even buy or grow cannabis at home. Utah also voted cannabis for medical purposes, but with far more restrictions. Cannabis has been legalized for medical purposes in thirty states so far. Ohio is the most recent state to have legalized marijuana for medical issues, but Ohio also asked for major amendments, such as minimizing the punishment from misdemeanor or decriminalization.
Square’s statement on the sale of selected CBD products does not clarify exactly which products would be sold, and how it would work with cannabis companies. A pilot ‘invite-only’ beta service on selected products does not necessarily mean that Square has totally moved on from its previous stance on not selling CBD-infused products at all.
With that being said, companies who want to make more money should at least look into the prospects of selling CBD products and the legal complications it could lead to, before deciding on selling these products.