A new bipartisan cannabis banking bill is taking over the SAFE Banking Act

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The CLIMB Act hopes to have more success than the SAFE Act has had

After seeing how the SAFE Banking Act really hasn’t had any major impact in Congress, fresh new legislation has now been introduced to replace those failed efforts. Banking reform in the cannabis industry has been awaited by stakeholders for many, many years, but so far, none of that seems to be changing. Representatives Guy Reschenthaler and Troy A. Carter, Sr. seem unwilling to sit idly by and that is why last week they introduced the Capital Lending and Investment for Marijuana Businesses (CLIMB) Act.

Like the less-than-capable SAFE Banking Act, this proposal seeks to give cannabis businesses the opportunity to access a wide range of banking services, from credit card services to loans and money transfers. In addition, if signed into law, the legislation would allow Nasdaq, the New York Stock Exchange, and other national stock exchanges to be able to list cannabis companies, paving the way for them to generate capital and better develop growth.

According to the measure’s sponsors, the primary intent is to provide a greater source of assistance to small businesses and businesses run by members of the disenfranchised and veteran-owned communities. As usual, a level playing field is an important part of the industry, and both Carter and Reschenthaler have not forgotten that.

“The CLIMB Act is critical because it provides state legal American businesses with traditional funding and support mechanisms for this emerging industry, which other domestic industries currently enjoy,” commented Saphira Galoob, Executive Director of the National Cannabis Roundtable. “The more financing sources available to cannabis businesses, the better, particularly for entrepreneurs, small and minority-owned businesses that may have otherwise faced challenges in obtaining access to capital.”