Cannabis stocks up as crypto falters

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Cryptocurrency may have gained, but cannabis is still the better option

In the past year, two industries have lit up among investors. Cannabis and cryptocurrency have received a serious amount of attention, but only one has the ability to provide gains that are based on real-world applications. In light of assertions that crypto is going to go to “a million dollars,” it’s better to keep a level head and invest in cannabis stocks.

This is not to say that crypto doesn’t have a legitimate place – it definitely does and will ultimately make its way to the top for its intended purpose, that of a peer-to-peer currency. However, one can easily look at the cannabis industry and see what is happening to drive up prices and can analyze – correctly and effectively – where the market will be in 12, 18 and 24 months.

Deals like Canopy Growth’s acquisition of Acreage Holdings give cannabis a strengthened foundation. Canopy Growth is poised to become a major force in the North American cannabis market and this type of presence is tangible with calculable results.

Both crypto and cannabis have brought investors returns of more than 50% so far this year. However, crypto is starting to see a little slide and it is more difficult to predict, or understand, the price movements. It is a generally accepted conclusion that cannabis is going to be legalized in the US within two years, but no one is able to adequately predict when, or if, crypto will receive any type of formal recognition. As it stands now, different government agencies define crypto differently, which is a hindrance to its growth.

Both crypto and cannabis have the potential to deliver solid returns. However, no one should expect either to blow up overnight. Both are long-term investments that are going to need several years, as a minimum, to develop. With that in mind, cannabis is already a step ahead and is a more solid option.