The very short answer is (i) hemp (a specific type of cannabis) is federally legal; (ii) hemp-derived THC is probably federally legal (depending on how it's derived and the concentration in the final product, probably, and also who you ask); (iii) beverages and edibles with hemp-derived THC are similarly probably federally legal, other than under the FDA's Food, Drug & Cosmetics Act, which those form factors are almost definitely violating; (iv) hemp flower/prerolls and other form factors are also probably federally legal, although there's a lot of debate over the science of production and processing that gets to that question (delving into the meaning of "synthetic"); (v) many states have banned hemp-derived THC products, some have drastically limited them, and some still allow them outright; and (vi) when we see a new federal Farm Bill, it could (1) eviscerate the entire hemp-derived THC category, (2) limit it in some way (and possibly make it subject to federal FDA and alcohol-like rules), or (3) do nothing - no one knows.
None of this is legal or investment advice, but all of it is certainly extremely confusing because it really is. Anyone who says that it's simple is blowing smoke.
Thanks Marc. I am a little bit behind, do you know where I can read the differences between hemp thc and cannabis both from
1. state regulations
2. federal regulations
I guess hemp wise, it is federally legal, interstate is not a problem, etc
That is a very fair question with a very complicated answer that is changing all the time.
Here's a good primer on what happened with the 2018 Farm Bill: https://blogs.duanemorris.com/cannabis/2023/11/20/webinar-replay-the-hemp-loophole-and-2023-farm-bill/
The very short answer is (i) hemp (a specific type of cannabis) is federally legal; (ii) hemp-derived THC is probably federally legal (depending on how it's derived and the concentration in the final product, probably, and also who you ask); (iii) beverages and edibles with hemp-derived THC are similarly probably federally legal, other than under the FDA's Food, Drug & Cosmetics Act, which those form factors are almost definitely violating; (iv) hemp flower/prerolls and other form factors are also probably federally legal, although there's a lot of debate over the science of production and processing that gets to that question (delving into the meaning of "synthetic"); (v) many states have banned hemp-derived THC products, some have drastically limited them, and some still allow them outright; and (vi) when we see a new federal Farm Bill, it could (1) eviscerate the entire hemp-derived THC category, (2) limit it in some way (and possibly make it subject to federal FDA and alcohol-like rules), or (3) do nothing - no one knows.
None of this is legal or investment advice, but all of it is certainly extremely confusing because it really is. Anyone who says that it's simple is blowing smoke.
Thank you Marc. I'll think about this from investing perspective!
Appreciate your quick reply.