The cannabis industry of recent has been filled with a lot of ups and downs as regulations continue to change around the world and domestically. One of the upsides of this new market has been that companies and the individuals who fill the market have respectively seen demands rise to quite a large amount. This has helped to bring in a whole slew of new investors as well as help to produce cannabis at higher yields than ever before.
Many stocks in the market have also seen a boom from this new industry as this demand has helped to bring prices up with every investor looking to get in on all of the action aimed for the future. Stocks such as Canopy Growth (NYSE:CGC) and others have been looking at millions and sometimes even billions of dollars in new investments into the space. These investments have not only helped the companies to grow but often they help to shift the entire paradigm of the market. With large investments comes a certain amount of trust into the industry and where the future could go. With cannabis, often times investors have viewed the market as somewhat taboo due to its federal standing in the U.S. and tumultuous history around the world. Investments like these help to give investors a renewed sense of confidence that cannabis is here to stay for the future.
One of the driving factors for growth in the cannabis space has been the legislation itself around the world. Canada has been known in recent times to be leading the fight for legal marijuana as they are set to begin selling adult use cannabis on October 17th. Behind them comes the individual states within the U.S. such as Colorado and California which have helped to show how successful a cannabis market can be when the laws are favorable with the public and simply make sense. The hope though is that the federal government in the U.S. can begin to make changes that align with the strong demand from the public for legal cannabis in the future. Many government officials and various federal bodies have shown favorable opinions toward cannabis, but little has been done to push forward any new laws within the industry. The House Judiciary Committee recently advanced legislation to allow the import of cannabis for medical research which is no doubt, a large step forward for the paradigm of cannabis in this country, but there is still a long way to go.
Investors in the U.S., however, have taken the opportunity quite seriously and have as stated before, continued to put in money to an industry that they believe could continue to be a tremendous opportunity as we move toward the future. Of course, there are large risks with this given the federal illegality of the substance, but many have stated that they expect this to change in the future and especially with the incoming midterm elections. The hopes are altogether quite high that in the coming months and years, cannabis can continue to be viewed in a positive light, which could, in turn, help to move the industry forward in ways many thought to be not possible until now.