12-20-2025, 01:56 PM
Industry Stakeholders, Experts React to Trump’s Schedule III Cannabis Order
Business executives, advocates, attorneys, politicians, and ancillary service providers overwhelmingly applaud the order as a first step, not an end destination.
Tony Lange
December 19, 2025
President Donald Trump said it loud and clear during his executive order on Dec. 18 to reschedule cannabis: He’s never been inundated by “so many people” on a particular issue.
The move directing U.S. Attorney General Pamela Bondi to reclassify cannabis from Schedule I to Schedule III is not a small detail lost on just about anyone connected to the industry. Loosening restrictions on the plant through lowering its potential for abuse and finally recognizing its medicinal value breaks ties with 55 years of precedence under the Controlled Substances Act.
“We have people begging for me to do this,” Trump said during Thursday’s signing ceremony, mentioning veterans with service-related injuries and older Americans living with chronic medical problems that “severely degrade their quality of life.”
According to the president, 82% of Americans support cannabis rescheduling.
“I think I probably have received more phone calls on this, on doing what we’re doing,” he said. “I don't think I received any calls on the other side of it, but hopefully this reclassification … will help many of those patients live a far better life.”
Trump emphasized that rescheduling is not legalization and that it’s “never safe to use powerful controlled substances in recreational manners,” calling attention to prescription painkillers that, while having “legitimate use,” can do irreversible damage and “wreck” lives if abused.
At the same time, the president said that “facts” compel the federal government to recognize that cannabis has medical applications that can be substitutes for “addictive and potentially lethal opioid painkillers. They cause tremendous problems. [Cannabis] can do it in a much lesser way. It can make people feel much better that are living through tremendous pain and problems.”
Trump said he promised to be a president of common sense and that rescheduling cannabis is a common-sense issue.
“This is really something having to do with common sense, and it’s something having to do with the fact that so many people that I respect asked me to do,” he said. “I’ve never been inundated by so many people as I have about this particular reclassification.”
Also in the executive order, Trump directed White House officials to work with Congress to update the statutory definition of final hemp-derived cannabinoid products to allow Americans to benefit from access to full-spectrum, nonintoxicating CBD products. This approach will be complemented by a Centers for Medicare and Medicaid Services (CMS) policy shift allowing doctors to recommend CBD products to older Americans, with Medicare covering up to $500 annually for qualifying individuals as soon as April 2026.
While the majority of cannabis industry stakeholders applaud the reform directives, many differ on their viewpoints on the potential impacts. Others used their platforms to promote full legalization by descheduling cannabis from the CSA altogether.
Here are many of those takes:
Michael Bronstein, President
American Trade Association for Cannabis and Hemp (ATACH)
“Today’s decision to move cannabis to Schedule III marks the most significant federal shift in cannabis policy in over 50 years. After decades of outdated policy, the federal government has finally acknowledged what we as a movement have said for a generation: that marijuana can be medicine. It opens doors to expanded medical research and helps reduce the stigma and provide for better patient outcomes. This change also brings long-overdue equal tax treatment by lifting draconian tax penalties on state-legal businesses, and allowing reinvestment in local jobs and communities. Today is a celebration, but our work is not done, and we will build on this momentum to establish a comprehensive regulatory framework to fully end prohibition in America.” –Michael Bronstein
Kim Rivers, CEO
Trulieve
"This bold and historic direction from President Trump represents long overdue change and a major milestone in cannabis reform. Trulieve is grateful for the decisive action taken by the administration that acknowledges the medical benefits of cannabis, supports licensed and regulated operators, and allows law enforcement agencies to prosecute bad actors. We are committed to supporting the administration throughout this process." –Kim Rivers
Howard Kessler, Founder
The Commonwealth Project
"President Trump’s executive order has unleashed a seismic shift in health care – one of the boldest breakthroughs in generations. While the rescheduling of cannabis will dominate the headlines, it's his revolutionary pilot Medicare program that brings immediate, life-altering relief and access to cannabinoid-based therapies for millions of seniors grappling with chronic pain and debilitating conditions. We've championed the profound medical benefits of CBT for our aging population, and today, the president has transformed that vision into action. Hats off to him for heeding the evidence, leading with compassion, and smashing barriers so seniors can access the care they deserve – now. For seniors, CBT is a game-changer offering safe, evidence-based options for chronic conditions that traditional meds often fail.” –Howard Kessler
Kimberly Roy, Commissioner
Massachusetts Cannabis Control Commission
“President Trump’s executive order expediting rescheduling of cannabis marks a significant step forward for public health and patient care in the United States. By aligning federal policy more closely with the science, this action will help remove long-standing barriers to medical research and open the door to safer, more effective treatments for people living with chronic and debilitating conditions.
“For veterans managing service-related injuries and trauma, and for older Americans coping with pain, cancer, and age-related illnesses, this change has the potential to expand access to evidence-based therapies while maintaining strong safeguards. It will also empower researchers and clinicians to better understand both the benefits and risks of cannabis, ultimately improving clinical guidance, product safety, and quality of life for patients across the country. My hope is that Massachusetts will be a global leader in this effort.” -Kimberly Roy
Gibran Washington, CEO
Ethos
Rescheduling cannabis from Schedule I to Schedule III is a long-overdue acknowledgment of what patients, providers, and responsible operators have known for years: This plant has real therapeutic value, and the current federal posture has been holding progress back. Rescheduling won’t fix every challenge in front of us, but it finally moves us in the right direction, opening clearer pathways for research, easing unnecessary barriers for patients, and creating a more functional regulatory environment for operators who are doing this the right way. At Ethos, our commitment has always been to education, science, and access. This shift should be the beginning of broader reforms that address affordability, equity, and the stigma that still shadows this industry. If done thoughtfully, rescheduling can be a catalyst for a more transparent, patient-centered, and responsible cannabis ecosystem. –Gibran Washington
Boris Jordan, Chairman and CEO
Curaleaf
“Thank you, President Trump, for moving forward with rescheduling cannabis to Schedule III. This action is a landmark moment for our industry and the country. President Trump’s action is the most impactful move taken around the cannabis plant since its prohibition 55 years ago. We applaud the Trump Administration for boldly acknowledging what science, patients, and the industry have known for years: Cannabis has real medical value and never belonged in Schedule I in the first place.
“President Trump promised action, and he delivered. Rescheduling will expand research, ensure broad medical access, protect young people and patients from the illicit market, drive investment, and address outdated tax policies that punish legal operators. It’s a win for public health, the economy, and common sense.” –Boris Jordan
George Archos, Founder and CEO
Verano
“Today's historic cannabis rescheduling announcement marks a significant milestone and transformative policy shift that paves the way for America’s next great homegrown industry to finally reach its full potential by serving patients, creating jobs, unlocking economic growth, and reversing decades of harmful prohibitionist policies.
“We’re grateful to President Trump for recognizing the overwhelming majority of Americans who support cannabis rescheduling, opening the door to federal reform, medical research, and normalization for an industry that employs hundreds of thousands of professionals and contributes billions of dollars in taxes and economic activity every year.
“We look forward to the new opportunities rescheduling will provide cannabis businesses of all sizes, including critical banking and regulatory reforms that will unlock additional health, wellness, and economic benefits for communities nationwide.” –George Archos
Jon Levine, CEO
MariMed
“We commend President Trump and the Trump administration for reclassifying cannabis as a Schedule III drug. This is the single greatest cannabis reform in U.S. history and will have far-reaching benefits for years to come. Most important, the reclassification means the federal government officially acknowledges that cannabis has widely accepted medical uses and low abuse potential.
“Rescheduling will accelerate accredited medical research into medications derived from cannabis and should result in a significant increase of consumers who will embrace cannabis as a qualified alternative to opioids for chronic pain, sleep, anxiety and other ailments.
“Additionally, state-legal cannabis businesses will no longer be subject to the IRS Section 280E tax penalty. Compliant operators like MariMed will finally be taxed like other consumer packaged goods sectors, materially improving profitability and free cash flow.” –Jon Levine
Charlie Bachtell, CEO/Chair
Cresco Labs/US Cannabis Roundtable
“The US Cannabis Roundtable commends President Trump and the Trump administration for moving to reclassify cannabis as a Schedule III drug. Once completed, this shift will mark a dramatic break with the failed policies of the past. Cannabis has widely accepted medical uses and low abuse potential. It never belonged at Schedule I. After more than five decades, this untenable status quo is finally coming to an end.” –Charlie Bachtell
Ben Kovler, CEO
Green Thumb Industries
“Rescheduling cannabis to Schedule III is long overdue and an important acknowledgment of the science-backed medical benefits recognized by patients for decades. Across the United States, millions of registered patients rely on cannabis for relief from a wide range of chronic conditions and debilitating symptoms.
“We commend the administration for taking this historic step, while recognizing it is only the beginning. True federal reform is still needed to allow the cannabis industry to reach its full potential and meet growing demand nationwide. At Green Thumb, we remain committed to advocating for lasting change that will expand access and deliver well-being to even more Americans.” –Ben Kovler
Scott Davido, CEO
Ayr Wellness
“Ayr Wellness applauds the historic executive order from President Trump to reclassify cannabis from Schedule I to Schedule III. This marks a major step towards unlocking further research into the medical efficacy of cannabis and allowing fair tax treatment for the cannabis industry. Our industry is one of the fastest-growing sectors of the U.S. economy, employing more than 400,000 Americans. Alongside our peers, we continue to advocate for further cannabis reform federally and at the state level, which we believe will be spurred by today’s historic decision.” –Scott Davido
Sam Brill, CEO and Director
Ascend Wellness Holdings
“The move to reschedule cannabis from Schedule I to Schedule III marks a critical advancement for society, public safety, and access for patients across the United States. Recognizing the medicinal benefits of cannabis paves the way for expanded research, informed policymaking, and more consistent access to safe, regulated products for those who need them most.
“We commend the Trump administration for taking this long-overdue, common-sense, and data-driven step forward. We are optimistic that continued progress will support a transparent and regulated framework that protects individual liberties, enhances public health, fosters a well-regulated market, and drives domestic employment and economic growth.” –Sam Brill
Jason Wild, Executive Chairman
TerrAscend
“President Trump's move to reschedule cannabis is a game-changer. For TerrAscend, it means clarity on 280E, lower cost of capital, and the ability to compete on a level playing field. With predictable cash flow, we can expand more aggressively and drive long-term shareholder value.” –Jason Wild
Brooks Jorgensen, President
Canopy USA
“Today’s decision to reclassify cannabis marks a significant step forward in modernizing U.S. federal cannabis policy and advancing a regulated, responsible market. Rescheduling provides greater regulatory clarity for operators and helps unlock a more sustainable business environment, supporting access to research, improving patient care, and expanding safe, regulated options for consumers. It also represents meaningful progress toward aligning federal policy with state-regulated markets that are already serving millions of Americans. Canopy USA is well-positioned for this next phase, with established operations and leading brands including Jetty, Wana, and Acreage. We’ve built our platform with a focus on compliance and quality, and we believe continued policy progress strengthens the foundation for long-term value creation across the U.S. cannabis sector.” –Brooks Jorgensen
Jeff Merkley, Democratic U.S. Senator
Oregon
“Cannabis rescheduling is a step in the right direction, allowing medical research and legal cannabis businesses to be appropriately taxed on their net profits. But this change from Schedule I to Schedule III still leaves these cannabis businesses in violation of criminal law because the production and use of cannabis for nonmedical purposes remain a federal crime. As such, these legal businesses are still prevented from accessing the banking system.
“That remains a huge problem, encouraging all sorts of criminal activities, including robberies of cannabis businesses operating in all cash, false accounting, money laundering, and organized crime. That’s why we still need to pass the bipartisan SAFER Banking Act, which, during his campaign, President Trump urged Congress to send to his desk.
“I will continue to push for fully descheduled cannabis – which is essential to addressing the harms perpetuated by the war on drugs and the criminalization of cannabis on communities of color – and work with both Republicans and Democrats to advance common-sense cannabis reforms for banking services and medical treatment.” –Jeff Merkley
Wendy Bronfein, Co-Founder, Chief Brand Officer, and Director of Public Policy
Curio Wellness
“After years of empty promises and political posturing around cannabis reform, today’s announcement from President Trump marks a real turning point.
“This decision recognizes what patients, veterans, seniors, and families across the country already know: Responsible cannabis policy can help reduce reliance on opioids, give people safer options to manage pain, and improve health outcomes and quality of life. It also ensures that legal, regulated businesses are treated fairly under federal law.
“What makes today especially meaningful is that it’s informed by years of rigorous work from leading experts in medicine, pharmacology, and public health – including members of Curio’s scientific board, who have contributed trusted, evidence-based insight from both the U.S. and abroad. Their research and engagement helped ensure policymakers were equipped with credible data, not ideology.
“We’re grateful to President Trump for following the facts, putting consumers first, and taking decisive action to modernize cannabis policy in a way that is practical, compassionate, and long overdue.” -Wendy Bronfein
Omar Delgado, VP of Retail
Ivy Hall
“The reclassification of cannabis is a long-overdue step in the right direction. For years, our industry has navigated unnecessary obstacles due to outdated federal policies that perpetuated stigma and slowed progress.
“Any move away from Schedule I isn’t just progress for cannabis businesses; it’s progress for justice and freedom. At Ivy Hall, we’re excited to be part of this shift toward treating cannabis with the respect it deserves. We remain committed to building a future where this plant brings healing and opportunity.” –Omar Delgado
Cristy Aranguiz, CEO and Co-Founder
Cannabis and Glass
“Today’s decision is a monumental step forward for both businesses like mine and the patients who rely on it every day. For more than a decade, I’ve seen cannabis ease chronic pain, reduce anxiety, support recovery, and improve quality of life. Patients and doctors have long recognized these benefits, but federal policy has lagged behind. Rescheduling finally acknowledges what millions already know: cannabis is a legitimate therapeutic tool.
“As someone who built a multistate company from the ground up with no outside investment, I know how challenging it has been to operate while legitimacy was questioned. This shift brings recognition, stability, and the chance to expand research into cannabis’s full medical potential. For me, this moment is both validation and motivation, and I am energized for what it means for the future of cannabis as medicine.” –Cristy Aranguiz
Elad Kohen, CEO
The Flowery
“It’s encouraging to see this administration finally take action on an issue that has been long overdue. With more than 50 million Americans consuming cannabis each year, and the absolute great majority supporting medical research and uses, this decision simply reflects reality. Rescheduling cannabis is a bold, necessary step toward aligning policy with public opinion and recognizing the legitimacy of a thriving, above-board industry that benefits millions across the country. This move paves the way for greater transparency, economic growth, and opportunity, positioning the U.S. as a true global leader in cannabis.” –Elad Kohen
Nevil Patel, Founder and CEO
Shangri-La Dispensaries
"We're encouraged by the president's executive order expediting the reclassification of cannabis. States and customers know the value of safe, convenient, and affordable cannabis products. Reclassification will increase access and affordability for all." –Nevil Patel
Andrew Berman, CEO
Arcana Collective
“As a collective of legacy breeders, we have known from decades of experience with the plant, not policy memos, that cannabis has real health benefits and never belonged as a Schedule I substance in the first place. While federal legalization remains the long-term goal, rescheduling represents a meaningful step forward and has the potential to ease some of the structural challenges that have held the industry back, including relief from 280E. It may also encourage greater access to banking and invigorate renewed interest for investment across the sector.
“At the same time, rescheduling still leaves important questions unanswered. It could encourage larger pharmaceutical or tobacco interests to enter the space, and it remains to be seen how that will impact legacy operators and the culture that built this industry. Net/net, this is not the finish line, but it is real progress. We are encouraged by the momentum and hope that this step helps move the industry toward a future that still makes room for the people who have always believed in this plant.” –Andrew Berman
Saphira Galoob, CEO
US Cannabis Roundtable
“President Trump first endorsed reclassifying cannabis in September of 2024, citing a desire for more research to unlock medical uses of cannabis. Now he is delivering. The shift underway is smart policy, backed by science, and overwhelmingly popular.” –Saphira Galoob
Adam J. Smith, Executive Director
Marijuana Policy Project (MPP)
"While MPP welcomes the president’s proposal to move cannabis from Schedule I to Schedule III, neither the plant itself nor its naturally occurring component cannabinoids belong on the schedule at all.
"We hope this move to Schedule III truly does open up medical research, that it inspires states to guarantee access to safe, regulated cannabinoids for patients who desperately need them, and that the regulated industry might finally be treated more fairly under the federal tax code. But a move to Schedule III does nothing to end hundreds of thousands of possession arrests each year, nor does it do anything to fix the untenable, ongoing disconnect between federal prohibition and the regulated state markets under which more than half of American adults live.
"We are pleased that the president is taking this important step, but it is only a step. It is long past time to deschedule cannabis entirely and end nearly a century of failed prohibition.” –Adam J. Smith
Adam Goers, Chair
Coalition for Cannabis Scheduling Reform
“The Coalition for Cannabis Scheduling Reform applauds President Trump’s historic decision to recognize cannabis as medicine and move it down to Schedule III. For over 50 years, cannabis has been misclassified as a dangerous Schedule I controlled substance. This policy, once a centerpiece of our nation’s failed drug war, is finally coming to an end.
“President Trump’s decision to reclassify cannabis is based upon a foundation of unassailable scientific evidence. Cannabis has low abuse potential and proven medical use. Rescheduling will help bring federal policy into alignment with this reality.
“Rescheduling will provide a wide range of benefits, including facilitating medical research, signaling to the criminal justice system that cannabis is a low priority, and providing tax relief to struggling small business owners. It will also help usher in a new era of reform. We look forward to working with the Trump administration and Congress to move these efforts forward.” -Adam Goers
Michelle Rutter Friberg, Director of Government Relations
National Cannabis Industry Association
“The National Cannabis Industry Association (NCIA) welcomes President Trump’s decision to reclassify cannabis as a Schedule III substance. Medical professionals, patients, and millions of Americans have long understood that cannabis has accepted medical use and does not belong in the same category as the most dangerous controlled substances. By taking this step, the administration is recognizing the realities of today’s regulated markets and the work states have done to responsibly oversee them.
“NCIA was honored to participate in the Drug Enforcement Administration’s public hearings on rescheduling earlier this year, where we emphasized the importance of supporting state-licensed cannabis programs and the small businesses that form the backbone of this industry, which employs hundreds of thousands of workers and contributes billions of dollars to the economy. Moving cannabis to Schedule III will finally lift the crushing burden of §280E, allowing operators to reinvest in their employees, strengthen compliance, and allow them to continue delivering safe, regulated products to consumers. This change acknowledges something that researchers, advocates, and patients have known for years: that the cannabis plant has medicinal value.
“This is meaningful progress, but it cannot be the final word. NCIA urges lawmakers to build on today’s decision by establishing a framework that respects states’ rights, supports responsible operators, and provides clear federal enforcement guidelines in order to provide certainty to the thousands of businesses operating openly and in compliance with state law. NCIA will continue working to ensure that this industry can thrive under policies that are fair, consistent, and reflective of modern realities.” -Michelle Rutter Friberg
Paul Armentano, Deputy Director
NORML
"The administration's order calling to remove the cannabis plant from its Schedule I classification validates the experiences of tens of millions of Americans, as well as those of tens of thousands of physicians, who have long recognized that cannabis possesses legitimate medical utility. It wasn’t long ago that federal officials were threatening to seize doctors' medical licenses just for discussing medical cannabis with their patients. This directive certainly marks a long-overdue change in direction.
"But while such a move potentially provides some benefits to patients, and veterans especially, it still falls well short of the changes necessary to bring federal marijuana policy into the 21st century. Specifically, rescheduling fails to harmonize federal marijuana policy with the cannabis laws of most states, particularly the 24 states that have legalized its use and sale to adults – thereby leaving those who produce, dispense, possess, or use marijuana in compliance with state laws in jeopardy of federal prosecution. In order to rectify this state/federal conflict, and in order to provide state governments with the explicit authority to establish their own cannabis regulatory policies – like they already possess with respect to alcohol – cannabis must be removed from the Controlled Substances Act altogether. Doing so would affirm America's longstanding principles of federalism and appeal to Americans' deep-rooted desires to be free from undue government intrusion into their daily lives.
"Nevertheless, as a first step forward, this federal policy change dramatically shifts the political debate surrounding cannabis. Specifically, it delegitimizes many of the tropes historically exploited by opponents of marijuana policy reform. Claims that cannabis poses unique harms to health, or that it’s not useful for treating chronic pain and other ailments, have now been rejected by the very federal agencies that formerly perpetuated them. Going forward, these specious allegations should be absent from any serious conversations surrounding legalizing and regulating cannabis."
"It is anticipated that reclassification will also provide tax fairness to state-licensed businesses – allowing them, for the first time, to take traditional tax deductions. This change levels the playing field and lowers these entities' costs of doing business. This change also likely benefits cannabis consumers by resulting in lower overall prices for state-licensed retail products, further incentivizing them to abandon the underground market." –Paul Armentano
Tim Barash, Chairman and CEO/Co-Chair
Dutchie/Coalition for Cannabis Scheduling Reform
“Moving cannabis to Schedule III represents a fundamental shift in how the federal government and society at large view the plant, transforming the way the cannabis industry operates. This change will empower the 425,000 people working in the U.S. cannabis industry and bring in new talent, capital, and awareness to an industry that has a positive impact on millions of people's lives.
“At Dutchie, we’ve worked tirelessly alongside our customers and partners toward this outcome for years, putting thousands of hours and millions of dollars towards cannabis policy reform as co-chairs of the Coalition for Cannabis Scheduling Reform. One of the most immediate impacts of rescheduling is the end of the 280E tax penalty, removing a long-standing barrier to growth. This change will also bring in large institutions and services across the business and banking world, allowing this major U.S. industry to have the same support as the rest of our economy. When federal policy catches up to reality, it changes how consumers, families, and patients think about cannabis. That matters just as much as the business impact.” –Tim Barash
Riana Durrett, Director
Cannabis Policy Institute at UNLV (University of Nevada, Las Vegas)
“I appreciate seeing movement in the right direction for a substance that was overly criminalized in the United States and hope that with more research and policy discussions, the cannabis plant will continue to become more available as medicine and allowed for adult use, as appropriate.
“It is difficult to gauge how much impact this will have on cannabis research as cannabis will still be scheduled and require federal agency approvals as well [as] DEA registration for research purposes, but it is a step in the right direction.
“I don’t think there will be immediate changes in access to medical or adult-use cannabis. However, it is a significant change in the federal approach and mindset relating to cannabis. This change reflects America’s tendency to make incremental progress, but I hope it also reflects growth from the failed war on drugs, especially as it relates to cannabis.” –Riana Durrett
Jason Ortiz, Director of Strategic Initiatives
Last Prisoner Project
“President Trump’s decision to reschedule cannabis is a historic step that reflects the will of the American people. However, moving cannabis to a lower schedule does nothing for the tens of thousands of Americans still locked behind bars for actions that are now legal in most of the country. Thankfully, President Trump has demonstrated he is willing to act boldly to correct outdated policies. By pairing rescheduling with clemency for people incarcerated for cannabis, he can cement his legacy as the leader who has done more for cannabis justice than any other president in American history.” –Jason Ortiz
Milton Jones, President
UFCW International
“The administration’s plan to reclassify cannabis amounts to a tax giveaway for cannabis business owners without any protections for the workers who power this industry.
“Similar to the Biden administration’s plan, this effort risks creating an industry that reinforces the inequities present throughout our economy. Hundreds of thousands of cannabis workers will still face the same challenges that they do now, including the lack of access to proper job training and health and safety protections.
“Reclassifying cannabis from a Schedule I to Schedule III drug ignores the needs of workers and wastes the chance to finally deliver justice for the families impacted by the war on drugs. Cannabis must be federally decriminalized, with a regulatory framework to ensure that cannabis workers, from seed to sale, have the health, safety, and labor protections they deserve.” –Milton Jones
Nicolas Guarino, Co-Founder and CEO/Co-Founder
Jaunty/Empire Cannabis Manufacturers Alliance
“Rescheduling is a critical step toward fully integrating cannabis into the mainstream economy – one that most Americans already recognize as legitimate. Section 280E of the IRS tax code has been one of the greatest burdens on operators across the supply chain, but rescheduling would allow cannabis businesses to be taxed like any other legal industry, freeing up billions of dollars that can be reinvested into operations, innovation, and long-term growth. It would also help level the playing field, finally giving responsible operators who have played by the rules a fair shot to compete and succeed.
“However, the most immediate impact would be felt in medical markets. Adult-use markets in 24 states and D.C. would still face significant federal limitations that hinder the industry from reaching its full potential. We’re hopeful that this decision marks a progressive and landmark decision – one that sets a clear precedent and helps advance improved measures like SAFE Banking, increased access to logistic providers and to capital, and ultimately, federal legalization.” –Nicolas Guarino
Alana Malone, Co-Founder and CEO
Green Dot Labs
“With President Trump’s decision to reschedule cannabis to Schedule III, the plant’s established medical benefits and lower risk profile are now formally recognized, aligning federal law with scientific evidence and the proven success of state markets that balance product safety and consumer protection through responsible regulations.
“For legacy brands like Green Dot Labs, founded in Colorado – one of the nation’s first legal cannabis markets – this shift represents important progress after more than a decade navigating an uncertain federal landscape. It begins to address long-standing barriers such as limited access to banking and significant tax burdens, while opening the door to increased investment in research, innovation, and product development. We look forward to a federal framework that supports access to banking, sustainable industry growth, and patient and consumer access – while building on the progress made at the state level since the early 2000s.” –Alana Malone
Thomas Winstanley, Executive VP and General Manager
Edibles.com
“We recognize the significance of today’s announcement on cannabis rescheduling and the meaningful role federal leadership has played in advancing safe and equitable access to THC products. From the 2018 Farm Bill to the latest reclassification effort, President Donald Trump’s actions have contributed to a more stable and transparent regulatory environment for the THC industry. This is a historic moment for our partners across regulated cannabis, and we are hopeful that a similar balanced approach will be applied to hemp to ensure consistency, consumer safety, and continued industry innovation. We look forward to further progress that supports responsible growth across the entire THC supply chain from farmers, to entrepreneurs, and to consumers.” –Thomas Winstanley
Brian Vicente, Founding Partner
Vicente LLP
“This monumental change will have a massive, positive effect on thousands of state-legal cannabis businesses around the country. One dominating inequity cannabis businesses face is the inability to deduct regular business expenses, since they sell a Schedule I substance. Rescheduling releases cannabis businesses from the crippling tax burden they have been shackled with and allow these businesses to grow and prosper. We work with hundreds of licensed cannabis businesses, and the ability to deduct ordinary operating costs under the Schedule III proposal is a game-changer for them." –Brian Vicente
Zachary Kobrin, Partner
Saul Ewing
“Rescheduling marijuana to Schedule III is the most consequential federal cannabis action in decades. It unlocks potential for legitimate scientific and medical research by signaling federal recognition of the medical value of marijuana. It dismantles Section 280E, significantly reducing tax burdens and allowing that capital to circulate in the marketplace. It sends a clear signal that the federal government recognizes the medical value of marijuana and CBD, and will hopefully lead to real advancements. Capital markets should immediately take notice, giving a boost to companies. It will potentially force state regulators to consider how state regulations fit into this new normal. While ultimately not the saving grace, rescheduling gives the industry oxygen to operate like a real business rather than a tolerated outlier.
“As important as the benefits are, the unanswered questions are just as important. What does Schedule III mean without FDA-approved cannabis products? How will DEA enforcement evolve? Where do state adult-use markets fit inside a federally controlled framework? What happens to interstate commerce, physician prescribing, and existing convictions? Rescheduling answers the question of whether cannabis belongs in the shadows. It does not answer how the federal government plans to integrate a multibillion-dollar industry into a coherent regulatory system. That work now begins.” –Zachary Kobrin
Josh Horn, Partner
Fox Rothschild
With President Trump’s executive order, it is now back on the DEA to effectuate rescheduling through issuing rules and ending the administrative hearing that is currently on hold regarding those rules. If this happens, it could rectify the criminal injustice that has been ongoing since the passage of the Controlled Substances Act, where people of color have been disproportionately impacted by the “war on drugs.” At the same time, rescheduling is a game-changer for state-legal cannabis businesses. For one, more states may adopt cannabis reform for medical and adult use purposes. The burdens that Internal Revenue Code Section 280E could go by the wayside, and more traditional banking options may open for the industry. In the end, rescheduling should reinvigorate these businesses out of their current tax and financial struggles. –Josh Horn
Paula Savchenko, Founding Partner
Cannacore Group and PS Law Group
“President Trump’s decision to reschedule marijuana to Schedule III reflects a long-overdue acknowledgment of reality: Cannabis has recognized medicinal value, is used responsibly by millions of Americans, and should be governed by science, not stigma.
“For decades, federal cannabis policy has been untethered from medical evidence and economic common sense. Schedule III status aligns federal law more closely with how cannabis is actually used in medical practice, research, and regulated markets across the country. This shift opens the door to expanded clinical research, clearer regulatory pathways, and a more rational national framework.
“Rescheduling marijuana to Schedule III is not just a cannabis policy shift; it is a pivotal moment for the hemp industry. For years, hemp operators have functioned in a fragmented and often contradictory regulatory environment, despite Congress’ clear intent in the 2018 Farm Bill to legalize hemp and its derivatives. Marijuana rescheduling has the potential to bring long-needed clarity, stability, and legitimacy to the broader cannabinoid marketplace, if implemented correctly.
“When federal policy begins to acknowledge that cannabis has medicinal value and can be regulated responsibly, it strengthens the argument that hemp-derived cannabinoids should be governed by science, manufacturing standards, and consumer safety, not arbitrary enforcement or shifting interpretations.” –Paula Savchenko
Eric Walter, Partner and Cannabis Law Practice Leader
Armstrong Teasdale
“Today’s executive order directing federal agencies to complete the process of rescheduling marijuana from Schedule I to Schedule III was long overdue. Marijuana never belonged on Schedule I, which is reserved for substances with no medical use. The federal government never showed that marijuana had no medical use, and in 1998, it filed a patent application that argued marijuana had multiple medical uses. That patent was approved in 2003, but until the past two administrations, there was not sufficient political will to align marijuana’s scheduling with the position taken in that patent application. Once rescheduling is implemented, state-authorized and regulated marijuana companies will finally be able to take the normal deductions available to every other business. Rescheduling also opens the door to new research opportunities and hopefully inspires other sensible federal policy changes for the industry on matters such as banking and credit card transactions.” –Eric Walter
Nick Richards, Co-Chair of the Cannabis Practice
Greenspoon Marder
"With the move to Schedule III, cannabis companies should be able to claim the same deductions as ordinary businesses. But there was a strong emphasis that they are not making marijuana legal, and that might be used by the IRS to continue denying deductions for the current industry. Generally, tax changes are not retroactive, and we will have to see whether the effective date is immediately or upon ultimate rescheduling.
"It is important to note that the industry has been fighting 280E for some time, and there are large reserves, UTP Disclosures, IRS debt, basis issues, and potential capital assets tied up in that fight. The good news is that IRS Offers in Compromise should be available – but probably not bankruptcy. Greenspoon Marder has secured numerous collection alternatives for cannabis companies and will be reviewing them with its clients according to the new developments.
"It will be fascinating to see how the licensed industry evolves. Currently, it is not Schedule III compliant and almost certainly unable to traffic in interstate commerce. But Rite Aid is. Will consumers visit their local pharmacy for California Sun Grown OG? Will the current industry evolve into Schedule III providers? Obviously, there is a lot of work to be done – states need to update their regulations, the federal government needs to resolve massive tax liabilities and remaining uncertainties around Section 280E, and the cannabis industry needs to become Schedule III compliant. It will take some time." -Nick Richards
Jon Robbins, Chair of Cannabis Practice
Akerman LLP
"The move to reschedule cannabis to Schedule III is a significant and long-overdue acknowledgement that marijuana has accepted medical value in the United States, and it holds the potential to meaningfully reshape the industry. Relief from the harsh limitations of IRS Code Section 280E alone would dramatically improve the financial health of state-legal operators, while rescheduling should also ease longstanding barriers to traditional banking, investment, and much-needed large-scale scientific research. At the same time, we should be honest about the many complexities and unknowns that remain. Questions around how cannabis-derived medicines will be regulated, whether products must be dispensed through pharmacies, the FDA approval process, and whether interstate commerce will truly open are far from settled and will require thoughtful, coordinated policymaking.
"Although this does not 'legalize' marijuana outright, it does signal a more rational federal posture, recognizing medical legitimacy while hopefully keeping adult-use enforcement as a low priority. Much will depend on how quickly the federal rulemaking process unfolds, and while motivated leadership could finalize rescheduling in a matter of months, legal and political challenges are likely. Still, if properly implemented, this shift could accelerate cannabis research, attract greater investment, and pave the way for responsible pharmaceutical development, while offering long-awaited regulatory clarity to both established operators and new market entrants. With consumer demand strong and public support for medical marijuana overwhelming, a well-designed Schedule III framework has the potential to unlock innovation, stabilize businesses, and help the U.S. cannabis market expand significantly in the years ahead." -Jon Robbins
Marc Beginin, Founder and CEO
Prodigy Processing Solutions
“Rescheduling cannabis to Schedule III is a long-overdue step toward aligning this industry with science, public demand, and common sense. It removes barriers that have slowed investment and innovation, opening the doors to comprehensive research into the plant’s therapeutic potential, more equitable tax treatment for operators, and meaningful engagement from the pharmaceutical and life sciences communities. Most importantly, consumers stand to benefit from safer, more consistent products built on enforceable GMP standards.
“At Prodigy, we’ve spent years engineering systems that meet FDA and EU GMP benchmarks so operators are prepared not only for federal oversight, but for the global pharmaceutical opportunities that will shape the next decade of cannabis.” –Marc Beginin
Craig Henderson, CEO and Founder
Extract Labs
“Reclassification signals that the federal government is finally acknowledging reality, which could unlock more research, ease some financial constraints, and bring greater legitimacy to the industry. Many in the industry see it as a meaningful step forward, regardless of politics. However, it doesn’t automatically fix banking access, interstate commerce, or state-by-state inconsistencies. There’s also a chance that new regulations could favor larger players and make compliance more difficult for small, responsible businesses if not implemented thoughtfully.” –Craig Henderson
Bryan Gerber, Co-Founder and CEO
Hara Supply and Hara Brands
"Rescheduling cannabis to Schedule III marks a long-overdue milestone and the beginning of a new chapter for our industry. By removing barriers that have long restricted access to capital, this change will reduce risk for banks and pave the way for meaningful institutional investment. Equally transformative, relief from the crushing 280E tax burden will provide operators the financial breathing room to expand, innovate, and better serve consumers. This is more than regulatory progress; it is a historic turning point that moves us closer to an equitable, sustainable, and thriving cannabis marketplace." –Bryan Gerber
Kim Sanchez Rael, CEO and Co-Founder
Azuca
“Federal rescheduling would be a meaningful signal that U.S. cannabis policy is beginning to catch up with reality. But as with all policy moments in this industry, the signal alone is not the outcome. The details matter, and alignment matters even more.
“If rescheduling is paired with clear, consistent guidance on hemp and cannabinoids, it could finally reduce years of regulatory ambiguity that have stalled innovation and forced responsible operators to navigate constant uncertainty. That kind of clarity creates a foundation for smarter regulation – one that distinguishes science-based products from bad actors and supports safe, compliant growth across cannabis and hemp alike.
“What we cannot afford right now is fragmented advocacy layered on top of fragmented policy. When cannabis and hemp stakeholders push for separate outcomes, we turn policymakers into referees instead of partners. Industries don’t advance that way. They advance by aligning around shared priorities: safety, transparency, access, and a fair playing field in taxation and financial services.
“For businesses, rescheduling alone doesn’t solve everything, but it does open the door to functional policy if we choose to walk through it together. For consumers, it’s an opportunity to move away from prohibition-era frameworks and toward regulation that prioritizes trust, consistency, and real-world use.
“This moment reinforces what the industry has long known: We don’t need louder rhetoric – we need coordinated, practical solutions. The companies that will thrive next are those prepared to operate responsibly under clearer rules, while continuing to push for a regulatory system that reflects the reality of one plant, many use cases, and an evolving marketplace.
“True reform doesn’t come from noise. It comes from alignment. And it will never be true reform until there is also justice for those wronged by prohibition and disparate enforcement.” –Kim Sanchez Rael
Luc Mongeau, CEO
Canopy Growth
"Canopy Growth welcomes the decision to reclassify cannabis in the United States, which marks an important step toward modernizing federal cannabis policy and advancing the normalization of a regulated market.
“Rescheduling supports a more rational, science-based framework that expands access to research, improves patient care, and strengthens the transition to regulated channels. Greater regulatory clarity also helps create a more sustainable operating environment for responsible businesses and long-term investment in the sector.
“Canopy Growth is well-positioned in the U.S. through Canopy USA, with established operations and leading brands including Jetty, Wana, and Acreage, alongside Canopy Growth’s strategic stake in TerrAscend. Our U.S. strategy has been built to align with evolving regulation, and we view this milestone as supportive of long-term value creation and disciplined, responsible growth." –Luc Mongeau
JP Doran, CEO
Crucial Innovations Corp (CINV)
“We applaud the U.S. government for undertaking the most significant reform in federal cannabis policy since the 1970s. While rescheduling stops short of full federal legalization, it meaningfully reduces research barriers, modernizes regulatory oversight, and formally acknowledges the medical value of cannabis within federal policy.
“Because this development comes from the world’s largest pharmaceutical market, its impact extends far beyond U.S. borders. It is expected to catalyze international momentum, encouraging regulators in the U.K., EU, South Africa, and other emerging markets to revisit outdated frameworks, align with evolving scientific evidence, and create clearer pathways for medical cannabis innovation. Greater regulatory convergence will help unlock cross-border research, harmonize quality standards, and expand patient access globally. As global markets respond to this shift, rescheduling stands to accelerate the development, approval, and international distribution of next-generation cannabis-based medicines. We welcome reforms that advance transparency, safety, and patient access, and we look forward to contributing to a more connected, science-driven global cannabis ecosystem.” –JP Doran
Cy Scott, Co-Founder and CEO
Headset
“Moving cannabis to Schedule III would have immediate, real-world consequences for operators, particularly at a moment when the industry is under historic financial pressure. Legal cannabis margins have been steadily compressed over the past several years, leaving retailers with far less room to absorb fixed costs and punitive taxation.
“In that environment, 280E is not an abstract policy issue. It directly determines whether many otherwise healthy, well-run businesses can stay open. Because the tax effectively applies to gross profit rather than true operating income, a significant share of cannabis retailers today are operating at or near breakeven after federal taxes. Removing 280E would create an instant improvement in cash flow, allowing operators to stabilize their businesses rather than simply survive quarter to quarter.
“From a data perspective, this is why rescheduling matters now. The industry does not need symbolism; it needs relief that reflects current market realities. Improved cash flow would translate into fewer store closures, more consistent staffing, better pricing discipline, and a more sustainable legal market overall.” –Cy Scott
Christy Aranguiz, CEO and Co-Founder
Minnesota Cannabis Services
“Today’s decision is a monumental step forward for both businesses like mine and the patients who rely on it every day. For more than a decade, I’ve seen cannabis ease chronic pain, reduce anxiety, support recovery, and improve quality of life. Patients and doctors have long recognized these benefits, but federal policy has lagged behind. Rescheduling finally acknowledges what millions already know: Cannabis is a legitimate therapeutic tool.
“As someone who built a multistate company from the ground up with no outside investment, I know how challenging it has been to operate while legitimacy was questioned. This shift brings recognition, stability, and the chance to expand research into cannabis’s full medical potential. For me, this moment is both validation and motivation, and I am energized for what it means for the future of cannabis as medicine.” –Cristy Aranguiz
Marc Rodriguez, Co-Founder and CEO
Green Leaf Business Solutions
“Rescheduling cannabis marks a moment of normalization, not just a policy shift. As the industry becomes more institutionalized, expectations rise alongside opportunity, particularly around governance, transparency, and operational discipline. This change will reward operators that already function like legitimate businesses with scalable infrastructure and strong internal controls. At the same time, it introduces greater scrutiny that will expose structural weaknesses across the market. While challenges remain, this is a meaningful step toward treating cannabis as the regulated industry it has long been.” –Marc Rodriguez
Adam Stettner, CEO
FundCanna
“Rescheduling cannabis to Schedule III will deliver immediate, measurable impacts. Most notably, it eliminates Section 280E from the federal tax equation for licensed operators – a change that, for many, is the difference between treading water and turning a profit. It also unlocks long-blocked research pathways, enabling rigorous clinical studies, standardized formulations, and a new era of product innovation. Additionally, it has catalyzed a broader shift across the industry, pushing cannabis businesses to adopt more institutional practices around banking, compliance, financial reporting, and governance.” –Adam Stettner
Terry Mendez, CEO
Safe Harbor Financial
“President Trump’s rescheduling cannabis by executive order marks a significant shift in tone from Washington and a meaningful moment for an industry long stuck in legal limbo. Reclassifying cannabis as Schedule III would acknowledge its medical legitimacy and begin to correct a half-century of misguided federal policy. That said, rescheduling is not reform. The core challenges around cannabis banking, such as compliance burdens, cash dependency, and regulatory uncertainty, would remain unchanged. The industry would still fall under the Bank Secrecy Act, with all its reporting and monitoring obligations intact. This moment is likely to invite broader interest from financial institutions, but without structural reform or updated guidance, many will remain cautious. A true fix requires a coordinated federal framework that aligns financial policy with the realities of a $38 billion state-legal industry. Any step forward is welcome, but incremental progress should not be mistaken for a comprehensive solution. The cannabis sector deserves financial clarity, not just legal signals.” –Terry Mendez
Anthony Coniglio, CEO
NewLake Capital
“We welcome President Trump’s directive to the Department of Justice to finalize the rescheduling of cannabis from Schedule I to Schedule III. This represents a historic and long-overdue alignment of federal policy with scientific evidence, medical practice and the regulatory reality already functioning across most U.S. states. Now, follow-through is critical. We urge the DOJ and DEA to move swiftly to issue the final rule and complete the rescheduling process. Doing so would finally remove the punitive burden of Section 280E, allowing compliant, state-licensed operators to reinvest in growth, innovation and workforce development across the nearly half-million Americans employed in this industry.
“This is not about legalization – it’s about legitimacy. Responsible operators have long followed strict state-level compliance frameworks that prioritize safety, transparency and consumer protection. Rescheduling would rightfully distinguish these businesses from illicit markets and allow federal enforcement to focus where it truly belongs: on criminal cartels, not compliant small businesses. This announcement is a milestone, not a finish line. Congress must build on this momentum by passing the bipartisan SAFER Banking Act and advancing STATES 2.0 to create a durable national framework that strengthens safety, access and accountability for all stakeholders.” –Anthony Coniglio
Peter Sack, CEO/Co-CEO
Chicago Atlantic BDC Inc./Chicago Atlantic Real Estate Finance Inc.
“The rescheduling of cannabis products is a tremendous step forward for the regulated cannabis industry. Chicago Atlantic has invested more than $2.5 billion in cannabis businesses across the country, supporting both emerging entrepreneurs and large multistate companies. The White House's executive order and the implementation of rescheduling helps industry operators, big and small, by lessening tax burdens, opening up channels for research, and furthering the normalization of a product that benefits millions across the country, not to mention the hundreds of thousands of individuals employed in this industry today. Chicago Atlantic looks forward to continuing to provide capital for dispensary operators and cultivators.” –Peter Sack
Kyle Sherman, Founder and CEO
Flowhub
“Reclassifying cannabis to Schedule III is a meaningful win in the fight to end the failed war on drugs. This is a step in the right direction towards full destigmatization of cannabis and removes roadblocks for operators that have held the industry back from reaching its full potential.
“One of the biggest barriers has been 280E, an outdated tax policy that’s crushed plant-touching companies for years. Now, businesses will finally have the opportunity to become profitable and reinvest capital into hiring and growth. With more cash on hand, fewer businesses will face insolvency. We’ll see a healthier cannabis economy and a resurgence of investment in the space. More traditional financial institutions will be willing to work with the industry, and more patients will have access to cannabis as medicine.” –Kyle Sherman
Deborah Saneman, CEO
Würk
“The reclassification of cannabis is a major milestone for every operator in cannabis. We've all been working toward this moment, proving that this industry can operate professionally and safely, despite being held back by outdated federal policies.
“What impresses me most is how our industry has kept pushing forward through every obstacle. Cannabis businesses have shown they can adapt, innovate, and deliver quality products, even when the deck was stacked against them.
“Importantly, this shift also brings cannabis businesses closer to operating like companies in any other industry with greater access to liquidity and fairer financial treatment. That change will unlock opportunities that simply haven’t been available under current regulations.
“At Würk, we've been honored to support so many of these companies with payroll and HR solutions that actually work for cannabis. We're here for the long haul as this industry continues to grow and gain the recognition it deserves.” –Deborah Saneman
Socrates Rosenfeld, CEO and Co-Founder
Jane Technologies
“We welcome the decision to reschedule cannabis. This long-overdue step aligns regulation with science and public opinion, providing a necessary foundation for patient relief and compliant business growth. It also acknowledges the historical harm caused by outdated laws. We are hopeful this marks the beginning of real momentum toward the broader, systemic reform needed for a truly just and accessible industry – a commitment we will champion until achieved." –Socrates Rosenfeld
Rodney Holcombe, Vice President of Public Policy
LeafLink
“The president’s announcement to move cannabis to Schedule III is an important step in the right direction. This change will help create tax parity between other industries and legal cannabis businesses, strengthening the foundation for long-term sustainability. It also reflects a meaningful shift in how cannabis reform is viewed – one that aligns with the views of a majority of Americans. LeafLink is committed to advocating for reforms that will foster a more healthy cannabis market.” –Rodney Holcombe
Michael Johnson, CEO
Metrc
"Today’s decision to advance cannabis rescheduling represents one of the most consequential shifts in policy for legal cannabis in decades, removing some of the key roadblocks the industry has long faced. While this is not full federal legalization, this move makes meaningful progress towards standardizing the industry and setting the stage for much-needed policy frameworks. Next, as the industry grows and evolves in the coming years, ensuring the traceability and safety of cannabis products reaching shelves will be critically important.” –Michael Johnson
Sasha Kalcheff-Korn, Executive Director
Realm of Caring Foundation
"For decades, cannabinoid therapies have existed in a regulatory gray area while millions of Americans rely on them to manage pain, sleep issues, anxiety, and inflammation. The Trump administration's decision to reschedule cannabis to Schedule III is an acknowledgement of the therapeutic potential of the plant that Realm of Caring and other organizations have worked so consistently to demonstrate. This move will open a door that has been closed for far too long by making it possible to pave a clear, science-driven regulatory pathway that enables more research and establishes federal standards for manufacturing, testing, labeling, and consumer safety; guardrails that have never existed but are desperately needed. Finally, this designation gets us closer to matching the reality of how people are using cannabis to improve their lives. Today represents a significant milestone for our industry and our organization's mission, and we look forward to continuing our role in connecting patients with guidance and clarity on the benefits of cannabinoid therapies." –Sasha Kalcheff-Korn
Jasmine Johnson, CEO
GŪD Essence
“Federal rescheduling marks a long-overdue shift toward treating cannabis as the medical, economic, and community issue it truly is – not a criminal one. This change opens the door for real scientific research, fairer taxation, and more sustainable operations for licensed operators who have been building responsibly despite outdated federal barriers.
“For patients, rescheduling means better access, more consistent standards, and products backed by research instead of stigma. For operators like us, it allows reinvestment into jobs, education, and community infrastructure rather than navigating a system designed to penalize compliance.
“Rescheduling alone is not the finish line – but it is a critical foundation. The next step must be ensuring that small, minority-owned, and legacy-rooted businesses are not left behind as the industry evolves. If done thoughtfully, this moment can finally align public policy with public reality and create a cannabis industry that is safe, equitable, and economically sound.” –Jasmine Johnson
Jenny Lamboy, VP of Strategy
Hybrid Marketing Co.
"Removing interstate commerce barriers might rebalance such inequities as we see with California, whose market is dying while the New York market thrives. Should cannabis receive FDA approval, rescheduling would introduce a fresh dynamic that would allow states like California to ship legally to New York – which currently takes huge receipt of illicit California product – and finally reap the benefits of the untaxed cannabis they’re already sending." –Jenny Lamboy
Keith Chic, Co-Founder and CFO
Sunderstorm
“Moving cannabis from Schedule I to Schedule III is meaningful progress. It opens the door to expanded research, improved medical credibility, and relief from punitive tax burdens that have constrained legitimate operators. Most importantly, this shift may help steer new investors toward a capital-starved industry. That said, it’s not a cure-all – without a national framework for interstate commerce, operators will continue to face challenges generating sustainable profits. Schedule III is a step forward, but comprehensive federal reform remains essential.” –Keith Chic
Evan Eneman, CEO
Iconic Tonics
“Rescheduling cannabis is progress, but it doesn’t go far enough. Like wheat or corn, the plant itself isn’t the problem – regulation should focus on finished products with sensible public health and safety safeguards. Until the plant is fully descheduled, consumers, patients, and small businesses will continue to face unnecessary obstacles and risk.” –Evan Eneman
Everett Smith, CEO and Co-Founder
Presidential
“Rescheduling cannabis away from a Schedule I substance marks a pivotal step for both the industry and the people who have long dedicated their lives to the plant. This decision not only creates new opportunities for growth but also legitimacy across the space. At Presidential, we’re proud to be part of this moment and help shape the next chapter, and we remain committed to continuing to drive progress for the industry and our customers.” –Everett Smith
Christian Killoran, Cannabis Legal Advocate
Killoran Law
“Marijuana reclassification strengthens state authority, reinforces preemption over local obstruction, and allows law enforcement to focus on fentanyl traffickers instead of compliant businesses. It makes clear that illicit drug networks, not regulated cannabis, are the real public enemy.” –Christian Killoran
Marq Hayes (Michelin-Trained Chef), Owner and Founder
Brown Budda New York
“Cannabis enthusiasts demand trust, provenance, and intention. Reclassification allows the cannabis industry to mature into the same category as fine wine, spirits, and wellness experiences, where safety, craftsmanship, and accountability are non-negotiable. When regulated operators are allowed to operate at the highest standard, discerning consumers choose transparency, craftsmanship, and trust over uncertainty. That is how illicit markets lose relevance not through denial of demand, but by offering an experience that is unequivocally better.” –Marq Hayes
Ryan Hunter, Chief Revenue Officer
Spherex
"Cannabis is still federally illegal – but even as a federally illegal substance, the move to Schedule III dramatically reduces the federal tax burden for operators. Under IRS code 280E, handling Schedule I or Schedule II substances eliminates the ability for operators to deduct standard operating expenses that most other businesses deduct from their federal taxes. As a result of 280E, cannabis operators’ effective tax rate may be as high as 80%. Beyond this significant improvement, the implications are unclear, but we’re hopeful that this move will allow for cannabis operators to garner the same investment opportunities other industries will enjoy." –Ryan Hunter
Business executives, advocates, attorneys, politicians, and ancillary service providers overwhelmingly applaud the order as a first step, not an end destination.
Tony Lange
December 19, 2025
President Donald Trump said it loud and clear during his executive order on Dec. 18 to reschedule cannabis: He’s never been inundated by “so many people” on a particular issue.
The move directing U.S. Attorney General Pamela Bondi to reclassify cannabis from Schedule I to Schedule III is not a small detail lost on just about anyone connected to the industry. Loosening restrictions on the plant through lowering its potential for abuse and finally recognizing its medicinal value breaks ties with 55 years of precedence under the Controlled Substances Act.
“We have people begging for me to do this,” Trump said during Thursday’s signing ceremony, mentioning veterans with service-related injuries and older Americans living with chronic medical problems that “severely degrade their quality of life.”
According to the president, 82% of Americans support cannabis rescheduling.
“I think I probably have received more phone calls on this, on doing what we’re doing,” he said. “I don't think I received any calls on the other side of it, but hopefully this reclassification … will help many of those patients live a far better life.”
Trump emphasized that rescheduling is not legalization and that it’s “never safe to use powerful controlled substances in recreational manners,” calling attention to prescription painkillers that, while having “legitimate use,” can do irreversible damage and “wreck” lives if abused.
At the same time, the president said that “facts” compel the federal government to recognize that cannabis has medical applications that can be substitutes for “addictive and potentially lethal opioid painkillers. They cause tremendous problems. [Cannabis] can do it in a much lesser way. It can make people feel much better that are living through tremendous pain and problems.”
Trump said he promised to be a president of common sense and that rescheduling cannabis is a common-sense issue.
“This is really something having to do with common sense, and it’s something having to do with the fact that so many people that I respect asked me to do,” he said. “I’ve never been inundated by so many people as I have about this particular reclassification.”
Also in the executive order, Trump directed White House officials to work with Congress to update the statutory definition of final hemp-derived cannabinoid products to allow Americans to benefit from access to full-spectrum, nonintoxicating CBD products. This approach will be complemented by a Centers for Medicare and Medicaid Services (CMS) policy shift allowing doctors to recommend CBD products to older Americans, with Medicare covering up to $500 annually for qualifying individuals as soon as April 2026.
While the majority of cannabis industry stakeholders applaud the reform directives, many differ on their viewpoints on the potential impacts. Others used their platforms to promote full legalization by descheduling cannabis from the CSA altogether.
Here are many of those takes:
Michael Bronstein, President
American Trade Association for Cannabis and Hemp (ATACH)
“Today’s decision to move cannabis to Schedule III marks the most significant federal shift in cannabis policy in over 50 years. After decades of outdated policy, the federal government has finally acknowledged what we as a movement have said for a generation: that marijuana can be medicine. It opens doors to expanded medical research and helps reduce the stigma and provide for better patient outcomes. This change also brings long-overdue equal tax treatment by lifting draconian tax penalties on state-legal businesses, and allowing reinvestment in local jobs and communities. Today is a celebration, but our work is not done, and we will build on this momentum to establish a comprehensive regulatory framework to fully end prohibition in America.” –Michael Bronstein
Kim Rivers, CEO
Trulieve
"This bold and historic direction from President Trump represents long overdue change and a major milestone in cannabis reform. Trulieve is grateful for the decisive action taken by the administration that acknowledges the medical benefits of cannabis, supports licensed and regulated operators, and allows law enforcement agencies to prosecute bad actors. We are committed to supporting the administration throughout this process." –Kim Rivers
Howard Kessler, Founder
The Commonwealth Project
"President Trump’s executive order has unleashed a seismic shift in health care – one of the boldest breakthroughs in generations. While the rescheduling of cannabis will dominate the headlines, it's his revolutionary pilot Medicare program that brings immediate, life-altering relief and access to cannabinoid-based therapies for millions of seniors grappling with chronic pain and debilitating conditions. We've championed the profound medical benefits of CBT for our aging population, and today, the president has transformed that vision into action. Hats off to him for heeding the evidence, leading with compassion, and smashing barriers so seniors can access the care they deserve – now. For seniors, CBT is a game-changer offering safe, evidence-based options for chronic conditions that traditional meds often fail.” –Howard Kessler
Kimberly Roy, Commissioner
Massachusetts Cannabis Control Commission
“President Trump’s executive order expediting rescheduling of cannabis marks a significant step forward for public health and patient care in the United States. By aligning federal policy more closely with the science, this action will help remove long-standing barriers to medical research and open the door to safer, more effective treatments for people living with chronic and debilitating conditions.
“For veterans managing service-related injuries and trauma, and for older Americans coping with pain, cancer, and age-related illnesses, this change has the potential to expand access to evidence-based therapies while maintaining strong safeguards. It will also empower researchers and clinicians to better understand both the benefits and risks of cannabis, ultimately improving clinical guidance, product safety, and quality of life for patients across the country. My hope is that Massachusetts will be a global leader in this effort.” -Kimberly Roy
Gibran Washington, CEO
Ethos
Rescheduling cannabis from Schedule I to Schedule III is a long-overdue acknowledgment of what patients, providers, and responsible operators have known for years: This plant has real therapeutic value, and the current federal posture has been holding progress back. Rescheduling won’t fix every challenge in front of us, but it finally moves us in the right direction, opening clearer pathways for research, easing unnecessary barriers for patients, and creating a more functional regulatory environment for operators who are doing this the right way. At Ethos, our commitment has always been to education, science, and access. This shift should be the beginning of broader reforms that address affordability, equity, and the stigma that still shadows this industry. If done thoughtfully, rescheduling can be a catalyst for a more transparent, patient-centered, and responsible cannabis ecosystem. –Gibran Washington
Boris Jordan, Chairman and CEO
Curaleaf
“Thank you, President Trump, for moving forward with rescheduling cannabis to Schedule III. This action is a landmark moment for our industry and the country. President Trump’s action is the most impactful move taken around the cannabis plant since its prohibition 55 years ago. We applaud the Trump Administration for boldly acknowledging what science, patients, and the industry have known for years: Cannabis has real medical value and never belonged in Schedule I in the first place.
“President Trump promised action, and he delivered. Rescheduling will expand research, ensure broad medical access, protect young people and patients from the illicit market, drive investment, and address outdated tax policies that punish legal operators. It’s a win for public health, the economy, and common sense.” –Boris Jordan
George Archos, Founder and CEO
Verano
“Today's historic cannabis rescheduling announcement marks a significant milestone and transformative policy shift that paves the way for America’s next great homegrown industry to finally reach its full potential by serving patients, creating jobs, unlocking economic growth, and reversing decades of harmful prohibitionist policies.
“We’re grateful to President Trump for recognizing the overwhelming majority of Americans who support cannabis rescheduling, opening the door to federal reform, medical research, and normalization for an industry that employs hundreds of thousands of professionals and contributes billions of dollars in taxes and economic activity every year.
“We look forward to the new opportunities rescheduling will provide cannabis businesses of all sizes, including critical banking and regulatory reforms that will unlock additional health, wellness, and economic benefits for communities nationwide.” –George Archos
Jon Levine, CEO
MariMed
“We commend President Trump and the Trump administration for reclassifying cannabis as a Schedule III drug. This is the single greatest cannabis reform in U.S. history and will have far-reaching benefits for years to come. Most important, the reclassification means the federal government officially acknowledges that cannabis has widely accepted medical uses and low abuse potential.
“Rescheduling will accelerate accredited medical research into medications derived from cannabis and should result in a significant increase of consumers who will embrace cannabis as a qualified alternative to opioids for chronic pain, sleep, anxiety and other ailments.
“Additionally, state-legal cannabis businesses will no longer be subject to the IRS Section 280E tax penalty. Compliant operators like MariMed will finally be taxed like other consumer packaged goods sectors, materially improving profitability and free cash flow.” –Jon Levine
Charlie Bachtell, CEO/Chair
Cresco Labs/US Cannabis Roundtable
“The US Cannabis Roundtable commends President Trump and the Trump administration for moving to reclassify cannabis as a Schedule III drug. Once completed, this shift will mark a dramatic break with the failed policies of the past. Cannabis has widely accepted medical uses and low abuse potential. It never belonged at Schedule I. After more than five decades, this untenable status quo is finally coming to an end.” –Charlie Bachtell
Ben Kovler, CEO
Green Thumb Industries
“Rescheduling cannabis to Schedule III is long overdue and an important acknowledgment of the science-backed medical benefits recognized by patients for decades. Across the United States, millions of registered patients rely on cannabis for relief from a wide range of chronic conditions and debilitating symptoms.
“We commend the administration for taking this historic step, while recognizing it is only the beginning. True federal reform is still needed to allow the cannabis industry to reach its full potential and meet growing demand nationwide. At Green Thumb, we remain committed to advocating for lasting change that will expand access and deliver well-being to even more Americans.” –Ben Kovler
Scott Davido, CEO
Ayr Wellness
“Ayr Wellness applauds the historic executive order from President Trump to reclassify cannabis from Schedule I to Schedule III. This marks a major step towards unlocking further research into the medical efficacy of cannabis and allowing fair tax treatment for the cannabis industry. Our industry is one of the fastest-growing sectors of the U.S. economy, employing more than 400,000 Americans. Alongside our peers, we continue to advocate for further cannabis reform federally and at the state level, which we believe will be spurred by today’s historic decision.” –Scott Davido
Sam Brill, CEO and Director
Ascend Wellness Holdings
“The move to reschedule cannabis from Schedule I to Schedule III marks a critical advancement for society, public safety, and access for patients across the United States. Recognizing the medicinal benefits of cannabis paves the way for expanded research, informed policymaking, and more consistent access to safe, regulated products for those who need them most.
“We commend the Trump administration for taking this long-overdue, common-sense, and data-driven step forward. We are optimistic that continued progress will support a transparent and regulated framework that protects individual liberties, enhances public health, fosters a well-regulated market, and drives domestic employment and economic growth.” –Sam Brill
Jason Wild, Executive Chairman
TerrAscend
“President Trump's move to reschedule cannabis is a game-changer. For TerrAscend, it means clarity on 280E, lower cost of capital, and the ability to compete on a level playing field. With predictable cash flow, we can expand more aggressively and drive long-term shareholder value.” –Jason Wild
Brooks Jorgensen, President
Canopy USA
“Today’s decision to reclassify cannabis marks a significant step forward in modernizing U.S. federal cannabis policy and advancing a regulated, responsible market. Rescheduling provides greater regulatory clarity for operators and helps unlock a more sustainable business environment, supporting access to research, improving patient care, and expanding safe, regulated options for consumers. It also represents meaningful progress toward aligning federal policy with state-regulated markets that are already serving millions of Americans. Canopy USA is well-positioned for this next phase, with established operations and leading brands including Jetty, Wana, and Acreage. We’ve built our platform with a focus on compliance and quality, and we believe continued policy progress strengthens the foundation for long-term value creation across the U.S. cannabis sector.” –Brooks Jorgensen
Jeff Merkley, Democratic U.S. Senator
Oregon
“Cannabis rescheduling is a step in the right direction, allowing medical research and legal cannabis businesses to be appropriately taxed on their net profits. But this change from Schedule I to Schedule III still leaves these cannabis businesses in violation of criminal law because the production and use of cannabis for nonmedical purposes remain a federal crime. As such, these legal businesses are still prevented from accessing the banking system.
“That remains a huge problem, encouraging all sorts of criminal activities, including robberies of cannabis businesses operating in all cash, false accounting, money laundering, and organized crime. That’s why we still need to pass the bipartisan SAFER Banking Act, which, during his campaign, President Trump urged Congress to send to his desk.
“I will continue to push for fully descheduled cannabis – which is essential to addressing the harms perpetuated by the war on drugs and the criminalization of cannabis on communities of color – and work with both Republicans and Democrats to advance common-sense cannabis reforms for banking services and medical treatment.” –Jeff Merkley
Wendy Bronfein, Co-Founder, Chief Brand Officer, and Director of Public Policy
Curio Wellness
“After years of empty promises and political posturing around cannabis reform, today’s announcement from President Trump marks a real turning point.
“This decision recognizes what patients, veterans, seniors, and families across the country already know: Responsible cannabis policy can help reduce reliance on opioids, give people safer options to manage pain, and improve health outcomes and quality of life. It also ensures that legal, regulated businesses are treated fairly under federal law.
“What makes today especially meaningful is that it’s informed by years of rigorous work from leading experts in medicine, pharmacology, and public health – including members of Curio’s scientific board, who have contributed trusted, evidence-based insight from both the U.S. and abroad. Their research and engagement helped ensure policymakers were equipped with credible data, not ideology.
“We’re grateful to President Trump for following the facts, putting consumers first, and taking decisive action to modernize cannabis policy in a way that is practical, compassionate, and long overdue.” -Wendy Bronfein
Omar Delgado, VP of Retail
Ivy Hall
“The reclassification of cannabis is a long-overdue step in the right direction. For years, our industry has navigated unnecessary obstacles due to outdated federal policies that perpetuated stigma and slowed progress.
“Any move away from Schedule I isn’t just progress for cannabis businesses; it’s progress for justice and freedom. At Ivy Hall, we’re excited to be part of this shift toward treating cannabis with the respect it deserves. We remain committed to building a future where this plant brings healing and opportunity.” –Omar Delgado
Cristy Aranguiz, CEO and Co-Founder
Cannabis and Glass
“Today’s decision is a monumental step forward for both businesses like mine and the patients who rely on it every day. For more than a decade, I’ve seen cannabis ease chronic pain, reduce anxiety, support recovery, and improve quality of life. Patients and doctors have long recognized these benefits, but federal policy has lagged behind. Rescheduling finally acknowledges what millions already know: cannabis is a legitimate therapeutic tool.
“As someone who built a multistate company from the ground up with no outside investment, I know how challenging it has been to operate while legitimacy was questioned. This shift brings recognition, stability, and the chance to expand research into cannabis’s full medical potential. For me, this moment is both validation and motivation, and I am energized for what it means for the future of cannabis as medicine.” –Cristy Aranguiz
Elad Kohen, CEO
The Flowery
“It’s encouraging to see this administration finally take action on an issue that has been long overdue. With more than 50 million Americans consuming cannabis each year, and the absolute great majority supporting medical research and uses, this decision simply reflects reality. Rescheduling cannabis is a bold, necessary step toward aligning policy with public opinion and recognizing the legitimacy of a thriving, above-board industry that benefits millions across the country. This move paves the way for greater transparency, economic growth, and opportunity, positioning the U.S. as a true global leader in cannabis.” –Elad Kohen
Nevil Patel, Founder and CEO
Shangri-La Dispensaries
"We're encouraged by the president's executive order expediting the reclassification of cannabis. States and customers know the value of safe, convenient, and affordable cannabis products. Reclassification will increase access and affordability for all." –Nevil Patel
Andrew Berman, CEO
Arcana Collective
“As a collective of legacy breeders, we have known from decades of experience with the plant, not policy memos, that cannabis has real health benefits and never belonged as a Schedule I substance in the first place. While federal legalization remains the long-term goal, rescheduling represents a meaningful step forward and has the potential to ease some of the structural challenges that have held the industry back, including relief from 280E. It may also encourage greater access to banking and invigorate renewed interest for investment across the sector.
“At the same time, rescheduling still leaves important questions unanswered. It could encourage larger pharmaceutical or tobacco interests to enter the space, and it remains to be seen how that will impact legacy operators and the culture that built this industry. Net/net, this is not the finish line, but it is real progress. We are encouraged by the momentum and hope that this step helps move the industry toward a future that still makes room for the people who have always believed in this plant.” –Andrew Berman
Saphira Galoob, CEO
US Cannabis Roundtable
“President Trump first endorsed reclassifying cannabis in September of 2024, citing a desire for more research to unlock medical uses of cannabis. Now he is delivering. The shift underway is smart policy, backed by science, and overwhelmingly popular.” –Saphira Galoob
Adam J. Smith, Executive Director
Marijuana Policy Project (MPP)
"While MPP welcomes the president’s proposal to move cannabis from Schedule I to Schedule III, neither the plant itself nor its naturally occurring component cannabinoids belong on the schedule at all.
"We hope this move to Schedule III truly does open up medical research, that it inspires states to guarantee access to safe, regulated cannabinoids for patients who desperately need them, and that the regulated industry might finally be treated more fairly under the federal tax code. But a move to Schedule III does nothing to end hundreds of thousands of possession arrests each year, nor does it do anything to fix the untenable, ongoing disconnect between federal prohibition and the regulated state markets under which more than half of American adults live.
"We are pleased that the president is taking this important step, but it is only a step. It is long past time to deschedule cannabis entirely and end nearly a century of failed prohibition.” –Adam J. Smith
Adam Goers, Chair
Coalition for Cannabis Scheduling Reform
“The Coalition for Cannabis Scheduling Reform applauds President Trump’s historic decision to recognize cannabis as medicine and move it down to Schedule III. For over 50 years, cannabis has been misclassified as a dangerous Schedule I controlled substance. This policy, once a centerpiece of our nation’s failed drug war, is finally coming to an end.
“President Trump’s decision to reclassify cannabis is based upon a foundation of unassailable scientific evidence. Cannabis has low abuse potential and proven medical use. Rescheduling will help bring federal policy into alignment with this reality.
“Rescheduling will provide a wide range of benefits, including facilitating medical research, signaling to the criminal justice system that cannabis is a low priority, and providing tax relief to struggling small business owners. It will also help usher in a new era of reform. We look forward to working with the Trump administration and Congress to move these efforts forward.” -Adam Goers
Michelle Rutter Friberg, Director of Government Relations
National Cannabis Industry Association
“The National Cannabis Industry Association (NCIA) welcomes President Trump’s decision to reclassify cannabis as a Schedule III substance. Medical professionals, patients, and millions of Americans have long understood that cannabis has accepted medical use and does not belong in the same category as the most dangerous controlled substances. By taking this step, the administration is recognizing the realities of today’s regulated markets and the work states have done to responsibly oversee them.
“NCIA was honored to participate in the Drug Enforcement Administration’s public hearings on rescheduling earlier this year, where we emphasized the importance of supporting state-licensed cannabis programs and the small businesses that form the backbone of this industry, which employs hundreds of thousands of workers and contributes billions of dollars to the economy. Moving cannabis to Schedule III will finally lift the crushing burden of §280E, allowing operators to reinvest in their employees, strengthen compliance, and allow them to continue delivering safe, regulated products to consumers. This change acknowledges something that researchers, advocates, and patients have known for years: that the cannabis plant has medicinal value.
“This is meaningful progress, but it cannot be the final word. NCIA urges lawmakers to build on today’s decision by establishing a framework that respects states’ rights, supports responsible operators, and provides clear federal enforcement guidelines in order to provide certainty to the thousands of businesses operating openly and in compliance with state law. NCIA will continue working to ensure that this industry can thrive under policies that are fair, consistent, and reflective of modern realities.” -Michelle Rutter Friberg
Paul Armentano, Deputy Director
NORML
"The administration's order calling to remove the cannabis plant from its Schedule I classification validates the experiences of tens of millions of Americans, as well as those of tens of thousands of physicians, who have long recognized that cannabis possesses legitimate medical utility. It wasn’t long ago that federal officials were threatening to seize doctors' medical licenses just for discussing medical cannabis with their patients. This directive certainly marks a long-overdue change in direction.
"But while such a move potentially provides some benefits to patients, and veterans especially, it still falls well short of the changes necessary to bring federal marijuana policy into the 21st century. Specifically, rescheduling fails to harmonize federal marijuana policy with the cannabis laws of most states, particularly the 24 states that have legalized its use and sale to adults – thereby leaving those who produce, dispense, possess, or use marijuana in compliance with state laws in jeopardy of federal prosecution. In order to rectify this state/federal conflict, and in order to provide state governments with the explicit authority to establish their own cannabis regulatory policies – like they already possess with respect to alcohol – cannabis must be removed from the Controlled Substances Act altogether. Doing so would affirm America's longstanding principles of federalism and appeal to Americans' deep-rooted desires to be free from undue government intrusion into their daily lives.
"Nevertheless, as a first step forward, this federal policy change dramatically shifts the political debate surrounding cannabis. Specifically, it delegitimizes many of the tropes historically exploited by opponents of marijuana policy reform. Claims that cannabis poses unique harms to health, or that it’s not useful for treating chronic pain and other ailments, have now been rejected by the very federal agencies that formerly perpetuated them. Going forward, these specious allegations should be absent from any serious conversations surrounding legalizing and regulating cannabis."
"It is anticipated that reclassification will also provide tax fairness to state-licensed businesses – allowing them, for the first time, to take traditional tax deductions. This change levels the playing field and lowers these entities' costs of doing business. This change also likely benefits cannabis consumers by resulting in lower overall prices for state-licensed retail products, further incentivizing them to abandon the underground market." –Paul Armentano
Tim Barash, Chairman and CEO/Co-Chair
Dutchie/Coalition for Cannabis Scheduling Reform
“Moving cannabis to Schedule III represents a fundamental shift in how the federal government and society at large view the plant, transforming the way the cannabis industry operates. This change will empower the 425,000 people working in the U.S. cannabis industry and bring in new talent, capital, and awareness to an industry that has a positive impact on millions of people's lives.
“At Dutchie, we’ve worked tirelessly alongside our customers and partners toward this outcome for years, putting thousands of hours and millions of dollars towards cannabis policy reform as co-chairs of the Coalition for Cannabis Scheduling Reform. One of the most immediate impacts of rescheduling is the end of the 280E tax penalty, removing a long-standing barrier to growth. This change will also bring in large institutions and services across the business and banking world, allowing this major U.S. industry to have the same support as the rest of our economy. When federal policy catches up to reality, it changes how consumers, families, and patients think about cannabis. That matters just as much as the business impact.” –Tim Barash
Riana Durrett, Director
Cannabis Policy Institute at UNLV (University of Nevada, Las Vegas)
“I appreciate seeing movement in the right direction for a substance that was overly criminalized in the United States and hope that with more research and policy discussions, the cannabis plant will continue to become more available as medicine and allowed for adult use, as appropriate.
“It is difficult to gauge how much impact this will have on cannabis research as cannabis will still be scheduled and require federal agency approvals as well [as] DEA registration for research purposes, but it is a step in the right direction.
“I don’t think there will be immediate changes in access to medical or adult-use cannabis. However, it is a significant change in the federal approach and mindset relating to cannabis. This change reflects America’s tendency to make incremental progress, but I hope it also reflects growth from the failed war on drugs, especially as it relates to cannabis.” –Riana Durrett
Jason Ortiz, Director of Strategic Initiatives
Last Prisoner Project
“President Trump’s decision to reschedule cannabis is a historic step that reflects the will of the American people. However, moving cannabis to a lower schedule does nothing for the tens of thousands of Americans still locked behind bars for actions that are now legal in most of the country. Thankfully, President Trump has demonstrated he is willing to act boldly to correct outdated policies. By pairing rescheduling with clemency for people incarcerated for cannabis, he can cement his legacy as the leader who has done more for cannabis justice than any other president in American history.” –Jason Ortiz
Milton Jones, President
UFCW International
“The administration’s plan to reclassify cannabis amounts to a tax giveaway for cannabis business owners without any protections for the workers who power this industry.
“Similar to the Biden administration’s plan, this effort risks creating an industry that reinforces the inequities present throughout our economy. Hundreds of thousands of cannabis workers will still face the same challenges that they do now, including the lack of access to proper job training and health and safety protections.
“Reclassifying cannabis from a Schedule I to Schedule III drug ignores the needs of workers and wastes the chance to finally deliver justice for the families impacted by the war on drugs. Cannabis must be federally decriminalized, with a regulatory framework to ensure that cannabis workers, from seed to sale, have the health, safety, and labor protections they deserve.” –Milton Jones
Nicolas Guarino, Co-Founder and CEO/Co-Founder
Jaunty/Empire Cannabis Manufacturers Alliance
“Rescheduling is a critical step toward fully integrating cannabis into the mainstream economy – one that most Americans already recognize as legitimate. Section 280E of the IRS tax code has been one of the greatest burdens on operators across the supply chain, but rescheduling would allow cannabis businesses to be taxed like any other legal industry, freeing up billions of dollars that can be reinvested into operations, innovation, and long-term growth. It would also help level the playing field, finally giving responsible operators who have played by the rules a fair shot to compete and succeed.
“However, the most immediate impact would be felt in medical markets. Adult-use markets in 24 states and D.C. would still face significant federal limitations that hinder the industry from reaching its full potential. We’re hopeful that this decision marks a progressive and landmark decision – one that sets a clear precedent and helps advance improved measures like SAFE Banking, increased access to logistic providers and to capital, and ultimately, federal legalization.” –Nicolas Guarino
Alana Malone, Co-Founder and CEO
Green Dot Labs
“With President Trump’s decision to reschedule cannabis to Schedule III, the plant’s established medical benefits and lower risk profile are now formally recognized, aligning federal law with scientific evidence and the proven success of state markets that balance product safety and consumer protection through responsible regulations.
“For legacy brands like Green Dot Labs, founded in Colorado – one of the nation’s first legal cannabis markets – this shift represents important progress after more than a decade navigating an uncertain federal landscape. It begins to address long-standing barriers such as limited access to banking and significant tax burdens, while opening the door to increased investment in research, innovation, and product development. We look forward to a federal framework that supports access to banking, sustainable industry growth, and patient and consumer access – while building on the progress made at the state level since the early 2000s.” –Alana Malone
Thomas Winstanley, Executive VP and General Manager
Edibles.com
“We recognize the significance of today’s announcement on cannabis rescheduling and the meaningful role federal leadership has played in advancing safe and equitable access to THC products. From the 2018 Farm Bill to the latest reclassification effort, President Donald Trump’s actions have contributed to a more stable and transparent regulatory environment for the THC industry. This is a historic moment for our partners across regulated cannabis, and we are hopeful that a similar balanced approach will be applied to hemp to ensure consistency, consumer safety, and continued industry innovation. We look forward to further progress that supports responsible growth across the entire THC supply chain from farmers, to entrepreneurs, and to consumers.” –Thomas Winstanley
Brian Vicente, Founding Partner
Vicente LLP
“This monumental change will have a massive, positive effect on thousands of state-legal cannabis businesses around the country. One dominating inequity cannabis businesses face is the inability to deduct regular business expenses, since they sell a Schedule I substance. Rescheduling releases cannabis businesses from the crippling tax burden they have been shackled with and allow these businesses to grow and prosper. We work with hundreds of licensed cannabis businesses, and the ability to deduct ordinary operating costs under the Schedule III proposal is a game-changer for them." –Brian Vicente
Zachary Kobrin, Partner
Saul Ewing
“Rescheduling marijuana to Schedule III is the most consequential federal cannabis action in decades. It unlocks potential for legitimate scientific and medical research by signaling federal recognition of the medical value of marijuana. It dismantles Section 280E, significantly reducing tax burdens and allowing that capital to circulate in the marketplace. It sends a clear signal that the federal government recognizes the medical value of marijuana and CBD, and will hopefully lead to real advancements. Capital markets should immediately take notice, giving a boost to companies. It will potentially force state regulators to consider how state regulations fit into this new normal. While ultimately not the saving grace, rescheduling gives the industry oxygen to operate like a real business rather than a tolerated outlier.
“As important as the benefits are, the unanswered questions are just as important. What does Schedule III mean without FDA-approved cannabis products? How will DEA enforcement evolve? Where do state adult-use markets fit inside a federally controlled framework? What happens to interstate commerce, physician prescribing, and existing convictions? Rescheduling answers the question of whether cannabis belongs in the shadows. It does not answer how the federal government plans to integrate a multibillion-dollar industry into a coherent regulatory system. That work now begins.” –Zachary Kobrin
Josh Horn, Partner
Fox Rothschild
With President Trump’s executive order, it is now back on the DEA to effectuate rescheduling through issuing rules and ending the administrative hearing that is currently on hold regarding those rules. If this happens, it could rectify the criminal injustice that has been ongoing since the passage of the Controlled Substances Act, where people of color have been disproportionately impacted by the “war on drugs.” At the same time, rescheduling is a game-changer for state-legal cannabis businesses. For one, more states may adopt cannabis reform for medical and adult use purposes. The burdens that Internal Revenue Code Section 280E could go by the wayside, and more traditional banking options may open for the industry. In the end, rescheduling should reinvigorate these businesses out of their current tax and financial struggles. –Josh Horn
Paula Savchenko, Founding Partner
Cannacore Group and PS Law Group
“President Trump’s decision to reschedule marijuana to Schedule III reflects a long-overdue acknowledgment of reality: Cannabis has recognized medicinal value, is used responsibly by millions of Americans, and should be governed by science, not stigma.
“For decades, federal cannabis policy has been untethered from medical evidence and economic common sense. Schedule III status aligns federal law more closely with how cannabis is actually used in medical practice, research, and regulated markets across the country. This shift opens the door to expanded clinical research, clearer regulatory pathways, and a more rational national framework.
“Rescheduling marijuana to Schedule III is not just a cannabis policy shift; it is a pivotal moment for the hemp industry. For years, hemp operators have functioned in a fragmented and often contradictory regulatory environment, despite Congress’ clear intent in the 2018 Farm Bill to legalize hemp and its derivatives. Marijuana rescheduling has the potential to bring long-needed clarity, stability, and legitimacy to the broader cannabinoid marketplace, if implemented correctly.
“When federal policy begins to acknowledge that cannabis has medicinal value and can be regulated responsibly, it strengthens the argument that hemp-derived cannabinoids should be governed by science, manufacturing standards, and consumer safety, not arbitrary enforcement or shifting interpretations.” –Paula Savchenko
Eric Walter, Partner and Cannabis Law Practice Leader
Armstrong Teasdale
“Today’s executive order directing federal agencies to complete the process of rescheduling marijuana from Schedule I to Schedule III was long overdue. Marijuana never belonged on Schedule I, which is reserved for substances with no medical use. The federal government never showed that marijuana had no medical use, and in 1998, it filed a patent application that argued marijuana had multiple medical uses. That patent was approved in 2003, but until the past two administrations, there was not sufficient political will to align marijuana’s scheduling with the position taken in that patent application. Once rescheduling is implemented, state-authorized and regulated marijuana companies will finally be able to take the normal deductions available to every other business. Rescheduling also opens the door to new research opportunities and hopefully inspires other sensible federal policy changes for the industry on matters such as banking and credit card transactions.” –Eric Walter
Nick Richards, Co-Chair of the Cannabis Practice
Greenspoon Marder
"With the move to Schedule III, cannabis companies should be able to claim the same deductions as ordinary businesses. But there was a strong emphasis that they are not making marijuana legal, and that might be used by the IRS to continue denying deductions for the current industry. Generally, tax changes are not retroactive, and we will have to see whether the effective date is immediately or upon ultimate rescheduling.
"It is important to note that the industry has been fighting 280E for some time, and there are large reserves, UTP Disclosures, IRS debt, basis issues, and potential capital assets tied up in that fight. The good news is that IRS Offers in Compromise should be available – but probably not bankruptcy. Greenspoon Marder has secured numerous collection alternatives for cannabis companies and will be reviewing them with its clients according to the new developments.
"It will be fascinating to see how the licensed industry evolves. Currently, it is not Schedule III compliant and almost certainly unable to traffic in interstate commerce. But Rite Aid is. Will consumers visit their local pharmacy for California Sun Grown OG? Will the current industry evolve into Schedule III providers? Obviously, there is a lot of work to be done – states need to update their regulations, the federal government needs to resolve massive tax liabilities and remaining uncertainties around Section 280E, and the cannabis industry needs to become Schedule III compliant. It will take some time." -Nick Richards
Jon Robbins, Chair of Cannabis Practice
Akerman LLP
"The move to reschedule cannabis to Schedule III is a significant and long-overdue acknowledgement that marijuana has accepted medical value in the United States, and it holds the potential to meaningfully reshape the industry. Relief from the harsh limitations of IRS Code Section 280E alone would dramatically improve the financial health of state-legal operators, while rescheduling should also ease longstanding barriers to traditional banking, investment, and much-needed large-scale scientific research. At the same time, we should be honest about the many complexities and unknowns that remain. Questions around how cannabis-derived medicines will be regulated, whether products must be dispensed through pharmacies, the FDA approval process, and whether interstate commerce will truly open are far from settled and will require thoughtful, coordinated policymaking.
"Although this does not 'legalize' marijuana outright, it does signal a more rational federal posture, recognizing medical legitimacy while hopefully keeping adult-use enforcement as a low priority. Much will depend on how quickly the federal rulemaking process unfolds, and while motivated leadership could finalize rescheduling in a matter of months, legal and political challenges are likely. Still, if properly implemented, this shift could accelerate cannabis research, attract greater investment, and pave the way for responsible pharmaceutical development, while offering long-awaited regulatory clarity to both established operators and new market entrants. With consumer demand strong and public support for medical marijuana overwhelming, a well-designed Schedule III framework has the potential to unlock innovation, stabilize businesses, and help the U.S. cannabis market expand significantly in the years ahead." -Jon Robbins
Marc Beginin, Founder and CEO
Prodigy Processing Solutions
“Rescheduling cannabis to Schedule III is a long-overdue step toward aligning this industry with science, public demand, and common sense. It removes barriers that have slowed investment and innovation, opening the doors to comprehensive research into the plant’s therapeutic potential, more equitable tax treatment for operators, and meaningful engagement from the pharmaceutical and life sciences communities. Most importantly, consumers stand to benefit from safer, more consistent products built on enforceable GMP standards.
“At Prodigy, we’ve spent years engineering systems that meet FDA and EU GMP benchmarks so operators are prepared not only for federal oversight, but for the global pharmaceutical opportunities that will shape the next decade of cannabis.” –Marc Beginin
Craig Henderson, CEO and Founder
Extract Labs
“Reclassification signals that the federal government is finally acknowledging reality, which could unlock more research, ease some financial constraints, and bring greater legitimacy to the industry. Many in the industry see it as a meaningful step forward, regardless of politics. However, it doesn’t automatically fix banking access, interstate commerce, or state-by-state inconsistencies. There’s also a chance that new regulations could favor larger players and make compliance more difficult for small, responsible businesses if not implemented thoughtfully.” –Craig Henderson
Bryan Gerber, Co-Founder and CEO
Hara Supply and Hara Brands
"Rescheduling cannabis to Schedule III marks a long-overdue milestone and the beginning of a new chapter for our industry. By removing barriers that have long restricted access to capital, this change will reduce risk for banks and pave the way for meaningful institutional investment. Equally transformative, relief from the crushing 280E tax burden will provide operators the financial breathing room to expand, innovate, and better serve consumers. This is more than regulatory progress; it is a historic turning point that moves us closer to an equitable, sustainable, and thriving cannabis marketplace." –Bryan Gerber
Kim Sanchez Rael, CEO and Co-Founder
Azuca
“Federal rescheduling would be a meaningful signal that U.S. cannabis policy is beginning to catch up with reality. But as with all policy moments in this industry, the signal alone is not the outcome. The details matter, and alignment matters even more.
“If rescheduling is paired with clear, consistent guidance on hemp and cannabinoids, it could finally reduce years of regulatory ambiguity that have stalled innovation and forced responsible operators to navigate constant uncertainty. That kind of clarity creates a foundation for smarter regulation – one that distinguishes science-based products from bad actors and supports safe, compliant growth across cannabis and hemp alike.
“What we cannot afford right now is fragmented advocacy layered on top of fragmented policy. When cannabis and hemp stakeholders push for separate outcomes, we turn policymakers into referees instead of partners. Industries don’t advance that way. They advance by aligning around shared priorities: safety, transparency, access, and a fair playing field in taxation and financial services.
“For businesses, rescheduling alone doesn’t solve everything, but it does open the door to functional policy if we choose to walk through it together. For consumers, it’s an opportunity to move away from prohibition-era frameworks and toward regulation that prioritizes trust, consistency, and real-world use.
“This moment reinforces what the industry has long known: We don’t need louder rhetoric – we need coordinated, practical solutions. The companies that will thrive next are those prepared to operate responsibly under clearer rules, while continuing to push for a regulatory system that reflects the reality of one plant, many use cases, and an evolving marketplace.
“True reform doesn’t come from noise. It comes from alignment. And it will never be true reform until there is also justice for those wronged by prohibition and disparate enforcement.” –Kim Sanchez Rael
Luc Mongeau, CEO
Canopy Growth
"Canopy Growth welcomes the decision to reclassify cannabis in the United States, which marks an important step toward modernizing federal cannabis policy and advancing the normalization of a regulated market.
“Rescheduling supports a more rational, science-based framework that expands access to research, improves patient care, and strengthens the transition to regulated channels. Greater regulatory clarity also helps create a more sustainable operating environment for responsible businesses and long-term investment in the sector.
“Canopy Growth is well-positioned in the U.S. through Canopy USA, with established operations and leading brands including Jetty, Wana, and Acreage, alongside Canopy Growth’s strategic stake in TerrAscend. Our U.S. strategy has been built to align with evolving regulation, and we view this milestone as supportive of long-term value creation and disciplined, responsible growth." –Luc Mongeau
JP Doran, CEO
Crucial Innovations Corp (CINV)
“We applaud the U.S. government for undertaking the most significant reform in federal cannabis policy since the 1970s. While rescheduling stops short of full federal legalization, it meaningfully reduces research barriers, modernizes regulatory oversight, and formally acknowledges the medical value of cannabis within federal policy.
“Because this development comes from the world’s largest pharmaceutical market, its impact extends far beyond U.S. borders. It is expected to catalyze international momentum, encouraging regulators in the U.K., EU, South Africa, and other emerging markets to revisit outdated frameworks, align with evolving scientific evidence, and create clearer pathways for medical cannabis innovation. Greater regulatory convergence will help unlock cross-border research, harmonize quality standards, and expand patient access globally. As global markets respond to this shift, rescheduling stands to accelerate the development, approval, and international distribution of next-generation cannabis-based medicines. We welcome reforms that advance transparency, safety, and patient access, and we look forward to contributing to a more connected, science-driven global cannabis ecosystem.” –JP Doran
Cy Scott, Co-Founder and CEO
Headset
“Moving cannabis to Schedule III would have immediate, real-world consequences for operators, particularly at a moment when the industry is under historic financial pressure. Legal cannabis margins have been steadily compressed over the past several years, leaving retailers with far less room to absorb fixed costs and punitive taxation.
“In that environment, 280E is not an abstract policy issue. It directly determines whether many otherwise healthy, well-run businesses can stay open. Because the tax effectively applies to gross profit rather than true operating income, a significant share of cannabis retailers today are operating at or near breakeven after federal taxes. Removing 280E would create an instant improvement in cash flow, allowing operators to stabilize their businesses rather than simply survive quarter to quarter.
“From a data perspective, this is why rescheduling matters now. The industry does not need symbolism; it needs relief that reflects current market realities. Improved cash flow would translate into fewer store closures, more consistent staffing, better pricing discipline, and a more sustainable legal market overall.” –Cy Scott
Christy Aranguiz, CEO and Co-Founder
Minnesota Cannabis Services
“Today’s decision is a monumental step forward for both businesses like mine and the patients who rely on it every day. For more than a decade, I’ve seen cannabis ease chronic pain, reduce anxiety, support recovery, and improve quality of life. Patients and doctors have long recognized these benefits, but federal policy has lagged behind. Rescheduling finally acknowledges what millions already know: Cannabis is a legitimate therapeutic tool.
“As someone who built a multistate company from the ground up with no outside investment, I know how challenging it has been to operate while legitimacy was questioned. This shift brings recognition, stability, and the chance to expand research into cannabis’s full medical potential. For me, this moment is both validation and motivation, and I am energized for what it means for the future of cannabis as medicine.” –Cristy Aranguiz
Marc Rodriguez, Co-Founder and CEO
Green Leaf Business Solutions
“Rescheduling cannabis marks a moment of normalization, not just a policy shift. As the industry becomes more institutionalized, expectations rise alongside opportunity, particularly around governance, transparency, and operational discipline. This change will reward operators that already function like legitimate businesses with scalable infrastructure and strong internal controls. At the same time, it introduces greater scrutiny that will expose structural weaknesses across the market. While challenges remain, this is a meaningful step toward treating cannabis as the regulated industry it has long been.” –Marc Rodriguez
Adam Stettner, CEO
FundCanna
“Rescheduling cannabis to Schedule III will deliver immediate, measurable impacts. Most notably, it eliminates Section 280E from the federal tax equation for licensed operators – a change that, for many, is the difference between treading water and turning a profit. It also unlocks long-blocked research pathways, enabling rigorous clinical studies, standardized formulations, and a new era of product innovation. Additionally, it has catalyzed a broader shift across the industry, pushing cannabis businesses to adopt more institutional practices around banking, compliance, financial reporting, and governance.” –Adam Stettner
Terry Mendez, CEO
Safe Harbor Financial
“President Trump’s rescheduling cannabis by executive order marks a significant shift in tone from Washington and a meaningful moment for an industry long stuck in legal limbo. Reclassifying cannabis as Schedule III would acknowledge its medical legitimacy and begin to correct a half-century of misguided federal policy. That said, rescheduling is not reform. The core challenges around cannabis banking, such as compliance burdens, cash dependency, and regulatory uncertainty, would remain unchanged. The industry would still fall under the Bank Secrecy Act, with all its reporting and monitoring obligations intact. This moment is likely to invite broader interest from financial institutions, but without structural reform or updated guidance, many will remain cautious. A true fix requires a coordinated federal framework that aligns financial policy with the realities of a $38 billion state-legal industry. Any step forward is welcome, but incremental progress should not be mistaken for a comprehensive solution. The cannabis sector deserves financial clarity, not just legal signals.” –Terry Mendez
Anthony Coniglio, CEO
NewLake Capital
“We welcome President Trump’s directive to the Department of Justice to finalize the rescheduling of cannabis from Schedule I to Schedule III. This represents a historic and long-overdue alignment of federal policy with scientific evidence, medical practice and the regulatory reality already functioning across most U.S. states. Now, follow-through is critical. We urge the DOJ and DEA to move swiftly to issue the final rule and complete the rescheduling process. Doing so would finally remove the punitive burden of Section 280E, allowing compliant, state-licensed operators to reinvest in growth, innovation and workforce development across the nearly half-million Americans employed in this industry.
“This is not about legalization – it’s about legitimacy. Responsible operators have long followed strict state-level compliance frameworks that prioritize safety, transparency and consumer protection. Rescheduling would rightfully distinguish these businesses from illicit markets and allow federal enforcement to focus where it truly belongs: on criminal cartels, not compliant small businesses. This announcement is a milestone, not a finish line. Congress must build on this momentum by passing the bipartisan SAFER Banking Act and advancing STATES 2.0 to create a durable national framework that strengthens safety, access and accountability for all stakeholders.” –Anthony Coniglio
Peter Sack, CEO/Co-CEO
Chicago Atlantic BDC Inc./Chicago Atlantic Real Estate Finance Inc.
“The rescheduling of cannabis products is a tremendous step forward for the regulated cannabis industry. Chicago Atlantic has invested more than $2.5 billion in cannabis businesses across the country, supporting both emerging entrepreneurs and large multistate companies. The White House's executive order and the implementation of rescheduling helps industry operators, big and small, by lessening tax burdens, opening up channels for research, and furthering the normalization of a product that benefits millions across the country, not to mention the hundreds of thousands of individuals employed in this industry today. Chicago Atlantic looks forward to continuing to provide capital for dispensary operators and cultivators.” –Peter Sack
Kyle Sherman, Founder and CEO
Flowhub
“Reclassifying cannabis to Schedule III is a meaningful win in the fight to end the failed war on drugs. This is a step in the right direction towards full destigmatization of cannabis and removes roadblocks for operators that have held the industry back from reaching its full potential.
“One of the biggest barriers has been 280E, an outdated tax policy that’s crushed plant-touching companies for years. Now, businesses will finally have the opportunity to become profitable and reinvest capital into hiring and growth. With more cash on hand, fewer businesses will face insolvency. We’ll see a healthier cannabis economy and a resurgence of investment in the space. More traditional financial institutions will be willing to work with the industry, and more patients will have access to cannabis as medicine.” –Kyle Sherman
Deborah Saneman, CEO
Würk
“The reclassification of cannabis is a major milestone for every operator in cannabis. We've all been working toward this moment, proving that this industry can operate professionally and safely, despite being held back by outdated federal policies.
“What impresses me most is how our industry has kept pushing forward through every obstacle. Cannabis businesses have shown they can adapt, innovate, and deliver quality products, even when the deck was stacked against them.
“Importantly, this shift also brings cannabis businesses closer to operating like companies in any other industry with greater access to liquidity and fairer financial treatment. That change will unlock opportunities that simply haven’t been available under current regulations.
“At Würk, we've been honored to support so many of these companies with payroll and HR solutions that actually work for cannabis. We're here for the long haul as this industry continues to grow and gain the recognition it deserves.” –Deborah Saneman
Socrates Rosenfeld, CEO and Co-Founder
Jane Technologies
“We welcome the decision to reschedule cannabis. This long-overdue step aligns regulation with science and public opinion, providing a necessary foundation for patient relief and compliant business growth. It also acknowledges the historical harm caused by outdated laws. We are hopeful this marks the beginning of real momentum toward the broader, systemic reform needed for a truly just and accessible industry – a commitment we will champion until achieved." –Socrates Rosenfeld
Rodney Holcombe, Vice President of Public Policy
LeafLink
“The president’s announcement to move cannabis to Schedule III is an important step in the right direction. This change will help create tax parity between other industries and legal cannabis businesses, strengthening the foundation for long-term sustainability. It also reflects a meaningful shift in how cannabis reform is viewed – one that aligns with the views of a majority of Americans. LeafLink is committed to advocating for reforms that will foster a more healthy cannabis market.” –Rodney Holcombe
Michael Johnson, CEO
Metrc
"Today’s decision to advance cannabis rescheduling represents one of the most consequential shifts in policy for legal cannabis in decades, removing some of the key roadblocks the industry has long faced. While this is not full federal legalization, this move makes meaningful progress towards standardizing the industry and setting the stage for much-needed policy frameworks. Next, as the industry grows and evolves in the coming years, ensuring the traceability and safety of cannabis products reaching shelves will be critically important.” –Michael Johnson
Sasha Kalcheff-Korn, Executive Director
Realm of Caring Foundation
"For decades, cannabinoid therapies have existed in a regulatory gray area while millions of Americans rely on them to manage pain, sleep issues, anxiety, and inflammation. The Trump administration's decision to reschedule cannabis to Schedule III is an acknowledgement of the therapeutic potential of the plant that Realm of Caring and other organizations have worked so consistently to demonstrate. This move will open a door that has been closed for far too long by making it possible to pave a clear, science-driven regulatory pathway that enables more research and establishes federal standards for manufacturing, testing, labeling, and consumer safety; guardrails that have never existed but are desperately needed. Finally, this designation gets us closer to matching the reality of how people are using cannabis to improve their lives. Today represents a significant milestone for our industry and our organization's mission, and we look forward to continuing our role in connecting patients with guidance and clarity on the benefits of cannabinoid therapies." –Sasha Kalcheff-Korn
Jasmine Johnson, CEO
GŪD Essence
“Federal rescheduling marks a long-overdue shift toward treating cannabis as the medical, economic, and community issue it truly is – not a criminal one. This change opens the door for real scientific research, fairer taxation, and more sustainable operations for licensed operators who have been building responsibly despite outdated federal barriers.
“For patients, rescheduling means better access, more consistent standards, and products backed by research instead of stigma. For operators like us, it allows reinvestment into jobs, education, and community infrastructure rather than navigating a system designed to penalize compliance.
“Rescheduling alone is not the finish line – but it is a critical foundation. The next step must be ensuring that small, minority-owned, and legacy-rooted businesses are not left behind as the industry evolves. If done thoughtfully, this moment can finally align public policy with public reality and create a cannabis industry that is safe, equitable, and economically sound.” –Jasmine Johnson
Jenny Lamboy, VP of Strategy
Hybrid Marketing Co.
"Removing interstate commerce barriers might rebalance such inequities as we see with California, whose market is dying while the New York market thrives. Should cannabis receive FDA approval, rescheduling would introduce a fresh dynamic that would allow states like California to ship legally to New York – which currently takes huge receipt of illicit California product – and finally reap the benefits of the untaxed cannabis they’re already sending." –Jenny Lamboy
Keith Chic, Co-Founder and CFO
Sunderstorm
“Moving cannabis from Schedule I to Schedule III is meaningful progress. It opens the door to expanded research, improved medical credibility, and relief from punitive tax burdens that have constrained legitimate operators. Most importantly, this shift may help steer new investors toward a capital-starved industry. That said, it’s not a cure-all – without a national framework for interstate commerce, operators will continue to face challenges generating sustainable profits. Schedule III is a step forward, but comprehensive federal reform remains essential.” –Keith Chic
Evan Eneman, CEO
Iconic Tonics
“Rescheduling cannabis is progress, but it doesn’t go far enough. Like wheat or corn, the plant itself isn’t the problem – regulation should focus on finished products with sensible public health and safety safeguards. Until the plant is fully descheduled, consumers, patients, and small businesses will continue to face unnecessary obstacles and risk.” –Evan Eneman
Everett Smith, CEO and Co-Founder
Presidential
“Rescheduling cannabis away from a Schedule I substance marks a pivotal step for both the industry and the people who have long dedicated their lives to the plant. This decision not only creates new opportunities for growth but also legitimacy across the space. At Presidential, we’re proud to be part of this moment and help shape the next chapter, and we remain committed to continuing to drive progress for the industry and our customers.” –Everett Smith
Christian Killoran, Cannabis Legal Advocate
Killoran Law
“Marijuana reclassification strengthens state authority, reinforces preemption over local obstruction, and allows law enforcement to focus on fentanyl traffickers instead of compliant businesses. It makes clear that illicit drug networks, not regulated cannabis, are the real public enemy.” –Christian Killoran
Marq Hayes (Michelin-Trained Chef), Owner and Founder
Brown Budda New York
“Cannabis enthusiasts demand trust, provenance, and intention. Reclassification allows the cannabis industry to mature into the same category as fine wine, spirits, and wellness experiences, where safety, craftsmanship, and accountability are non-negotiable. When regulated operators are allowed to operate at the highest standard, discerning consumers choose transparency, craftsmanship, and trust over uncertainty. That is how illicit markets lose relevance not through denial of demand, but by offering an experience that is unequivocally better.” –Marq Hayes
Ryan Hunter, Chief Revenue Officer
Spherex
"Cannabis is still federally illegal – but even as a federally illegal substance, the move to Schedule III dramatically reduces the federal tax burden for operators. Under IRS code 280E, handling Schedule I or Schedule II substances eliminates the ability for operators to deduct standard operating expenses that most other businesses deduct from their federal taxes. As a result of 280E, cannabis operators’ effective tax rate may be as high as 80%. Beyond this significant improvement, the implications are unclear, but we’re hopeful that this move will allow for cannabis operators to garner the same investment opportunities other industries will enjoy." –Ryan Hunter