The cannabis industry is an emerging “sunshine” industry whose growth, unfortunately, is being stalled by legislative restrictions. Majority of countries in the world have legal restrictions whether it be on the cultivation, transport, sale, and use of cannabis. While some enforce stricter rules, others adopt laws that are not being implemented well. In the United States, regulations on marijuana vary across its 50 states.
It is worthy to note, however, that luxury products such as spices and silk were once banned in the market, as well. Early investors and believers of these products eventually became the wealthiest bunch in Europe when the use of spices and silk was fully liberalized. The same goes with Bitcoin whose early bird miners are today’s millionaires — but that cryptocurrency prices are subject to erratic movements is a different story altogether.
The bottom line is: it’s best to invest in developing industries perceived to have a potential for long-term growth even if it is saddled with regulatory hurdles. This strategy may apply to cannabis stocks investing. Because many countries still consider marijuana trade as illicit, several consumers in these areas are shifting to legally-regulated cannabis products such as cannabidiol (CBD).
Investing in cannabidiol
More brokers are looking toward the direction of CBD when it comes to stock market investing. The world now sees many health benefits derived from CBD and researchers are hard-pressed on shedding more light on the cannabis compound. As compared to how CBD was perceived a decade ago, the world is now taking a more welcoming tone.
The reason why it’s worth investing in CBD stocks is simple; as compared to other stocks, it still hasn’t matured and it hasn’t reached its maximum potential for growth. Its young stage is exciting more investors as states have begun to dabble with legalizing its recreational use.
The rising number of states that are moving to legalize its use means that more people are willing to get on board and they want to get involved before the stocks hit the ceiling. As more states begin to accept CBD, demand for cannabis will grow. Even pending developments at the legislature, the demand for CBD is poised to rise as businesses that sell the product have also grown in number in recent years.
In the midst of a fast-emerging cannabis market, PotNetwork Holding, Inc.(OTCMKTS: POTN) has managed to maintain its place as one of the leaders in the CBD revolution. PotNetwork Holding is a publicly traded company that conducts research and development focused on marijuana and hemp-related products.
Through its subsidiary, Diamond CBD, Inc., the company has helped boost awareness of the health benefits of CBD products as it aims to profile and identify the distinct properties of high-quality hemp extracts of cannabinoids and other natural molecules found in hemp.
The firm sells products from over 10,000 stores in the US. Its CBD products — ranging from edibles, drinks, oils, dabs, creams, and vapes, among others — are legal across all 50 US states.
It’s hard to predict exactly what the future lies for CBD but its progress in recent years is assuring that CBD is not only here to stay; it’s also here to revolutionize the world of medicine.
This article may include forward-looking statements. These forward-looking statements generally are identified by the words “believe,” “project,” “estimate,” “become,” “plan,” “will,” and similar expressions. These forward-looking statements involve known and unknown risks as well as uncertainties, including those discussed in the following cautionary statements and elsewhere in this article and on this site. Although the Company may believe that its expectations are based on reasonable assumptions, the actual results that the Company may achieve may differ materially from any forward-looking statements, which reflect the opinions of the management of the Company only as of the date hereof.
Author: Angelique Moss
London-based entrepreneur, writer, and traveller. The world of business, finance and investments, is her preferred cup of tea.