The U.S House of Representatives passed the bill, H.R. 1996, to give state-authorized marijuana business easier access to banking services. The bill, the SAFE Banking Act, would prohibit regulators from penalizing banks and depository institutions for providing banking services to cannabis entities.
The bill, which had a 321-101 bipartisan vote, is seen as a green light toward marijuana legalization or decriminalization at federal level.
A total of 36 states and four states have so far authorized the use of marijuana for medical purposes and 17 states have authorized it for private use.
Marijuana remains a prohibited substance under the federal law and banks that provide services to cannabis businesses can be penalized.
The legislation was passed in the House with bipartisan support in 2019, but it was ignored by the Republican-led Senate.
Senate Majority Leader Chuck Schumer said he wants to work towards lifting the federal ban on cannabis
Most cannabis stocks are currently gaining. TLRY is up 3.36% on premarket, APHA is up 2.15%, ACB is up 4.07%, WEED is down 1.04%
