This month, the Secure and Fair Enforcement (SAFE) Act, also known as the SAFE Banking Act, will be up for a crucial committee vote in the U.S. Senate. According to a report by NBC-TV, insiders predict that there will be enough votes to pass this long-awaited legislation.
Committee Markup Meeting Scheduled
The Senate Banking, Housing, and Urban Affairs Committee is planning to hold a markup meeting specifically for the SAFE Banking Act during the week of Sept. 25. This meeting represents a significant step forward, as the bill has been introduced a decade ago but never made it to the full Senate until now.
Challenges Ahead
Although the SAFE Banking Act has previously passed in the U.S. House of Representatives, it faces a more uncertain fate this time due to GOP control of the chamber. Nonetheless, the upcoming committee vote brings fresh hope for proponents of the bill.
Positive Market Response
Investors have already taken notice of the potential progress of the SAFE Banking Act. The AdvisorShares Pure US Cannabis ETF (symbol: MSOS) experienced a 2.7% increase in premarket trading on Friday. This follows a sizable 6% rise in regular trading during the previous session.
Facilitating Cannabis Business
The principal objective of the SAFE Banking Act is to streamline financial transactions for cannabis companies by removing federal obstacles. Currently, cannabis is classified as a Schedule I drug with no recognized medical uses under U.S. law. The passage of this act would alleviate some of these impediments and enhance the ease of conducting legitimate cannabis business operations.
