America 2.0 Explained: Cannabis
Vices like alcohol and cigarettes have been a part of modern society for decades.
But the old vice economy is about to take a back seat to the new vice economy, thanks to one substance on the verge of full legalization.
It’s cannabis, also known as marijuana, weed or pot, and Paul Mampilly believes it has incredible America 2.0 potential.
With so many applications for cannabis in the health care industry and beyond, it’s no wonder Mampilly believes there’s plenty of good things to come from this new vice economy player.
What Is Cannabis?
Once considered an illegal substance, cannabis is now breaking new ground and shedding off the negative misconceptions.
Essentially, cannabis is a psychoactive drug that derives from the cannabis plant.
Cannabis has been used as a drug for recreational and medicinal purposes, as well as in various traditional medicines for centuries.
Over the past several years, an increasing number of Americans are beginning to see the positive effects of medical and recreational cannabis.
Medical usage of cannabis is already legal in 36 states, with 18 states even allowing people 21 and older to legally use it for recreational purposes.
According to Pew Research, 67% of Americans believe the use of marijuana should be legalized.
This majority sentiment is backed up by the many benefits of cannabis use: medically and recreationally. Cannabis can reduce stress, pain, PTSD (post-traumatic stress disorder) and many other crippling diseases. In fact, there are three major reasons why the cannabis industry is a profitable investment:
- The average life expectancy has continued to rise over the past several decades, meaning the number of people living with chronic pain and the many other ailments and complications that come with age is increasing. Because of this, Mampilly believes more adults will start using and benefiting from medical cannabis in the near future.
- If cannabis becomes federally legal in the United States, adults will be able to obtain marijuana without a medical prescription, making the benefits even more accessible. As legal restrictions loosen, cannabis customers and revenue will likely increase.
- The SAFE Banking Act, a law that will help cannabis companies secure loans to help expand business, is expected to be passed and made into law. With growing consumer demand, cannabis companies will need this financial support to help grow their business.
All these examples and more are driving cannabis toward the future of America 2.0 and the next phase of the new vice economy!
What Are Cannabis’ Global Market Projections?
Right now, it’s estimated that federal legalization of cannabis could produce $130 billion in tax revenues.
In states that have already legalized recreational cannabis, there’s already significant gains. In California, the state saw a 62% increase in cannabis sales from 2019 to 2020, taking in more than $1 billion in tax revenue.
In Illinois, taxes on cannabis outpaced alcohol taxes for the first time ever in the first quarter of 2021!
Plus, global cannabis sales grew 48%, from $14.4 billion in 2019 to nearly $21.3 billion in 2020, and global cannabis revenue is expected to reach $55.9 billion by 2026:
You can find out more about cannabis and its America 2.0 impact by clicking here.