Stoners and Cannabis Investors Rejoice as New York Weclomes Recreational Use

This week, it looks like we can officially add another state to the list of those allowing adults to toke up. But not just any state

As the Wall Street Journal reports, New York lawmakers reached an agreement on Wednesday, after years of false starts, to legalize the sale of marijuana for recreational use by adults starting next year. And soon, the over 19 million New York residents, including more than 8 million New York City residents, will be able to light up unhindered by state and local law enforcement, within reason.

According to State. Sen. Liz Krueger. the bill, which is headed to the state Assembly and Senate next week, would create a new state regulator for cannabis products, decriminalize the possession of up to three ounces of marijuana and allow New Yorkers to cultivate marijuana for personal use. Lawmakers also say they plan on leading a study to determine whether drivers are inebriated because of marijuana use.

As great as the news is for New York area stoners, members of the cannabis industry, like Matt Hawkins, founder and managing partner at the cannabis focused private-equity firm Entourage Effect Capital, are equally as bullish: 

“Given the status of New York City as not only one of the most influential cities in the United States, but also the world, New York has the potential to impact the industry in profound ways both economically and culturally. In addition, with New Jersey legal and New York soon to be, it is sure to have a ripple effect on the entire East Coast of the country.”

Likewise, Todd Harrison, founding partner and chief investment officer at CB1 Capital Management, shares a similar bullish sentiment on what this new means for a sector on the rise: 

“While the bill is not yet signed and we don’t know particulars, it’s hard to understate the magnitude of this landmark legislation. With New Jersey and New York on board, the rest of the east coast dominoes should fall quickly.”

As has been the case, until Federal-level legalization, companies still cannot sell cannabis across state-borders, which will continue to favor the larger cannabis companies like Canopy Growth (CGC), Curleaf (CURA), Tilray (TLRY) and more that have more resources to operate dispensaries in more states

Originally published by MarketWatch.com

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