In the weeks leading up to Washington D.C.'s legalization of the recreational use of marijuana, questions were raised as to how the city would cope with a drug that was made legal to use, but not to sell.
On Thursday, voters' decision to legalize the drug kicked in despite warnings from Republicans in Congress who pointed to a spending bill that blocked the city from using its funds to legalize pot or set up any sort of system for its sales.
However with legal pot a reality in D.C., many are studying the city's legal ordinances in order to find a way to benefit from the new market.
Home Growing
Companies selling home-growing kits have seen the most profit from the city's green rush. Since it is legal for adults to grow and smoke pot in their own homes, most are taking advantage of the new regulations in that way.
Capital City Hydroponics, an indoor gardening business, said sales have risen by around 50 percent over the past two months as pot enthusiasts gear up to grow their own marijuana.
Innovation
New businesses revolving around pot are taking root in D.C. as well despite rules preventing traditional marijuana sales.
Health seminars that charge a fee to listen to speakers but include free marijuana samples and clubs that charge for membership but allow the free exchange of pot products are just a few examples of how the city is maneuvering around the spending bill.
Pot Industry Still In Its Infancy
Although many point to the U.S.' fractured marijuana laws as a shortcoming, some say the rules are similar to what the U.S. endured at the end of alcohol prohibition.
Although the federal government has said it won't step in to overturn state laws allowing marijuana consumption, states that allow the drug aren't required to sell it.
Many communities in Colorado and Washington state, where the drug has been legally sold for some time, still prohibit the sale and use of marijuana.
So although D.C.'s pot market is struggling with conflicting litigation, many say growing pains like these are to be expected with a completely new industry.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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