One Of America's Biggest Banks Spearheads Cannabis Support With $1M Credit Line

First Citizens Bank's cannabis banking business provided a $1 million working capital line of credit to MC Nutraceuticals, a global supplier of hemp-derived cannabinoids.

The news comes on the heels of FCB's recent announcement that it is getting into the cannabis market. With the move, it became the largest bank known to serve the cannabis industry.

As Benzinga's Javier Hasse highlighted last month, the announcement from one of the 20 largest banks in the U.S. with over $200 billion in assets, was "made in a commentary posted on the bank’s website on January 12, 2024, where First Citizens Bank highlighted its intention to extend its substantial hemp/CBD platform into the broader cannabis space."

See also: Bank Of America, Mastercard, NRA And Others Are Lobbying For Cannabis Banking Reform — Who Knew?

Now, MC Nutraceuticals, which has been in the business since 2019, is using the $ 1 million line of credit to "execute on our strategic goals during a period of significant growth for our business,” Bret Worley, the company's CEO, said in a Tuesday press release.

MC Nutraceuticals uses e-commerce to distribute 42 hemp-derived products to a diverse client base across the U.S. and globally. Their product line includes Delta 8, CBD, CBG, CBC, CBN, THCv and other hemp derivatives.

“MC Nutraceuticals has a strong reputation in the hemp industry for providing quality products, professional service and affordable pricing,” Ryan Palmquest, director of Cannabis Banking at First Citizens Bank, said. “We’re pleased to provide this financing to support their rapidly growing business and look forward to working with them in their future business endeavors.”

Moves like this represent a step toward the cannabis sector transitioning into mainstream acceptance and financial backing.

Now read: First Citizens Set For Growth With Over $200B In Assets, Says Bullish Analyst

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