FinancialNewsMedia.com News Alert: NEW YORK, – (http://www.financialnewsmedia.com News Alert) – NetworkNewsWire.com News Coverage: Last month, a letter signed by 10 U.S. senators arrived on the desk of Jamal El-Hindi, the acting director of the Financial Crimes Enforcement Network (FINCEN), requesting guidance on how banking services might be offered to “indirect businesses” – such as SinglePoint, Inc. (OTC: SING) https://www.networknewswire.com/clients/singlepoint-inc-sing/?symbol=SING, Medical Marijuana, Inc. (OTC: MJNA) and Cannabis Science, Inc. (OTC: CBIS) – that serve the state-sanctioned marijuana industry. The implications of such guidance also carry considerable potential for banking players ranging from small financial institutions to bellwether banks like Bank of America (NYSE: BAC) and Citigroup (NYSE: C).
The letter came at the prompting of U.S. Senator Elizabeth Warren, D-Mass, a member of the Senate Banking Committee that oversees federal monetary policy, banking regulation and issues affecting the U.S. currency. It’s a widely applauded push, and SinglePoint, Inc. for one, is banking on this initiative to clear the way for payment processing providers, such as its SingleSeed Payments subsidiary, to offer an array of payment and transaction services to marijuana shops and dispensaries. Read this and more news for SING at http://financialnewsmedia.com/profiles/sing.html
According to a recent report in the Houston Chronicle (http://nnw.fm/qq6NB), this action is part of a wider effort by many policymakers to regularize the patchwork legal nature of the $7 billion marijuana industry, marked by a lack of banking options that forces marijuana businesses “to rely solely on cash, making them tempting targets for criminals.”
Although 28 states and the District of Columbia have now legalized either adult recreational or medical use of marijuana, the Drug Enforcement Administration (DEA) still classifies it as a Schedule I substance “with no currently accepted medical use and a high potential for abuse.” Yet, there is growing evidence in the medical profession and the general population that marijuana…