Mastercard’s new hardline demand that banks and payment processors immediately halt cannabis transactions involving its debit card has upended the cannabis industry and put more licensed operators at financial risk, industry insiders told MJBizDaily.
The latest development, first reported by Bloomberg, is expected to affect adult-use and medical marijuana retailers the most as well as their customers.
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Those consumers will likely revert back to the days of cash-only transactions – a throwback in an era when digital wallets are used to buy everything from groceries to gas.
It’s also a stark reminder that these types of business setbacks will persist without federal cannabis reform and as long as marijuana remains illegal under U.S. law, executives told MJBizDaily.
Earlier this year, cannabis operators were forced to scramble and find a new payroll provider after receiving a memo from Paychex advising that the company would no longer process
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