A new Seattle based start up think it has the solution to the cannabis industry’s banking problems. The problem is that for marijuana companies in the US, they are forced to use loopholes and workarounds in order to accept credit cards and can’t utilize standard banking systems. Seattle based POSaBIT has a new system of payments that turns credit card transactions into digital currencies like Bitcoin, thereby bypassing the need for banks entirely.
Companies like Potcoin have introduced a digital currency for the marijuana industry. It is a great advancement in digital money yet it depends on the customer having their own Potcoins before entering the store. POSaBIT allows any customer to make a purchase with their credit card and not have to stock up on digital currency before they walk in to make their purchase. Once the customer pays, their transaction is credited to the business in the form of Bitcoin or a number of other currencies available through POSaBit. Bitcoins can be stored indefinitely with the fear of being seized by government.
Fixing the marijuana industry banking problem is a paramount concern for those in the weed business. Very little progress has been made federally, so cannabusinesses are still left out in the cold. Turning to digital currencies like Bitcoin offer business owners financial freedom without the need for a bank. POSaBIT is just getting started with $1.5 million in seed money, however, we are sure to see more digital currency businesses entering the cannabis space.
Cory Hughes is a former police officer turned cannabis cultivator and writer. After years of being on the wrong side of the law, Cory decided to hang up his badge and gun and move into an industry that truly has the potential of bringing people together. He has been an active part of the Colorado cannabis culture and has worked as a horticulturist in dozens of licensed grow operations. Cory now looks to share his knowledge of cultivation and horticulture with the world.