At the Benzinga Cannabis Capital Conference in Chicago, key figures in the cannabis industry engaged in discussions about the U.S. Senate Banking Committee passing the Secure and Fair Enforcement Regulation (SAFER) Banking Act — and a surprising twist involving cryptocurrency, offering valuable insights into the intricate negotiations surrounding cannabis and crypto legislation.

The SAFER Banking Act

Ed Perlmutter, a longtime advocate for cannabis reform, a former representative and now a partner at Holland & Knight, shared the significance of recent events in cannabis legislation.

The cannabis industry, operating on an all-cash basis, is now one step closer to being able to use banking and financial systems.

He discussed the urgent need to address banking challenges faced by the industry and commended the bipartisan effort behind the SAFE Banking Act.

"This has been a roadblock for years... It's in sync. And, you know, so you have some opposed, but those that want to move this thing are really doing their best to move it forward,” Perlmutter said, emphasizing the persistent efforts to overcome obstacles in cannabis banking reform.

Former Sen. Cory Gardner, who played a crucial role in advocating for cannabis reform at the federal level, emphasized the bipartisan nature of the legislation and the need for both parties to collaborate on meaningful reform.

"It takes about 10 years for a major piece of legislation to go from sort of idea and introduction into passage,” Gardner said, highlighting the lengthy journey of cannabis legislation.

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Reggie Babin, senior council at Akin Gump Strauss, Hauer & Feld and expert lobbyist, highlighted the historic nature of moving a cannabis bill through committee with a roll call vote. He acknowledged the tireless efforts of staffers and advocates who have worked diligently over the past decade to advance the cause.

"Today is an indication that despite the default setting in Congress, democracy can still work when the issue is popular enough and people are engaged for longer,” Babin said, reflecting on the significance of grassroots engagement in the legislative process.

Moderated by Saphira Galoob, principal and CEO at the National Cannabis Roundtable, the panel discussed the significance of these legislative developments and their impacts on the cannabis industry. Galoob expressed excitement about the progress made and the critical role of leadership in driving change.

The participants underscored the importance of the moment and the collaborative approach between Democrats and Republicans. Despite the challenges ahead, they expressed optimism about the future of cannabis legislation in the U.S.

Perlmutter Reveals Crypto Twist in Cannabis Banking Bill Advancement

Perlmutter explained that during the deliberations, a congressional member attempted to insert crypto-related elements into the banking bill. However, Perlmutter highlighted that this move posed a significant risk as it could lead banks to oppose the legislation.

Fortunately, this member ultimately withdrew her attempt to include crypto provisions in the bill.

Perlmutter's revelation shed light on the intricate negotiations and strategic decisions made behind the scenes, ultimately contributing to the bill's advancement out of committee.

Perlmutter's anecdote underscored the complex dynamics at play in crafting legislation that bridges the gap between the cannabis and crypto industries.

Photo: Maureen Meehan, from left to right: Gardner, Perlmutter, Babin, and moderator Saphira Galoob.