The cannabis industry has been a rollercoaster over the past few years. In 2018, Canada legalized marijuana, and over the past 10 years or so, many U.S. states did, as well, even though cannabis remained illegal at the Federal level.
But two weeks ago, a big shift happened in the cannabis industry when the Drug Enforcement Agency (DEA) endorsed the recommendation by the U.S. Department of Health and Human Services (HHS) to reschedule marijuana as a Schedule III drug, down from the Schedule I classification it previously held. While stopping short of legalization, it's a big step that will ease the tremendous tax burden on U.S. cannabis companies and likely flip many from loss-making operations to profitable ones.
Canadian operator SNDL Inc. (NASDAQ: SNDL) has been prescient and savvy in attempting to gain access to the U.S. market. On the heels of the DEA's decision, SNDL made an important announcement that should boost its long-term growth prospects, as it found a loophole to enter the U.S. market while still retaining its listing on the Nasdaq Exchange.
Source Fool.com