U.S. cannabis stocks like Cresco Labs (CRLBF) , Curaleaf (CURLF) , Green Thumb Industries (GTBIF) and Trulieve Cannabis (TCNNF) - Get Trulieve Cannabis Corp. Report were rising Thursday following a Congressional vote on a cannabis banking measure.
The SAFE Banking Act was adopted by a voice vote in the U.S. House Thursday as a part of this year's defense budget bill.
While it still must be passed by the full House of Representatives to be added to the National Defense Authorization Act for Fiscal Year 2022, the approval allows for it to be included in the final measure.
The SAFE Banking Act "will strengthen the security of our financial system & keep bad actors like cartels out. Most importantly, it will reduce the risk of violent crime in our communities. It's passed the House 5 times. we cannot wait any longer to address this public safety threat," Rep. Ed Perlmutter (D-Colorado) tweeted Tuesday.
The measure still faces an uphill battle in the U.S. Senate, but this is the closest a bill allowing for banks to legally finance cannabis businesses has made it to becoming a law.
The National Defense Authorization Act funds the U.S. military, making its passage far more likely every time it comes up for a vote.
However, the SAFE Banking Act may not make it all the way through the process as different bills are often added and taken out as negotiations take place about the amendments and bills added to the legislation.
Shares of Cresco Labs rose 4.3% to $9 per share while Green Thumb gained 1.9% to $27.30, Curaleaf rose 1.24% to $12.29, and Trulieve gained 4.4% to $29.25 at last check Thursday afternoon.