SACRAMENTO, Calif. (AP) – California lawmakers moved Wednesday to create a state-backed bank to handle the billions of dollars flowing from the newly legal recreational marijuana market.
The world’s largest legal recreational marijuana economy, created under a law that took effect this year, is projected to grow to $7 billion.
The bill approved by a bipartisan 29-6 state Senate vote is designed to help pot entrepreneurs who usually deal in cash because most banks won’t accept money from a product that remains illegal under federal law.
SB930 now goes to the Assembly for consideration.
The bill would permit charter banks and credit unions regulated by the state Department of Business Oversight to provide limited banking services to pot-related businesses.
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