It Finally Happened

Written by Jimmy Mengel
Posted June 21, 2018 at 5:00PM

The votes are in, and pot is here to stay…

Canada has become the biggest country in the world to fully legalize recreational marijuana.

The Senate passed Bill C-45 — otherwise known as the Cannabis Act — on Tuesday with a vote of 52-29. This paves the way for a billion-dollar industry to finally begin flourishing. Once the law goes into effect in the next 8 to 12 weeks, Canadians will be allowed to purchase recreational marijuana legally from government-regulated retailers. Citizens will also be able to carry up to 30 grams of cannabis, grow four plants in their homes, and create their own edibles in the comfort of their homes.

Most importantly, sales will start rolling in from the many marijuana companies that have been operating in Canada for years under stringent medical marijuana framework. While many of these companies were already doing quite well, the new law will open the floodgates...

So it was a historic day — not only for personal freedom — but for marijuana investors everywhere. It is yet one more example of marijuana becoming a legitimate and mainstream industry…

I’ve been waiting for this day for years now — ever since I went to Smith Falls, Ontario to visit one of the first, and now the largest, medical marijuana companies: Canopy Growth Corp. (WEED.TO). I saw the writing on the wall at the time and began investing in Canadian marijuana stocks. Canopy was my very first recommendation and my readers have seen an over 2,000% gain since I told them about it.

At the time, only medical marijuana was legal, but even then, Canadians were telling me about the day when marijuana would become totally legal. I spoke with police officers who told me they completely supported it. I talked with a grandmother in a local cafe who wanted to take the black-market marijuana money out of the hands of criminals and gangs. There were a half-dozen young men in a local bar who were counting on the cannabis industry to bring back decent jobs that left with most of Canada’s manufacturing businesses.

In fact, Canopy’s headquarters started in the old Hersey’s Chocolate factory, which was moved to Mexico — taking a huge chunk of local jobs with it.

The bill was first brought to Canada’s House of Commons back in April of last year, and has been kicked around for the past year while they attempted to iron out the legislation that would protect children from cannabis products like gummies and edibles, and figure out the regulatory environment for each province.

So while it’s been a bit of a battle, all’s well that ends well.

But Canada isn't the only place that marijuana is gaining acceptance and legality. The U.S. will be next, and the implications for cannabis companies in our country will dwarf that of our Northern neighbors…

While Canada has 30-some million people, the U.S. has 325.7 million...

California alone has almost 40 million people. Washington state has 7.4 million. Colorado has another 5.6 million. Nevada has almost 3 million.

All of those states have already legalized recreational marijuana, and I predict that most others will soon follow.

So it was music to my ears when I heard President Trump declare that he would support a legislative proposal to allow states to legalize marijuana without the threat of federal prosecution.

In response to a new bill from the bipartisan team of Senator Cory Gardner (R-Colorado) and Senator Elizabeth Warren (D-Massachusetts), Trump declared that he would be in favor of it.

“We’re looking at it. But I probably will end up supporting that, yes,” Trump responded.

This would be an industry-shaking development.

And I’m not just talking about recreational marijuana. Medical marijuana — which is far more popular and accepted — could see huge advances once the federal mandate is lifted. You see, right now, marijuana is still federally illegal. Cannabis is categorized as a schedule one substance, which means that it has “high abuse potential, no medical use, and severe safety concerns.”

Which is complete nonsense, to put it mildly. Cannabis has been shown time and time again to provide relief from chronic pain, epilepsy, MS, post-traumatic-stress disorder, anxiety, and a litany of other ailments. The fact that marijuana is lumped in with dangerous drugs like heroin, LSD, and cocaine is simply insane.

But that federal distinction has made it incredibly risky and difficult for medical professionals to conduct large-scale studies proving marijuana’s ability to treat and even cure some diseases.

In fact, I just discovered one company that is using cannabis to treat glaucoma, a rare skin disease, and even breast cancer…

The next wave of pot breakthroughs will come from medical marijuana companies curing the world’s deadliest diseases...

And the gains will be much, MUCH bigger than almost anything we’ve seen before.

That’s because the $7.7 billion marijuana market that’s powered every pot gain we’ve seen so far is 35 times smaller than the market size of major diseases the plant could treat. For example...

  • Cancer is a $60.2 billion industry...
  • Arthritis stands at $20.3 billion...
  • AIDS/HIV is a $19.6 billion market...

And there are many other diseases where cannabis offers new breakthrough cures. The company I've found could lead the way to a revolution in cannabis-based medicine. It has locked down the vital patents of some major medical breakthroughs — which could make it a de facto monopoly once the patents clear and the federal regulations are lifted for it to proceed in its life-changing medical breakthroughs.

We’ve already seen evidence that cannabis can kill cancer cells in the lab, but because of the draconian federal regulations, we haven't yet seen it in a mainstream treatment. For example...

  • A 2011 study published by the American Association for Cancer Research found pot “preferentially kills breast cancer cells.”
  • A 2006 study, published in the Journal of Pharmacology and Experimental Therapeutics found cannabis “is the most potent inhibitor of cancer cell growth”...
  • A 2012 study by the California Pacific Medical Center found pot “inhibits breast cancer cell proliferation and invasion.”

This tiny company could be at the forefront of this massive medical breakthrough. I think it is so important that I put together a short video explaining exactly what it does, and how it could not only deliver cures for terrible diseases like cancer and glaucoma, but also usher in the next wave of pot profits.

You can see for yourself right here.

Godspeed,
jimmy-mengel-signature-fixed

Jimmy Mengel

follow basic @mengeled on Twitter

Jimmy is a managing editor for Outsider Club and the investment director of the personal finance advisory, The Crow's Nest, and cannabis stocks advisory, The Marijuana Manifesto. For more on Jimmy, check out his editor's page.

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