Singlepoint’s Low-Risk Approach to the Cannabis Industry
March 2nd, 2017
News, Top News
The cannabis industry is expected to surpass $20 billion over the coming years, but investors face many risks when it comes to politics and regulation. While diversification helps address some of these concerns, investors may also want to consider companies that aren’t involved in touching the drug itself, which could insulate them from these risks. The good news is that there are a handful of companies taking this type of low-risk approach for investors to consider.
In this article, we will take a closer look at Singlepoint Inc. (OTC Pink: SING) and its unique low-risk approach to the cannabis industry.
Cannabis Industry Challenges
The cannabis industry could be worth upwards of $24 billion by 2025, according to New Frontier Data, which noted that external factors like federal rescheduling or a full-scale crackdown could shake up the near-term. The analyst projects that medical marijuana will account for roughly half of the market, while recreational marijuana will become the fastest-growing segment if the Trump administration doesn’t crack down on state-approved programs.
These ‘external factors’ that New Frontier Data references underscore the big risks that the industry may face over the coming months and years. For example, White House Press Secretary Sean Spicer recently indicated that the Justice Department would step up enforcement of federal laws against recreational marijuana. Crackdowns on recreational marijuana could hurt many companies operating in the space. In the same comments, he took care to mention the administration’s support for medical marijuana, drawing a major distinction between the two and noting how medical uses could help those in need.
The federal government has also been hesitant to reclassify marijuana from a Schedule I Controlled Substance with ‘no medical benefits’ alongside hard drugs like heroin or open up banking access to simplify consumer transactions. There are no indications that these moves are on the horizon to this point, though Mr. Spicer’s comments regarding the benefits of medical marijuana are certainly a positive for the industry.
Taking a Low-Risk Approach
Singlepoint has stepped in to address some of these industry challenges with its own solutions in a way that doesn’t involve touching the drug at all. In particular, the company has focused most of its efforts on developing marketing programs, payment solutions, and innovative products targeting the medical marijuana sector. This approach differentiates it from other companies in the space that have greater risk by handling the drug itself.
In January 2014, the company began developing mobile payment systems branded for the cannabis industry along with text message marketing services for dispensaries. The technology enables cannabis companies to avoid cash transactions that entail security risk and make accounting more difficult, while effectively marketing to existing and potential customers through their mobile devices when they’re most engaged.
More recently, the company signed a letter of intent to acquire an interest in Jacksam Corp., dba Convectium, a profitable California-based provider of equipment, branding, and packaging solutions for the cannabis industry. Convectium is the creator of the world’s first oil filling machine focused in the cannabis industry that is capable of filling cartridges or disposable vape pens for wholesale distribution to dispensaries.
Singlepoint Inc. (OTC Pink: SING) offers investors low-risk exposure to the $24 billion cannabis industry through its payments, marketing, and wholesale technology products. The company is currently looking into other acquisitions and investments as well. Investors may want to take a closer look at the stock given its modest market capitalization and significant long-term potential.
This article was published by CFN Enterprises Inc. (OTCQB: CNFN), owner and operator of CFN Media, the industry’s leading agency and digital financial media network dedicated to the burgeoning CBD and legal cannabis industries. Call +1 (833) 420-CNFN for more information.
Follow Us on Social Media
About CFN Media Group
CFN Enterprises Inc. (OTCQB: CNFN) owns and operates CFN Media Group, the premier agency and financial media network reaching executives, entrepreneurs and consumers worldwide. Through its proprietary content creation, video library, and distribution via www.CannabisFN.com, CFN has built an extensive database of cannabis interest, assisting many of the world’s largest cannabis firms and CBD brands to build awareness and thrive. For more information, please visit www.cfnenterprisesinc.com.
Disclaimer: Matters discussed on this website contain forward-looking statements that are subject to certain risks and uncertainties that could cause actual results to differ materially from any future results, performance or achievements expressed or implied by such statements. CFN Media Group, which owns CannabisFN, is not registered with any financial or securities regulatory authority and does not provide nor claims to provide investment advice or recommendations to readers of this release. CFN Media Group, which owns CannabisFN, may from time-to-time have a position in the securities mentioned herein and will increase or decrease such positions without notice. The Information contains forward-looking statements, i.e. statements or discussions that constitute predictions, expectations, beliefs, plans, estimates, or projections as indicated by such words as "expects", "will", "anticipates", and "estimates"; therefore, you should proceed with extreme caution in relying upon such statements and conduct a full investigation of the Information and the Profiled Issuer as well as any such forward-looking statements. Any forward looking statements we make in the Information are limited to the time period in which they are made, and we do not undertake to update forward looking statements that may change at any time; The Information is presented only as a brief "snapshot" of the Profiled Issuer and should only be used, at most, and if at all, as a starting point for you to conduct a thorough investigation of the Profiled Issuer and its securities and to consult your financial, legal or other adviser(s) and avail yourself of the filings and information that may be accessed at www.sec.gov, www.pinksheets.com, www.otcmarkets.com or other electronic sources, including: (a) reviewing SEC periodic reports (Forms 10-Q and 10-K), reports of material events (Form 8-K), insider reports (Forms 3, 4, 5 and Schedule 13D); (b) reviewing Information and Disclosure Statements and unaudited financial reports filed with the Pink Sheets or www.otcmarkets.com; (c) obtaining and reviewing publicly available information contained in commonlyknown search engines such as Google; and (d) consulting investment guides at www.sec.gov and www.finra.com. You should always be cognizant that the Profiled Issuers may not be current in their reporting obligations with the SEC and OTCMarkets and/or have negative signs at www.otcmarkets.com (See section below titled "Risks Related to the Profiled Issuers, which provides additional information pertaining thereto). For making specific investment decisions, readers should seek their own advice and that of their own professional advisers. CFN Media Group, which owns CannabisFN, may be compensated for its Services in the form of cash-based and/or equity-based compensation in the companies it writes about, or a combination of the two. For full disclosure, please visit: https://www.cannabisfn.com/legal-disclaimer/. A short time after we acquire the securities of the foregoing company, we may publish the (favorable) information about the issuer referenced above advising others, including you, to purchase; and while doing so, we may sell the securities we acquired. In addition, a third-party shareholder compensating us may sell his or her shares of the issuer while we are publishing favorable information about the issuer. Except for the historical information presented herein, matters discussed in this article contain forward-looking statements that are subject to certain risks and uncertainties that could cause actual results to differ materially from any future results, performance or achievements expressed or implied by such statements. CFN Media Group, which owns CannabisFN, is not registered with any financial or securities regulatory authority, and does not provide nor claims to provide investment advice or recommendations to readers of this release. CFN Media Group, which owns CannabisFN, may from time to time have a position in the securities mentioned herein and will increase or decrease such positions without notice. For making specific investment decisions, readers should seek their own advice and that of their own professional advisers. CFN Media Group, which owns CannabisFN, may be compensated for its Services in the form of cash-based and/or equity- based compensation in the companies it writes about, or a combination of the two. For full disclosure please visit: https://www.cannabisfn.com/legal-disclaimer/.