Investors place bets on marijuana as more states legalize

MassRoots - successful start-up gained $150,000 for marijuana users' social network.
Successful startup MassRoots gained $150,000 for a marijuana-centric social network.
Credit: Metro World News

A year after the first three states legalized marijuana, it has become an irresistible commodity in a booming industry. The revolution’s latest sign came from Seattle this week, where investors paid more than $1,000 just to attend a startup fair and have the chance to buy in.

“It’s an extremely professional event full of high-quality opportunities,” says Isaac Dietrich, CEO of MassRoots, a social media app for consumers. The 21-year-old has secured $150,000 in investment from hedge fund managers, and the only way is up.

“It’s an incredibly exciting industry to be a part of,” says Dietrich. “We’re even drinking with companies competing with us, as there are so many new markets and more than enough money to go round. Every day there is more good news.”

That news includes projected sales figures of more than $2.3 billion next year, according to investors circle ArcView, representing growth of 64 percent — the fastest of any domestic industry. The federal government has not followed through on threats against states legalizing the plant, and a recent Gallup opinion poll showed 58 percent public support for full legalization.

That climate has attracted investors such as Jim Willett, 62, a Navy veteran and social conservative who fully supports the revolution.

“It’s a much broader and more diverse type of company than the early days of just selling (marijuana) pipes,” said Willett, who has made $750,000 from a $150,000 investment in a specialist marijuana security firm, and holds software and agricultural shares too.

The investor sees the boom as a “gold rush” with few risks. “The legal environment is relaxing and there is little doubt this becoming a mainstream commodity. This is an industry created out of thin air, that is starting from zero, and there are opportunities everywhere I look.”

The trend looks set to continue, with California and Arizona among the states expected to legalize marijuana before the 2016 presidential election. “There will be hiccups in creating the tax structure and the price could fluctuate,” said Dan Riffle of the Marijuana Policy Project. “But the most important thing is business investment is taking it out of the hands of criminals, as well as creating jobs. Around half of Americans have used it already, and it can compete with alcohol’s market share.”


News
Entertainment
Sports
Lifestyle
News

Easter Egg hunt horror as skydiver plummets to…

A FAMILY Easter egg hunt ended in horror when a skydiver plummeted to his death in a New York garden after his parachute failed to…

News

Boston Marathon 2014 on high alert, Red Sox…

One year on from the horrific Boston Marathon bombings a ring of steel has been thrown around today's race, and a city stands defiant against…

Local

Monday is the deadline to register for Pennsylvania…

If residents want to vote in the May primary, which includes a vote for a new City Council member, today is the deadline to register.

National

Miss America thinks school should reconsider discipline of…

A Pa. student was suspended for asking Miss America to prom.

The Word

Peaches Geldof's coffin featured a painting of her…

Sob. The coffin of 25-year-old Peaches Geldof featured a painting of her young family.

The Word

Terry Richardson tried to trade Vogue spread for…

Last night, model Emma Appleton tweeted a screenshot of a text that appeared to be a proposition from Terry Richardson.

Television

‘Mad Men’ recap: Season 7, Episode 2, ‘A…

Peggy and Lou are horrible, Bert's racist, Don is honest(ish) and Roger and Pete are frustrated. "A Day's Work" not quite worthy of "This Will Be Our Year."

Television

'Game of Thrones' recap: Season 4, Episode 3,…

The problem with the devil you know is that ignoring them doesn’t mean they simply lie in wait. It allows them time to do things…

NHL

Ray Emery steps up in Flyers’ Game 2…

Sure, he allowed two goals in the Rangers’ first four shots Sunday afternoon, but it’s about how you start, not how you finish.

NHL

Flyers come from behind, even series with Rangers

The Flyers overcame a two-goal deficit to get a much-needed win at Madison Square Garden Sunday.

MLB

Phillies get set for four against the Dodgers

The Phillies will face tough starting pitching out west against the Dodgers this week.

MLB

Phillies notebook: Cole Hamels returns this week

The Phillies should receive a big boost when Cole Hamels returns during the Dodgers series.

Travel

Packing: The one thing you need in your…

A new survey that looks at the travel habits of 50,000 people around the world has revealed that Western and Asian globetrotters have different priorities…

Home

Is your chair making it hard to talk?

Ever wished there was an office chair that could make impromptu meetings and discussions more private? The Cristiana Wing Chair is an asymmetrical armchair which…

Travel

Live large at these luxury hotels

From Thai boxing lessons and macabre Dracula tours to the Australian Outback, the Four Seasons hotel chain launched a series of new travel packages this…

Parenting

4 things that every summer camp should have

Alan Saltz, director of the 92nd street Y program lists things that every summer camp should have.

Comments

1