SinglePoint and First Bitcoin Capital (FBC) have signed a Joint Venture agreement for the development and distribution of their own payment solution enabling the large-scale and risk-free use of credit cards and debit cards within the cannabis industry.
Although buying and selling cannabis for medical and recreational use in various US states has been legalized by governmental organizations, payments are usually still limited to cash. US
federal law, which states that marijuana is illegal to produce, distribute or own, prohibits banks and credit unions from taking the proceeds and thereby prevents cannabis pharmacists from accepting payments through credit or debit cards issued by banks. Because of federal law, almost everyone in the cannabis industry has a banking problem, cannot get loans and customers have to pay in cash.
SingleSeed Payments
SinglePoint and FBC try to solve this problem by offering a custom payment solution that allows credit card and payment card payments to be routed via bitcoin, using blockchain technology to remove banks from the process. They think they have found a way to do this while leaving the customer experience at the point of sale unchanged when they pay with a credit or debit card for medical and recreational cannabis. SinglePoint already offers a tailor-made payment method for dispensaries called SingleSeed Payments, which offers cashless ATMs, SMS marketing
platforms and mobile payment platforms specifically developed for cannabis companies, but it does not use Bitcoin or blockchain.
"SinglePoint, Inc. is a company that develops and sells mobile business platforms and related business technologies. With the primary products, companies can accept mobile payments, trade text messages and host mobile auctions. SinglePoint has recently also been active in the medical sector by establishing a subsidiary that offers these technology solutions that specialize in cannabis industries."
First Bitcoin Capital Corp. is the first vertically integrated, listed Bitcoin entity to enter the lucrative crypto-currency space, which wants to consolidate each segment of the digital currency arena vertically to encourage the digital market and to help the cryptocurrency industry grow. The goal of First Bitcoin Capital Corp. is to acquire Bitcoin startups, attract funding and invest in companies that develop Bitcoin software or hardware applications.
Because bitcoin is a decentralized digital currency, it enables financial transactions that do not involve banks that are subject to federal government regulations. This independence from the
traditional banking infrastructure will provide an ideal basis for setting up a payment network for the cannabis industry. The SinglePoint / FBC solution will be developed to allow cannabis
companies to accept credit/debit card payments without being dependent on co-operation from (non-cooperative) banks.
This solution to allow card payments for dispensaries addresses a ubiquitous problem and is a crucial necessity. It will make the industry safer for both business owners and patients. Carrying large amounts of cash is dangerous for customers and pharmacies as it at danger of theft and armed robberies. Credit/debit card payments also reduce the costs for pharmacies that are forced to invest in expensive anti-theft measures. It is an important step in the evolution of the cannabis industry, an industry that is estimated to be worth $ 24. 1 billion in 2025.