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ACKRELL CAPITAL CHAPTERV_ Global Cannabis Regulation International partnerships and business plans are being formed as countries increasingly allow importation and exportation of cannabis products and more companies recognize the global potential of the cannabis industry. Canadian companies are cultivating cannabis in South America and sup- plying markets in Europe, Australian companies are forming research partnerships with producers in Israel, and European companies are securing cannabis-related patents in the United States. And, as discussed in more detail in Chapter VII, Capital Markets for Cannabis Companies, more cross-border investment activity is taking place as industry participants position for the expected further opening of global cannabis markets. Despite the growing recognition of the potential medical value of cannabis, the current legalization momentum and the increasingly international scope of cannabis business, the movement of products and flow of capital required for a truly global industry continue to be inhibited by incongruous laws, regulations and international treaties. For example, concerns about violating U.S. federal banking and anti-money laundering regulations have caused certain U.S. banks to refuse to be connected to the cannabis industry, avoiding even indirect association with cannabis activity that is legal where con- ducted. In one instance, a number of U.S. banks threatened to cease business with certain Uruguayan banks that serviced pharmacies legally distributing recreational cannabis within Uruguay. In turn, those Uruguayan banks effectively forced the pharmacies to stop participating in Uruguay’s cannabis market. (In a similar way, lack of access to the U.S. federal banking system continues to inhibit growth of the domestic cannabis industry.) Until the largest economies in the world more fully embrace cannabis, we must stop short of calling cannabis a truly global industry. However, we believe that the legalization momentu

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