💸 The Tape

Washington loves a good “will they, won’t they” story—and this week, cannabis reform got its own. President Donald Trump’s nominee for White House drug czar, Sara Carter (a.k.a. Sara Bailey), faced the Senate Judiciary Committee and offered answers that could have been scripted by a Magic 8-Ball: “All options are on the table.”

Carter, a journalist-turned-podcast host with a history of discussing cannabis in nuanced terms, is Trump’s pick to lead the Office of National Drug Control Policy (ONDCP). When pressed by Sen. Cory Booker (D-NJ) about whether she’d support rescheduling marijuana from Schedule I to Schedule III, Carter praised medical cannabis and acknowledged the issue’s bipartisan nature. But her official response was a careful dodge: consult, study, and keep studying.

Why It Matters

The Biden administration set the rescheduling process in motion back in 2022, with the Department of Health and Human Services recommending cannabis move to Schedule III. Trump has teased that a final decision is “imminent,” though his recent comments suggest less enthusiasm than during his campaign. Carter, if confirmed, will be the one whispering in his ear when the choice lands on the Resolute Desk.

For Booker, rescheduling is at least a step forward: it acknowledges cannabis has medical value and clears barriers to research. “It would open up the door to more scientific study,” he said, pointedly. Carter agreed—sort of. She told senators she’s already met with Veterans Affairs Secretary Doug Collins to align on more research, particularly around PTSD treatments for veterans.

The Legal Catch

Here’s the rub: federal law literally prohibits the ONDCP director from endorsing legalization of any Schedule I substance—including marijuana. Booker highlighted how that statutory gag order hampers honest research. Carter responded diplomatically, saying she’d support efforts to change the law so her office could at least study impacts without fear of breaking the rules.

Reading Between the Lines

Carter has called medical marijuana a “fantastic” treatment in the past and said she doesn’t “have a problem” with legalization if it’s well-regulated. But she’s also been vocal about the risks of illicit cartel grows, suggesting her focus may tilt more toward cracking down on unregulated markets than advancing reform.

If confirmed, Carter would follow in the footsteps of Biden’s drug czar, Rahul Gupta, who also voiced support for medical cannabis. But unlike Gupta, she enters amid an especially volatile moment: a stalled DEA rescheduling process, a Congress divided over hemp bans, and a president trying to balance campaign promises with MAGA skepticism.

Bottom Line

Carter isn’t shutting the door on cannabis reform—but she’s not exactly swinging it open either. For now, marijuana’s place in federal law remains in limbo, waiting for a decision that could either move the U.S. toward modernized policy or keep it firmly stuck in 1971.

📈 Dog Walkers

$VEXTF ( ▲ 0.94% ) Expands In Ohio

What’s Going On Here: Vext Science (CSE: VEXT; OTCQX: VEXTF), the vertically integrated operator with roots in Arizona and growing ambitions in Ohio, just notched a key regulatory win. The Ohio Department of Commerce approved Vext’s ownership transfer of the Herbal Wellness Center dispensary in Portsmouth, with closing and title transfer expected by October 1, 2025.

CEO Eric Offenberger called the approval “a clear validation” of the company’s disciplined growth strategy in Ohio, where Vext is moving toward a five-store retail footprint in the near term. The Portsmouth location—already open since June—features a drive-thru and is licensed under the state’s 10(B) program, adding both convenience and credibility to the rollout.

Looking ahead, three more dispensaries remain under construction and permitting, keeping Vext on track to reach the state’s maximum allowance of eight dispensaries, all backed by its Tier I cultivation and manufacturing facilities. The company sees Ohio as one of the most attractive U.S. growth markets, particularly with medical and adult-use consumers now in play.

For Vext, each store isn’t just square footage—it’s leverage. With full vertical integration, the company expects to keep expanding margins, generate sustainable free cash flow, and prove that Ohio can be just as pivotal as Arizona in shaping its long-term shareholder value.

$CGC ( ▼ 6.21% ) Appoints New CFO

What’s Going On Here: Canopy Growth (TSX: WEED; Nasdaq: CGC) has officially named Tom Stewart as Chief Financial Officer, effective immediately, after serving in the interim role since July. Stewart has been part of Canopy’s senior finance leadership since 2019 and now steps into the role permanently as the company sharpens its focus on operational discipline, balance sheet strength, and its fiscal 2026 transformation plan.

CEO Luc Mongeau called Stewart’s appointment “critical,” underscoring his role in pushing structural efficiency, commercial focus, and tighter capital allocation. Stewart has already led key efforts to stabilize the balance sheet, from targeted debt repayments to liquidity improvements through “at-the-market” programs.

“I’m proud of the progress we’ve made to stabilize the business and improve our financial fundamentals,” Stewart said, pointing to disciplined cost control and ongoing debt reduction. “I look forward to continuing this work and unlocking further value for the business and our shareholders.”

With cannabis markets still turbulent, Canopy is signaling that its turnaround is about numbers first, hype second. Stewart’s elevation marks continuity in leadership but also raises expectations: FY26 isn’t about survival—it’s about proving that Canopy can execute with precision and deliver durable shareholder value.

🗞️ The News

📺 YouTube

Senator Rand Paul Pushes Back on Hemp Ban Proposals | Trade to Black

What we will cover:

✅ Senator Rand Paul is stepping into the center of the hemp and cannabis debate in Washington. On one side, licensed cannabis operators argue hemp products are exploiting loopholes and undercutting the regulated market. On the other side, hemp farmers say these products are their livelihood and need a clear framework to survive. Everyone agrees on the need for rules — the question is whether Congress will settle on sensible oversight or move toward an outright ban.

The Trade To Black Podcast with host Shadd Dales and co-host Anthony Varrell digs into these issues with Senator Paul. He explains why he fought to strip hemp-ban language from the Agriculture spending bill, putting himself at odds with Senate leadership, and how Kentucky’s hemp market could be a model for the rest of the country. Senator Paul also talks about his HEMP Act of 2025, which raises the THC threshold to 1 percent, shifts testing to finished products, and aims to protect farmers while setting consumer expectations.