💸 The Tape

In a twist that might leave some drug policy hardliners reaching for smelling salts, President Donald Trump has tapped journalist Sara Carter to be the next White House drug czar—and she doesn’t seem particularly interested in waging a war on weed.

Carter, best known for her coverage of drug cartels and appearing regularly on conservative media, has publicly called medical marijuana a “fantastic” option for seriously ill patients and said she’s got “no problem” with legalization—as long as it’s regulated. That may raise a few eyebrows given that, by federal law, the Office of National Drug Control Policy (ONDCP) director is literally required to oppose legalization of Schedule I drugs like marijuana. Yes, even the good kind with FDA approval pending.

Trump, never one to miss an opportunity for a bold pick, praised Carter as someone who has “been on the front lines of this international fight for decades” and will “lead the charge to protect our Nation.” Presumably from both fentanyl and funky edibles.

If confirmed, Carter would follow in the footsteps of Biden’s drug czar Rahul Gupta, who also voiced support for medical cannabis—although Carter comes with a slightly more tactical flair, complete with helicopter ride-alongs to observe illegal grow ops and a heavy Twitter/X presence accusing Chinese cartels of poisoning Americans with pesticide-laced pot.

Carter has drawn a clear line between the regulated and the renegade, reserving her wrath for the black market. On her podcast, she warned that illicit marijuana is “full of toxins that could seriously hurt an unsuspecting smoker,” raising concerns about mental health impacts and, possibly, Hulk-like levels of THC. Meanwhile, she’s been less judgmental toward the licensed dispensary down the block.

Her stance may pose a curious challenge for the ONDCP, an office still legally bound to oppose any hint of federal legalization—even if the nation is increasingly leaning green. But advocates are cautiously hopeful that Carter’s softer tone on medical cannabis could signal a more pragmatic approach to drug policy.

Just how much of her personal view will translate into actual policy is unclear. But one thing’s certain: if confirmed, Carter will become the rare drug czar who doesn’t immediately flinch at the phrase “legal weed.” Whether that earns her brownie points—or just brownie jokes—remains to be seen.

📈 Dog Walkers.

Vext Reports Momentum In Ohio

What’s Going On Here: Vext Science closed out 2024 with a bang, delivering its strongest quarter in recent memory and proving that disciplined execution can still pay off in the cannabis sector. Q4 revenue climbed to $10.2 million, a 13% jump fueled by adult-use momentum in Ohio and steady performance in Arizona. Adjusted EBITDA surged to $3.2 million (up from a meager $0.5M last year), while cash flow from operations flipped positive at $4 million—quite the glow-up from red ink just a quarter prior. The company also secured regulatory approval to expand its Ohio footprint with the Big Perm dispensary acquisition, putting it on a solid trajectory to hit the state's dispensary cap by early 2026. Vext may be vertically integrated, but its growth right now is anything but flat.

Grown Rogue Closes Facility

Whats Going On Here: Grown Rogue just scored a $7 million win, securing a credit facility from a major FDIC-insured bank—no small feat in the cannabis world, where traditional financing is often harder to find than a unicorn in a grow room. The four-year loan carries a reasonable 9.2% interest rate (tied to SOFR) and comes with no prepayment penalties, giving the craft cannabis company some welcome breathing room. Funds will fuel ongoing growth, pad working capital, and tidy up a bit of old debt. CEO Obie Strickler called the deal a vote of confidence from a top 50 U.S. bank—and in this tough capital environment, that’s as good as a gold star for creditworthiness.

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Trump's New Drug Czar: Sara Carter's Mission Begins | Trade to Black

What we will cover:

✅ Hosts Shadd Dales and Anthony Varrell dive into the latest cannabis industry buzz.

First up, New York might soon let you pair your popcorn with a puff. State officials are exploring plans to allow marijuana sales and consumption at movie theaters. With $1 billion in cannabis sales already, New York is aiming to make cannabis a true blockbuster.

Next, Curaleaf (OTCQX: CURLF) is shaking up the hemp beverage market with Select FormulaX—a THC and caffeine-infused energy drink. Designed for modern multitaskers, this fast-acting drink is perfect for gamers, festival-goers, and thrill-seekers.

Finally, Innovative Industrial Properties (NASDAQ: IIPR) faces challenges as it restructures its portfolio, addressing tenant defaults and financial hurdles in a turbulent cannabis economy.

Plus, Michael Bronstein from the American Trade Association for Cannabis and Hemp joins us to discuss Sara Carter’s appointment as President Trump’s new Drug Czar and its implications for the industry.