Oregon bank is the first to work with Colorado marijuana businesses – Portland Business Journal
An Oregon lender has become the first bank to publicly announce it’s doing business with marijuana businesses in Colorado.
As the Denver Business Journal reported this morning, MBank has begun offering banking services to marijuana businesses in Colorado. The Denver Post has a story detailing how the lender is working with marijuana businesses in Colorado.
“The pot industry in Colorado has had problems with the banking world because marijuana remains illegal under federal law,” the Denver Business Journal wrote.
MBank told the Denver Post it’s signed up five marijuana businesses in Colorado and has applications pending from another 30.
Because MBank doesn’t have any locations in Colorado, armored cars will deliver cash deposits from the pot businesses to a Federal Reserve System bank. The money would then be credited to MBank‘s account.
Oregon voters approved the recreational use of marijuana last fall.
“It’s a bold maneuver and not one for a lot of folks to take on,” MBank president and CEO Jef Baker told the Denver Post in detailing the Colorado strategy. “We looked to regulators, both state and federal, to help us come to the conclusion that we can do banking in this sector.”