One month after the announcement that Founders Fund invested $75 million in Privateer Holdings, the world’s first fund dedicated exclusively to investing in the cannabis industry, and whose existing investees include Leafly, Marley Natural, and Tilray, a leading medical marijuana company, Snoop Dogg announced the formation of a $25 million fund to invest in tech companies related to the marijuana industry.
To date, four states have legalized recreational marijuana, Colorado, Washington, Oregon, and Alaska, however only Colorado and Washington have sales systems in place. Twenty three additional states including Washington DC and Canada allow the legal purchase of medical marijuana. General sentiment is that legalization will continue, and investors are becoming more confident and bullish on the industry.
The legal cannabis market has grown from $1.5 billion in 2013 to $2.7 billion in 2014, and according to the marijuana industry research firm, GreenWave Advisors, the market will be worth $35 billion by 2020.
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