Trump Could Consider Cannabis Descheduling
On the latest Trade To Black podcast presented by Flowhub, hosts Shadd Dales and Anthony Varrell discuss a report that is beginning to circulate across the cannabis policy landscape in Washington. Reporting from The Marijuana Herald editor-in-chief Anthony Martinelli suggests that Donald Trump could potentially sign an executive order this summer tied to cannabis descheduling in the United States. To help break down what this could mean for the industry, Trade To Black brings back one of the most talked-about guests on the show — former hedge fund manager and longtime cannabis investor Marc Cohodes.
Cohodes shares his reaction to the report and give his take on how the market could respond if Washington were to move beyond rescheduling and toward full federal descheduling. The industry has spent years debating rescheduling under the Controlled Substances Act, but the idea of removing cannabis entirely from the federal schedule would represent a much larger policy shift. If Washington ever seriously moved in that direction, the implications would be significant — not just for investors, but for operators, regulators, and the broader cannabis industry across the United States.
Investor Doug Cass’s recent social media activity generated significant excitement — and skepticism — across the cannabis investment community. Cohodes was unequivocal in his confidence, saying he knows Cass’s sources and has never seen him this committed to a position. He argued that while timing in the current chaotic political environment is impossible to predict precisely, a rescheduling announcement is a certainty and leaks of this nature are rarely accidental. Cohodes added that Trump, mindful of midterm polling and the stock market, has strong political incentive to act, and that Chief of Staff Suzy Wiles is reportedly a firm supporter of descheduling.
The group also discussed the political mechanics of how full descheduling could actually be achieved by Trump noting that the president cannot de-schedule cannabis unilaterally — that requires Congress. Cohodes suggested the STATES Act represents a viable legislative path, and argued that Trump’s personal endorsement would likely be enough to push it through. He also pointed to Howard Kessler as a key behind-the-scenes influence, crediting him with playing a significant role in the earlier executive order and suggesting his advocacy is now focused on full de-scheduling as a matter of legacy.
Texas and the hemp sector also came up briefly, with Varrell noting that the state is set to ban smokable hemp products by March 31st. Cohodes predicted the federal hemp ban would be pushed out by roughly two years, dismissing synthetics as the core problem undermining the industry’s credibility and arguing that any workable regulatory framework would need to draw a clear line between legitimate hemp products and chemically converted synthetic derivatives flooding the market.
