TLDR – TDR News highlights – January 30th / 31st

TDR News Highlights for Wild Wednesday

Cannabis TDR News:

U.S. Senator Chris Van Hollen (D-Md.) joined Elizabeth Warren (D-Mass.), John Fetterman (D-Pa.), Chuck Schumer (D-N.Y.), and other Democratic senators in urging the Biden Administration to deschedule marijuana from the Controlled Substances Act (CSA). This request follows the Department of Health and Human Services’ (HHS) recommendation to downgrade marijuana from Schedule I to Schedule III, based on its medical utility and lower abuse potential compared to other Schedule I substances. The senators argue that rescheduling alone won’t address major issues like criminal penalties disproportionately affecting Black and Brown communities and hindering access to public housing or nutrition assistance. They emphasize that only descheduling marijuana can fully rectify these harms and align federal policy with state laws and public opinion. The DEA and DOJ have been requested to provide details on their actions regarding HHS’s recommendation by February 12, 2024.

In Ireland the government proposes delaying the vote on marijuana legalization by nine months for further evaluation by a special committee. This follows the Citizens’ Assembly’s report advocating drug decriminalization and harm reduction. Taoiseach Leo Varadkar calls for a tailored approach involving multiple sectors. Despite public support, this delay continues the criminalization for personal possession. The bill, introduced by TD Gino Kenny in 2022, faces a significant delay in its legislative progress, although Varadkar recognizes drug misuse as primarily a public health issue.

Tilray Brands, Inc. (NASDAQ: TLRY, TSX: TLRY) has announced the release of the fourth edition of Sexy Motor Oil, a collaboration between its subsidiaries Breckenridge Distillery and Breckenridge Brewery. This limited edition includes barrel-aged whiskey and beer, available exclusively at Breckenridge locations in Colorado from Valentine’s Day. The whiskey, aged in bourbon barrels previously used for Breckenridge Brewery’s Imperial Oatmeal Stout, and the corresponding beer, also aged in bourbon barrels, will be for sale at specific Breckenridge locations. This collaboration highlights the innovative and craft-focused approach of the two Tilray Brands subsidiaries.

Glass House Brands Inc. (CBOE CA: GLAS.A, OTC: GHBWF) has initiated cultivation in Greenhouse 5 at SoCal Farm, expected to produce 250,000 lbs. of cannabis annually. This expansion increases the company’s total capacity to over 600,000 pounds per year, marking a significant growth of over 70% from its current output. The new greenhouse is projected to add $80 million in annual revenues, with first revenue expected by early Q2 2024. This development is a key step in Glass House’s growth strategy, enhancing its production capabilities.

Cannara Biotech Inc. (TSXV:LOVE, OTC:LOVFF) reported a Q1 2024 net revenue of $19.5 million, an 89% increase from the same period in 2023. Operating income for the quarter was $3.4 million, a 201% rise from Q1 2023, indicating improved efficiency. Net income increased to $2.1 million, compared to $2,951 in Q1 2023. The company also expanded its product range to 155 SKUs and recorded growth in several Canadian provinces. Cannara’s first international sale was made to Israel. As of November 30, 2023, the company had a working capital of $30.5 million. Read the full update on the TDR website.

Psychedelics TDR News:

Huxley Health Inc., a biotechnology company specializing in psychedelics-based treatments for neuroinflammatory disorders, announced the appointment of Bruce Linton as Chairman. Linton, known for his role as the founder, former CEO, and Chairman of Canopy Growth Corporation, which achieved a peak valuation of over $20 billion CAD, brings valuable experience to Huxley’s new board and management team. The company, following its acquisition of Sintalica Corp, has filed over 10 U.S. patents to strengthen its position in the field of psychedelics. Led by CEO Jared Rhines, with George Jackowski, Ph.D., as Chief Science Officer, and Peter Kampian as Chief Financial Officer, Huxley has raised approximately $6 million CAD and continues to focus on growth and innovation in psychedelic therapies.

MYND Life Sciences Inc. (CSE: MYND, OTC: MYNDF) appointed Ms. Laurie Bakke as an independent non-executive director, leveraging her 30 years of finance experience. The company is also reviewing a potential merger with Cava Healthcare Inc., with the intent to enhance research and treatment options for diseases such as Alzheimer’s, depression, and cancer. MYND is conducting a Phase 2B clinical trial for Alzheimer’s, developing a depression biomarker, and advancing a cancer monitoring biomarker. The company, focusing on neuro-pharmaceuticals and psilocybin drug development, is working towards securing funding to support the proposed merger.

Safe Supply Streaming Co. Ltd. (CSE: SPLY, OTC: SSPLF) announced that CannaLabs, a company within its portfolio, has undergone a Health Canada inspection for a dealer license. This step advances Safe Supply’s and CannaLabs’ entry into controlled substance markets. The license will enable CannaLabs to participate in production, distribution, and export activities. Safe Supply has also engaged Ace Digital Marketing for three months and announced the departure of President Ronan Levy, with CEO Bill Panagiotakopoulos taking over his duties.

MindBio Therapeutics Corp. (CSE:MBIO) is finalizing a Phase 2a LSD microdosing clinical trial for Major Depressive Disorder, with completion and results expected by March 2024. The trial assesses the efficacy of MB22001, with a focus on improving MADRS depression scores. MindBio is also conducting a Phase 2B trial for existential distress in cancer patients. These studies follow a completed Phase 1 trial that showed no serious adverse events and reported positive participant experiences.

Crypto TDR News:

Standard Chartered predicts that Ethereum (ETH) could surge by 70%, potentially reaching $4,000, in anticipation of a likely spot exchange-traded fund (ETF) approval on May 23. Geoff Kendrick, Head of FX Research at Standard Chartered, suggests the Securities and Exchange Commission (SEC) may follow a similar approval process as it did with the bitcoin spot ETF, which saw the launch of 11 funds after regulatory delays. Ethereum has already experienced a 19% rise since Blackrock’s ETF filing in November, with Kendrick forecasting further gains if certain conditions are met. These include low expectations for approval and multiple ETF approvals by the May deadline. Unlike bitcoin, which saw a post-ETF launch decline, Ethereum’s smaller market cap share in the Grayscale Ethereum Trust (2.2% compared to bitcoin’s 3.1%) and minimal exposure to the failed FTX exchange (0.05% of Ethereum’s market cap) may mitigate similar risks.

Visa Inc. (NYSE:V) has partnered with Transak to enable cryptocurrency withdrawals to Visa debit cards in 145 countries. This service allows direct conversion of over 40 cryptocurrencies to fiat without centralized exchanges. Aimed at users of digital wallets like MetaMask, the integration facilitates easier cryptocurrency transactions and payments globally. Visa’s ongoing crypto integration efforts include supporting the USDC stablecoin on its network.

AI TDR News:

The Biden Administration, through White House adviser Lael Brainard and Acting Secretary of Labor Julie Su, states rules are in place to ensure AI benefits workers. They stress AI should be safe and fair, with the government requiring developers to report safety tests. The administration advocates for worker inclusion in AI discussions, principles for ethical AI use, training for AI-impacted jobs, and policies to protect against job displacement by AI. The goal is to align AI advancement with worker welfare and equitable economic growth.

Microsoft Corp.(NASDAQ:MSFT) reported a revenue increase to over $60 billion, up 18% in the last quarter of 2023, driven by its deployment of artificial intelligence (AI) technologies at scale. As the company’s market value exceeded $3 trillion, CEO Satya Nadella pointed to AI application as a significant factor in Microsoft’s growth, highlighting its investment in OpenAI and the ChatGPT platform. Despite facing a lawsuit over alleged copyright infringement in AI training, Microsoft’s AI tools have seen increased integration into its products, notably with the AI-assisted Copilot program enhancing functionalities in Teams, email, and document creation. This focus on AI has contributed to a 30% increase in Azure cloud services sales, with overall profits rising by 33% to $21.9 billion for the quarter.

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