“Square is currently conducting an invite-only beta for some CBD products,” a spokesperson for the company has said in an email.
When asked about the reasons for the launching the new program, which comes after years of refusing to work with CBD companies, the spokesperson said that the company closely watches evolving public policies and strives to create new opportunities for clients.
Square’s entry into the CBD space comes as federal legislation to allow broader access to financial services for marijuana businesses is gaining momentum in Congress.
In March, the House Financial Services Committee voted 45 to 15 to approve a bill to shield banks from being punished by federal regulators for working with state-legal marijuana businesses. That legislation now has 184 cosponsors—significantly more than a third of the chamber’s membership, and a floor vote is expected within the next several weeks.
A companion Senate bill has 29 lawmakers signed on, but Banking Committee Chairman Mike Crapo (R-ID) has so far refused to commit to even holding a hearing on the proposal.
But outside groups that do not traditionally support marijuana law reform are exerting pressure on Congress to act.
On Monday, bankers associations from all 50 states sent a joint letter urging Crapo to move the cannabis financial services legislation forward.
Earlier this month, members of the National Association of Attorneys General, which represents the top law enforcement officials in each state, sent a similar letter endorsing the marijuana banking bill.
And last week, The National Association of State Treasurers adopted a resolution supporting a legislative fix, writing that “cash-based systems are inefficient, expensive, and opaque, making illicit activity more difficult to track and posing a significant risk to public safety by increasing the likelihood of violent crime.”