Federal Cannabis Reform in 2026: Why Industry Leaders Call It a Tailwind, Not a Lifeline
At IgniteIt’s New Jersey Spotlight panel, “Washington Watch: Cannabis Policy and Market Signals,” Vince C. Ning, CEO and Co-Founder of Nabis, joined capital markets and policy leaders to address a question dominating the cannabis industry in 2026:
Is federal reform about to transform the market, or is it simply shifting the direction of the wind?
The answer, according to the panel: reform is real, momentum is building, but operators expecting a rescue are misreading the moment.
Watch the full panel with Vince C. Ning below.
Key Highlights
- Federal cannabis reform is advancing, but its impact will unfold over years, not months.
- Rescheduling, safe banking, hemp regulation, and interstate commerce are the four major federal policy tracks shaping 2026.
- Regulation is shifting from plant-based frameworks to cannabinoid-centric oversight, with implications for compliance and product standards.
- Business fundamentals, including cash flow, margins, and discipline, remain decisive, regardless of policy momentum.
A Broader Lens on Federal Reform
Ning described federal cannabis reform as a strategic boost for long-term industry growth, not as a lifeline. He stressed that leaders should not expect quick relief from federal changes, but should... “include new policy trends in their planning.”
For years, the industry has oscillated between optimism around federal rescheduling and frustration over delays for safe banking legislation. In 2026, reform signals are stronger, but momentum does not equal instant liquidity.
Four Federal Cannabis Policy Conversations Defining 2026
Vince outlined the main policy areas shaping the federal reform discussion in Washington:
“The four main topics of policy issues that were discussed were one, obviously, rescheduling. The next hot topic is safe banking, and following that, there is this sort of underpinning of what’s going to happen with hemp and cannabis, and then lastly is interstate commerce.”
It’s clear the cannabis industry is starting to see the latest reform pushes as a gradual process involving changes in taxes, banking, federal scheduling, and interstate rules, not as a single event.
For companies like Nabis that are operating at scale across major markets, interstate alignment and regulatory clarity directly affect logistics, compliance, and overall business strategy.
From Plant-Centric to Cannabinoid-Centric Regulation
One of the most forward-looking points Ning made was the regulatory paradigm shift he sees taking shape at the federal level:
“Regulation is moving from plant-centric regulation to cannabinoid-centric regulation. So THC is still THC, whether it comes from hemp or cannabis or any other plant we might discover on earth or elsewhere… people are talking about regulating the chemical compound now, less so the actual plant itself.”
This shift could have significant implications for potency standards, packaging and labeling, and cross-state regulatory consistency, among others.
Fundamentals Still Win
On the panel, Ning underscored a recurring message on the federal reform initiative for operators:
“I’ve been in this industry for eight years, and I’ve never been more optimistic. But the main message here is don’t change how you’re operating your businesses. Don’t just start growing at all costs. Capital isn’t just going to flood in overnight...[reforms] are momentum, but they are not something that’s going to save operators’ fundamentals overnight.”
This echoed others on the panel, including Steve Ernest, head of originations at Chicago Atlantic, who said, “The message to operators: focus on your business, focus on what you can control, focus on producing free cash flow… and increasing your EBITDA margins. None of this is going to come and save us in the near term. It’s just a slow, directional tailwind that’s going to help, but fundamentals will not change.”
While policy trends are positive, operators should not lean entirely on external catalysts. Instead, they should optimize operations, control costs, and build resilient models that can weather slow policy progress.
The Consumer is the Focus on Capitol Hill
In a separate, longer exchange, Ning spoke to what he sees as the real connective tissue for market acceptance:
“Particularly in rhetoric on the hill for advocacy, it’s around consumers. So, whether it’s public health or just consumer trends, it’s the same demographic, which is why brands and product makers ultimately like to launch in all these states at once and be able to use a singular, consistent distribution platform and not have to have different teams in different fleets on different sides of the bridge.”
Cannabis policy is moving from a niche industry debate to a mainstream consumer issue. That shift strengthens long-term reform probability.
A Long-Term View Ahead
Far from a silver bullet, reform is part of a multi-year evolution. Whether you’re preparing a business plan, evaluating capital needs, or shaping advocacy priorities, durable growth in cannabis will come from disciplined strategy, bolstered by but not beholden to federal policy shifts.
