Future Farm Technologies (FFRMF), a Canadian cannabis company with multiple projects throughout the United States, today announced that it entered into a definitive agreement with New England CCS to acquire a 51% stake in FlipCoin, a new cryptocurrency application and Point of Sale (POS) platform.
As cannabis dispensaries across the nation struggle to find adequate banking services under the onerous guidance of the Department of Justice and United States Attorney General Jeff Sessions, who has promised to crack down on the legal cannabis industry, more and more cannabis companies have begun turning towards cryptocurrencies as the solution.
“Under current US Federal law, dispensaries are un-bankable,” said Bill Gildea, CEO of Future Farm, in a statement. “As the industry has grown, an expensive problem for dispensaries has emerged. We believe the unique nature of cryptocurrencies – based on fast, secure, and proven blockchain technology – has the potential to be a game-changer by solving this multi-billion dollar problem.”
Similar to the credit card processing application Square, FlipCoin will allow cannabis dispensaries to accept cryptocurrencies such as accept Bitcoin, Ethereum, Bitcoin Cash, or Litecoin as payment. Expected to launch within the next three weeks, New England CCS plans to install the application within nine of its portfolio dispensaries and to white label the application for dispensaries around the world.
Soon FlipCoin will also become integrated with Coinbase, which is the largest broker exchange of Bitcoin, Bitcoin Cash, Ethereum, Litecoin, and other digital assets with fiat currencies in 32 countries. With over 13 million accounts, Coinbase is also the most downloaded app in the Apple Store and is expected to continue to add more than 100,000 new daily sign-ups.
As part of the deal, Future Farm has agreed to issue 120,000 shares of its common stock to New England CSS and another 10,000 shares of its common stock to Derek Ross as a finder’s fee.
Future Farm is not the only cannabis company to join the blockchain club. Earlier in the week, mCig Inc. (MCIG), announced the website launch of its blockchain focused company OBITX Inc. Focusing on combining blockchain technology with real-world applications, OBITX plans on launching KRYP ATMs, which allows individuals to buy and sell cryptocurrencies as well as make cash withdrawals.