Welcome Note

Welcome back Gardeners!

It’s been a bit of a crazy week! My mom is in town so I took some days off to hang with her and have a staycation which featured a few weed drinks!

The Free Spirits Podcast with David Gonzalez and myself is back for Season 2 and episode 5 dropped Monday featuring Douglas Fulton!

So be sure to subscribe and rate/review the show! It really does help us grow!

You can find us on Youtube, Apple, Spotify or wherever you get your podcasts!

I hope you enjoy this week’s newsletter

And as always, my email is open!

-Lars

Any comments or questions? Leave comment on this post or shoot me an email. Would love to hear from you!

News Round Up

🏛️ Policy & Regulation

Connecticut Surprise: Beverage Tax Cut Advances

Summary: HB 7271, a Connecticut bill to slash the infused beverage tax from $1 per can to $0.05, was passed out of the Finance Committee. This represents a 95% reduction in the per-unit tax rate.

Why It Matters:

This is a massive win for infused beverage makers operating under thin margins. The fact that this moved forward in a budget-tight year signals that legislators may be starting to understand the economic upside of supporting the category. The 3mg cap remains in place, which keeps Connecticut in the low-dose camp, good news for brands banking on sessionability.

Florida’s Regulatory Chess Game Continues

Summary: A revised version of Florida’s hemp regulation bill (HB 7027) made it through the House. Some key wins and losses include:

• Beverages exempt from the “single-color packaging” rule.

• Color additive bans dropped in the House version but remain in the Senate draft.

• “Attractive to children” language remains vague and will likely trigger continued enforcement inconsistency.

• “Psychotropic cannabinoid” is now a defined legal term, adding yet another layer of compliance gray area.

Real-World Impact:

Retailers like Total Wine in Boca have already pulled “noncompliant” brands, even without formal raids. Consumers may not yet notice, but operators are already navigating chaos behind the scenes. Florida is clearly not looking to ban outright—but they’re complicating the pathway for compliance so significantly that only well-capitalized or ultra-diligent operators will survive.

Arizona: Legal Showdown Brewing

Arizona hemp companies are suing the state ahead of a deadline requiring removal of THC-infused products. The legal argument centers on whether these products fall under the state’s medical marijuana framework or are independently regulated under the Farm Bill.

This case could set a precedent for how other conservative or medically restrictive states treat hemp-derived intoxicants. The AZ Department of Agriculture is not equipped to handle intoxicating cannabinoid enforcement, so expect bureaucratic friction.

📈 Market & Consumer Trends

Hemp THC Replaces the “Night Out”

Sightlines reports - THC beverages and edibles are increasingly replacing alcohol for social rituals among women in their 30s and 40s. One consumer profiled noted swapping her second glass of wine for a 15–30mg gummy shared with friends during “grown-up sleepovers.”

These stories aren’t anomalies. They represent a shift in use cases, where hemp-derived THC is about function, moderation, and comfort. These consumers are seeking agency, not escape.

The desire for autonomy + discretion (especially in conservative households or “mom circles”) is a strong driver. Brands that lean into adult rituals, not stoner tropes, will own this space. Think dosage transparency, elegant packaging, and flexible form factors.

Delta-9 Soda Boom Is Just Getting Started

PLIFT’s fast rise is a marker of how “crossover” brands (e.g., those marketed like craft sodas but containing D9) are resonating. Their positioning is far from traditional cannabis cues, yet they’re dominating shelf space.

The future may not look like “weed drinks.” It may look like nostalgic soda 2.0, with a functional kick. Brands that borrow from craft soda culture, without being overly cute, could break out fast in non-legacy markets.

🚨 Industry Updates

Crain Shuts Down Green Market Report

GMR X Post - Crain Communications has shuttered Green Market Report. The outlet was one of the few consistently covering cannabis finance, MSO movement, and hemp regulation with industry-level nuance.

This is a blow to cannabis journalism and how fragile niche media ecosystems are in this space. Expect more dependence on independent newsletters and operator-run commentary to fill the void.

Cornbread Hemp Enters the Beverage Arena

Known for their USDA organic gummies, Cornbread Hemp is now entering the beverage space with “Pure THC Seltzers” to match their clean-label philosophy.

This move confirms a broader trend: well-established CBD-first brands are now extending into THC drinks. Not because they want to chase buzz, but because their consumer already trusts them and is ready to explore.

Wynk Expands to Four More States

Wynk is pushing into Michigan, Indiana, Georgia, and Wisconsin. Adding to its distribution footprint, continuing a national rollout that’s positioning the brand as one of the most accessible and widely distributed THC beverages in the country.

🧠 Research & Data

Ohio Study Questions Link Between Legal Sales and Traffic Harm

A new peer-reviewed study examined whether the start of recreational cannabis sales in Ohio led to an increase in impaired driving (OVI) and vehicle crashes in Columbus. The results were mixed, while one model showed a rise in OVI incidents, the more conservative time-series analysis didn’t confirm it. For crashes, both models generally found no statistically significant increase post-legalization.

Why It Matters:

The headlines don’t match the nuance. There’s a long-running narrative that increased access to THC equals more danger on the roads. But this study, using real-world data from Ohio State Highway Patrol and the Columbus Police Department, undercuts that assumption. It doesn’t claim cannabis is risk-free, it just shows the outcomes aren’t as clear-cut as opponents suggest.

Takeaway for Operators:

If you’re building a beverage brand, especially one focused on responsible adult use, this is another tool in your arsenal. Yes, you still need airtight compliance, transparent sourcing, and clear dosage labeling. But it’s equally important to push back with data, not just marketing, when stigma arises, especially from retailers or municipalities still clinging to fear-based messaging.

New Study Links Severe Cannabis Use to Dementia Risk

A population-based study out of Ontario tracked over 6 million individuals aged 45+ to assess whether cannabis-related hospital visits were linked to future dementia diagnoses. The findings? Individuals with cannabis-related emergency or inpatient visits had a 1.7x higher risk of developing dementia compared to the general population—and a 1.2x higher risk compared to those with other non-cannabis-related hospital encounters. But importantly, those same cannabis users were still at lower risk than people with alcohol-related hospitalizations.

Why It Matters:

This isn’t about the average consumer microdosing a beverage on their couch. The study zeroes in on a high-severity group, people whose cannabis use triggered hospital-level intervention. That’s a far cry from sipping a 5mg beverage at a dinner party. But as public health narratives evolve, expect this kind of data to be weaponized by policymakers pushing for tighter restrictions.

Takeaway for Brands:

If you’re marketing to older adults, or positioning cannabis beverages as a wellness-forward alternative to alcohol, this is your signal to invest in education. Transparency, dosage clarity, and consumer guidance aren’t just good practice, they’re a buffer against backlash. Don’t wait for the media to conflate abuse cases with moderate use. Get ahead of it.

📣 Final Thought

There’s no single dominant narrative right now. But here’s the throughline:

Regulations are tightening. Consumers are softening. And the brands that survive will be the ones that stay nimble, compliant, and emotionally intelligent.

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Founder’s Spotlight

“I designed the logo the night before our first run. Five Finger Death Punch in my headphones. Total panic.”

That’s how Lou Police—first responder, entertainment exec, and now founder of Hi Seltzer—described launching one of the fastest-growing THC beverage brands in the country.

I wanted to reshare this Founder Spotlight with Lou again this week. Hope you enjoy if it you weren’t able to get to it last week.