Cannabis dispensaries face a payment processing environment defined by the conflict between state cannabis legalization and federal controlled substance law. The federal classification of cannabis as a Schedule I substance prevents federally chartered banks from processing cannabis transactions without taking on compliance exposure under federal anti-money laundering regulations. This barrier affects every cannabis business regardless of its processing history, but dispensaries that also carry MATCH list status face both barriers simultaneously in a way that makes their situation qualitatively different from other cannabis merchants.
A cannabis dispensary without MATCH list status at least has the theoretical possibility of finding cannabis-specific banking solutions in states where those have developed, or of using alternative payment methods that operate in the grey area of federal cannabis banking restrictions. A dispensary on the MATCH list faces those same options plus the additional MATCH list barrier that closes the door on conventional alternative processors who might otherwise have been willing to work with the dispensary. Blockchain-based payment processing through 27 Blockchain bypasses both barriers through the same mechanism: the blockchain network does not carry federal banking exposure and does not participate in the Mastercard system that the MATCH list governs. For dispensaries on the MATCH list, this dual bypass is the only complete solution available.
