Twitter allows cannabis companies to advertise

Last week, Twitter became the first social media giant to allow cannabis companies to advertise. Previously, only topical products without hemp could be advertised.

Twitter is the lone wolf among social media companies, enabling cannabis companies to advertise. Other platforms like Facebook, Instagram, and TikTok have a no-cannabis advertising policy.

A statement from Twitter said only cannabis companies are allowed to advertise in the legal states. Also, ads cannot be targeted to anyone under the age of 21.

Does Elon do that?

Elon Musk, the eccentric billionaire who bought Twitter, is known for his 420 jokes. Although there is no evidence that he was directly involved in changing the policy, he likely had an impact.

Officially, Twitter’s position is that following the legalization of certain US states, Twitter will relax its cannabis ad policies to “create more opportunities for responsible cannabis marketing.” says Alexa Alianiello, Head of Ad Sales at Twitter.

However, Twitter’s new policy isn’t free-for-all.

Approved ads must not romanticize or glamorize cannabis use. As mentioned, the ads cannot target minors either. Interestingly, the policy also prohibits the advertising of cannabis prices.

At least for US advertisers, Twitter will not allow cannabis companies to feature people using cannabis or under the influence. Twitter also bans US advertisers from encouraging people to cross state lines or making misleading claims about the health benefits of cannabis.

Twitter will also not allow cannabis companies to advertise using celebrities and athletes.

A blessing for a failing industry?

Of course, people will always use cannabis. Whether or not Twitter allows cannabis companies to advertise. However, the market has seen better days.

“A pervasive theme in the U.S., Canada and other markets is that cannabis companies are struggling to compete in the illicit market, largely due to a lack of or insufficient regulatory reform,” said Jason Wilson, ETFMG Cannabis Research and Banking Expert.

“In the US, the lack of federal reform is burdening the cannabis business with significantly higher operating costs and effective tax rates,” Jason said in an email to CLN.

In Canada, “burdensome taxes and regulations are putting undue financial pressure on cannabis companies.” He added that “operators are struggling to compete with the significant (and largely unenforced) competition of the illicit market”.

In fact, Canada’s licensed growers association is aware of these facts. Some authorities are not interested in prosecuting unlicensed pot shops. They target large-scale illegal cultivation operations.

But various agencies from different parts of the government regulate the legal cannabis producers and dealers to the extreme.

The result is a system where, as George Smitherman has told CLN in the past, “regulators and lawmakers have nothing but attention to you.”

Fortune reported that the cannabis industry was suffering from “excessive debt, falling marijuana prices, competition from illegal sellers and high taxes.”

No surprise to us at CLN, who have been warning about this since our inception.

Twitter allows cannabis companies to advertise

Twitter, which allows cannabis companies to advertise, can help keep the cannabis industry alive.

It also helps Twitter close the ad revenue gap. Ever since Elon Musk became “Hitler of the Month,” Twitter advertisers have grown weary, and some have dropped the platform altogether.

The “Hitler of the Month” club refers to what independent journalist Matt Taibbi told Joe Rogan in a recent episode.

We’ve always done this with foreigners, whether it’s Noriega or Saddam Hussein or Milošević or Assad or whatever – we have a playbook for spreading negative information about foreigners who get in our way for whatever reason. But now we have refined this technique for uncomfortable domestic workers. They obviously did it with Trump. You tried it with Tucker Carlson, you – you got a taste of it a few times – and with Elon he went from the guy who made electric cars sexy to something to the right of Viktor Orban in about 10 seconds. It is wonderful.

Twitter allowing cannabis companies to advertise could backfire. With the anti-musk campaign still raging, it’s not out of the question that more advertisers will shut down Twitter because they’re “uncomfortable” about sharing ad space with cannabis companies.