President Trump Signals Marijuana Rescheduling Decision Imminent; Industry Braces for Potential Shift

14-Aug-2025: President Donald Trump announced this week that his administration will decide on the potential rescheduling of marijuana "over the next few weeks," a move that could have significant implications for operators, investors, and financial institutions in the U.S. cannabis industry1.
Speaking during an August 11 press conference, President Trump addressed the ongoing review of marijuana's classification under the Controlled Substances Act, stating: *"Some people like it. Some people hate it... But we're looking at reclassification, and we'll make a determination... hopefully the right one. The decision could see cannabis downgraded from its current Schedule I designation to Schedule III, aligning it more closely with substances considered to have accepted medical use and lower abuse potential.
The rescheduling proposal has been under federal review by the U.S. Drug Enforcement Administration (DEA) and the Department of Health and Human Services (HHS) for several months2. While state-level legalization has expanded rapidly, marijuana remains a federally controlled substance-creating operational, tax, and banking challenges for legal businesses nationwide.
Under Schedule I, cannabis companies are barred from many traditional banking services and are subject to Internal Revenue Code Section 280E, which prohibits standard business expense deductions. If reclassified, companies could benefit from expanded access to financial services, lower tax burdens, and improved capital-raising prospects3.
Industry analysts say the change could ease significant operational constraints, as rescheduling is expected to make it easier for businesses to access banking and payment processing services through federally regulated institutions3 5, secure more competitive lending and investment opportunities that enhance cannabis business growth financing options, and deduct ordinary business expenses, providing substantial relief for operators currently burdened by 280E tax rules4.
In addition to these direct benefits, improved financial access could encourage larger institutional investors to enter the sector, increase liquidity in capital markets, and enable operators to reinvest in expansion, research, product development, and compliance upgrades. Collectively, these shifts could foster greater market stability and competitiveness across the legal cannabis industry, paving the way for long-term, sustainable growth opportunities.
While the move would not fully legalize marijuana federally, it could mark the most substantial policy shift in decades, potentially prompting additional state-level reforms.
Highway 33 Capital Advisory, a financial advisory and M&A firm serving the regulated cannabis sector, noted the decision's potential to reshape capital markets for legal operators.
"Rescheduling would not remove all challenges, but it would address several of the largest barriers to capital access and operational efficiency," said David Hofer, Managing Partner for Highway 33 Capital Advisory. "For operators, this could mean greater access to tailored lending solutions, more favorable investment terms, and the ability to reinvest in compliance and innovation."
The organization emphasized that businesses preparing for this potential policy change should ensure financial transparency, maintain compliance readiness, and evaluate their market positioning to take advantage of new funding channels -including specialized cannabis business financing options already active in the market.
President Trump's commitment to a near-term decision signals that regulatory developments could be announced within weeks. Industry participants are monitoring statements from the DEA and other federal agencies for clarity on timelines and implementation.
Any rescheduling would still require formal rulemaking procedures and would not override state jurisdiction on marijuana regulation.
About Highway 33 Capital Advisory

Highway 33 Capital Advisory is a U.S.-based financial advisory firm specializing in mergers and acquisitions, growth financing, and strategic consulting services for the legal cannabis industry. The company works with multi-state operators, single-state operators, private equity firms, and high-net-worth investors, providing sector-specific insight, regulatory expertise, and access to institutional and private capital networks.
Media Contact:

David Hofer - Managing Partner
Highway 33 Capital Advisory
Phone: +1 (800) 684-9238
Email: info@highway33.com
Sources https://highway33.com/canna-hemp-debt-fund/cannabis-capital-markets/
1 Trump Publicly Addresses Cannabis Rescheduling Decision
2 Trump Says Marijuana Rescheduling Will Be Decided Within Weeks
3 How US Marijuana Reclassification Could Help Cannabis Companies
4 Rescheduling Misconceptions and Responses
5 How Would Rescheduling Marijuana Affect Cannabis Banking?

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Highway33 Capital Advisory specializes in cannabis financing and investment banking, offering customized capital solutions and growth strategies for cannabis businesses. Partnering with leading investment banks, they support clients through mergers, acquisitions, financial planning, and more to drive growth and maximize industry investment opportunities. Contact us for expert guidance on cannabis business funding and investment strategies.

This release was published on openPR.