The struggle with the cannabis industry is that financial institutions are still skeptic about it. Farmers and producers do not usually get financial backing from banks and investment companies. In the same time, customers are usually having a hard time paying. BitCanna (BCNA) started in Europe and it aims to provide decentralized payment network for the legal cannabis industry, per Hacked.
The struggle with the cannabis industry is that financial institutions are still skeptic about it. Farmers and producers do not usually get financial backing from banks and investment companies. In the same time, customers are usually having a hard time paying.
The laws about cannabis not just vary from state to state, but also on the international level. It would actually be complicated to keep track of all the changes in relation to cannabis per location. These are the challenges that BitCanna wants to solve.
About BitCanna Company
BitCanna (BCNA) started in Europe and it aims to provide decentralized payment network for the legal cannabis industry, per Hacked. Its Initial Coin Offering (ICO) will last until July 1, 2019.
The majority of the distribution of the company is in crowd-sale. That takes up 60 percent, while the majority of their fund is allocated to product development and marketing.
The CEO of BCNA is Jan Scheele. Jack Janssen is the CFO and Paulo Ramos is the CTO. Most members of the BCNA team are based in the Netherlands.
Developmental phases of BCNA
The company started its first phase in the first quarter of 2017. The first phase is about global payment solution. It includes, as mentioned, a decentralized network for payment in the cannabis industry. BCNA also plans to include a mobile wallet feature and instant transactions that would directly connect customers to merchants—making this platform a cost-efficient from both entrepreneurs and customers.
The first phase also includes the arrangements needed to comply with local regulations. And, as we all know, blockchain is foolproof digital ledger that cannot be manipulated. This allows the platform to be transparent and ready for government and regulatory inspections.
The second phase focuses on the supply chain, which will be applied for 2020. BCNA would focus on integrating mainnet with the supply chain layer and monitoring functionalities for the cannabis supply chain. This would also allow users (from producers, distributors, government institutions and even customers) to see everything—from production to transportation of the products, including other financial aspects of it.
About the last developmental phase
The third and last phase would be in 2021 and the focus will be on integrating trust and reputation layer into the platform. The company would also develop applications within the platform to improve customer experience, to enhance business efficiency and transparency and to incentivize the network.
BCNA would also develop business analytical tools, loyalty programs, and inventory management apps. The company would also incorporate shop and product reviews and rating systems for the benefit of both merchants and customers.
The risks in the cannabis industry
Though it is trying to solve the challenges that the cannabis industry faces, there are still some risks.
The previously cited article of Hacked pointed out that one of the risks is that it takes a couple of years for the blockchain to be fully functional. While careful planning and execution are good, the platform will become irrelevant if most of the countries decided to legalize cannabis in the coming years.
(Featured Image by Worldspectrum)