BEYOND THINK MARCH 2021 - Issue #2 - ACS Lab Cannabis

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BEYOND THINK MARCH 2021 - Issue #2 - ACS Lab Cannabis
THINK
BEYOND
MARCH 2021
Issue #2

             WHAT’S INSIDE

             Extracted Series:
             Hydrocarbon Extraction
             coming to Florida soon

             COVID & Cannabis Research:
             March Update!

             A guide to THCv (Diet Weed):
             Extraction, Storage, Price,
             Consumption and More
BEYOND THINK MARCH 2021 - Issue #2 - ACS Lab Cannabis
MARCH 2021                                                                   ISSUE #2

                      TABLE OF CONTENTS
                                                  DEA Update, Plus Everything

     3       FOREWORD
                                             18   You Need to Know About THC
                                                  Delta 8

             Extracted Series: Hydrocarbon

     4       Extraction coming to Florida
             soon                            22   MEDIA MENTIONS

     8       COVID & Cannabis Research:
             March Update!                   26   About The Lab

             A guide to THCv (Diet Weed):

   10        Extraction, Storage, Price,
             Consumption and More
                                             27   Tested Verified Product Seals

             Banking Options For US-Based
   14        Cannabis and Hemp
             Companies
                                             28   42 Emerald Badges

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BEYOND THINK MARCH 2021 - Issue #2 - ACS Lab Cannabis
MARCH 2021                                                                                               ISSUE #2

   FOREWORD
   On March 1st, the USDA’s Final Rule was supposed to take effect, providing long-awaited clarity for hemp
   cultivators in states without federally approved programs. The USDA’s Rule says farmers can have up to 30
   days prior to harvest to send clippings for compliance tests by a State approved, ISO-accredited Laboratory.
   The Rule also expands the margin of error in THC test results before crops get deemed hot.
   Unfortunately, the Rule is currently on hold per the presidential administration–a major blow to farmers in
   states like New York and California. Additionally, states that created USDA-approved hemp programs prior to
   the Final Rule’s updates will likely continue enforcing regulations based on the original interim guidance.
   Florida for example is continuing to enforce a 15-day rule for hemp clippings.
   While the federal government continues to drag its feet on hemp, Florida is, fortunately, moving forward
   with expanding medical marijuana access in the state. Did you know there are nearly half a million medical
   marijuana patients in Florida today? And every month, tens of thousands more people qualify for medical
   cards to treat ailments ranging from PTSD to terminal cancer. These patients need access to high-quality,
   affordable medication. But until recently, Florida’s Office of Medical Marijuana Use (OMMU) limited access by
   restricting processers to solventless, ethanol, and CO2 extraction methods only.
   Their intentions were pure–regulators wanted to be sure patients only received clean products, free from
   harmful residual compounds. The problem was they inadvertently eliminated one of the most popular,
   cost-effective, and high-quality methods around–hydrocarbon extraction. Fortunately, the OMMU recently
   issued an interim rule adding hydrocarbons to the list of allowable solvent-based extractions. We think that’s
   a major win for Florida patients who may soon have expanded access to safe and affordable medication.
   On a global scale, we’re also thrilled about the growing clinical research showing cannabis could help treat or
   prevent COVID-19’s worse symptoms. Nearly a year ago, we began reporting on scientific theories
   surrounding CBD’s potential to prevent cytokine storms–the hyper-inflammatory response that can lead to
   death in certain COVID cases. Since that time, scientists from the U.S. and Canada, to Israel and India have
   conducted multiple in vitro and human-based studies using CBD extracts, high CBD strains, THC, and
   terpenes to determine how these cannabinoids can support natural recovery.
   Today, scientists in partnership with cannabis companies have published multiple reports and developed
   potential medications that may enter the market in the near future. While the FDA hasn’t approved anything
   yet, the proof of concept is mounting, and we are thrilled to be on the forefront of reporting the
   cutting-edge developments.

   Roger Brown
   President & CEO

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BEYOND THINK MARCH 2021 - Issue #2 - ACS Lab Cannabis
MARCH 2021                                                                                        ISSUE #2

   EDUCATION

   Extracted Series: Hydrocarbon
   Extraction coming to Florida soon
   Elena Schmidt | March 1, 2021

                                                          has been extracting cannabis with
                                                          hydrocarbons since the early days of glass
                                                          tubes and butane cans.
                                                          Let’s hear it, Dan.

                                                          FIRST OF ALL, WHAT IS HYDROCARBON
                                                          EXTRACTION?
                                                          In a nutshell, hydrocarbon extraction is a
                                                          method to extract cannabinoids and
                                                          terpenes from cannabis plants using
                                                          hydrocarbons such as N-butane, isobutane,
   Image Credit: leafly.com (not a product endorsement)   propane, pentane, and heptane. For the
   Propane and butane sound like volatile                 most part, we use butane and propane only.
   compounds you never want to ingest. In                 WHAT’S THE PROCESS OF
   fact, if you knew a cannabis extract
                                                          HYDROCARBON EXTRACTION?
   contained these hydrocarbons, you might
   opt for a “cleaner” product instead. But the           We like to start with frozen cannabis
   truth about hydrocarbon extraction lies                material, cured (dried) or fresh, which we
   somewhere       between      understandable            pack in columns and connect to our
   skepticism and the reality that propane and            extraction machine–specifically a collection
   butane are quite safe at low levels. Florida’s         tank. Throughout the process, we utilize
   lawmakers agree, which is why the Office of            heavy-duty chillers to keep the solvent
   Medical Marijuana Use (OMMU) recently                  between -80 degrees Celsius and -100
   added Hydrocarbons to its list of allowable            degrees Celsius when needed.
   solvents for low-THC and Medical Marijuana             After setup, we flood the plant-material
   extraction in a draft rule.                            column with the hydrocarbon solvents until
   You might still be suspicious or think other           it’s full. Then we turn the upper valve off
   extraction methods are superior. We had                and open the bottom valve to move all the
   our share of questions too. So we reached              cannabinoid-rich solvents into the collection
   out to Dan Lavarini, the Chief Scientific              vessel. Once we move the solvent and oils,
   Officer at Coachella Manufacturing in                  we heat the mixture to a boil, converting the
   California. A former aircraft engineer, Dan            solvent from a liquid to a gas.

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BEYOND THINK MARCH 2021 - Issue #2 - ACS Lab Cannabis
MARCH 2021                                                                                 ISSUE #2

                                                   Hydrocarbon extraction preserves the
                                                   plant’s broad spectrum of compounds,
                                                   ensuring consumers and patients get the
        People say “solventless,” but the          most therapeutic value while also removing
        process is not genuinely                   undesirables like chlorophyll, cellulose,
        solvent-free.                              non-oily fats, and waxy lipids.
                                                   HOW IS HYDROCARBON EXTRACTION
                                                   DIFFERENT FROM SOLVENTLESS
                                                   EXTRACTION?
   We then force the resultant gas back into
   the solvent tank and get it cold enough to      People say “solventless,” but the process is
   recondense it back into a liquid. As that       not genuinely solvent-free. The highest
   happens, the oil solvent mixture becomes        quality “Solventless” extraction utilizes
   thicker and thicker until we only have a        water, instead of hydrocarbons, to initially
   trace amount of residual solvent left. From     make bubble hash, and that extract is
   there, we pour the solution out of the          pressed and heated to produce oil. The
   machine and begin producing the end             water is essentially the solvent, which is
   product– shatter, butter, sugar, diamonds,      very safe. But when you wash the water
   or vape oil, for example.                       from the cannabis material, you also wash a
                                                   bit of the flavor and fragrance. Solventless
   IS HYDROCARBON EXTRACTION THE                   extraction is a detailed, artisanal process
   BEST METHOD FOR ALL CANNABIS                    that produces quality products, no doubt.
   PRODUCTS?                                       But solventless extracts are extremely
   Today we consider two types of extraction       expensive–nearly twice the cost of
   to be the most effective at producing the       hydrocarbon extracts. For a gram of
   absolute highest-quality product. One           solventless extract, consumers will pay
   extraction type is solventless, and the other   $100 to $175. The juice just isn’t worth the
   is hydrocarbon extraction. We prefer            squeeze.
   hydrocarbon solvents because we can             To be clear, many people will disagree with
   extract more terpenes and preserve the          us and tout solventless extraction as the
   flavor better at a more affordable cost than    highest-grade process around. But when
   solventless. With hydrocarbon extraction,       you    compare       the    same      product
   propane and butane can quickly liquify          back-to-back, one produced through
   cannabis compounds into themselves and          solventless and the other through
   carry them away in a very gentle and cold       hydrocarbon       extraction,      you    can
   manner.      We       extract     at     near   absolutely tell the difference in the aroma’s
   cryo-temperatures, close to -100 degrees        potency.
   Celsius, which helps preserve the plant’s
   integrity.                                      HOW IS HYDROCARBON EXTRACTION
                                                   DIFFERENT FROM CO2 EXTRACTION?
   I would go so far as to say hydrocarbon is
   our preferred extraction method for             Hydrocarbon extraction is starkly different
   producing cannabis products. Why?               from CO2 extraction. In the past decade,
                                                   CO2 has become immensely popular, but it

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BEYOND THINK MARCH 2021 - Issue #2 - ACS Lab Cannabis
MARCH 2021                                                                                                       ISSUE #2

   Image Credit: weedmaps.com (not a product endorsement) | Gina Coleman/Weedmaps

   is a harsh method that uses very high                                   the broader spectrum of cannabinoids and
   pressure–over 10,000 PSI. As a result of that                           terpenes in the process.
   pressure, you have a lot of added heat,
                                                                           IS IT SAFE TO INGEST CANNABIS WITH
   which can degrade the compounds’
   integrity. Additionally, after you extract with
                                                                           HYDROCARBON SOLVENTS?
   CO2,       technicians       must      conduct                          Butane and propane are natural organic
   post-processing steps to remove the water                               substances. They existed on this planet
   content, excessive fats, and lipids to make                             before we figured out how to isolate and
   the extract smokable. These extra steps                                 push them into a tank. They are very similar
   result in higher processing costs and                                   to cannabis’s organic terpenes and
   increase the risk of cross-contamination.                               cannabinoids, which are also types of
                                                                           hydrocarbons. That doesn’t mean you
   The last few years have shown a shifting                                should ingest butane or propane in excess,
   trend in the extract market that has caused                             but our products contain between 0 and
   many issues for people who have invested                                100 parts per million (ppm).
   significant time and financial resources into
   systems that are becoming obsolete. We                                  To provide more context, California’s safe,
   have seen the California market shift heavily                           legal limit on propane and butane is 5,000
   to hydrocarbon and solventless extraction                               parts per million. Some of the most
   and away from CO2. Some still use CO2                                   dangerous and closely regulated pesticides
   extraction, but they ultimately follow up with                          like Fipronil have a tolerance of zero ppm.
   a distillation process afterward, which                                 However, due to a testing lab’s detection
   means they risk over-purifying and losing                               limit, the actual limit becomes less than

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BEYOND THINK MARCH 2021 - Issue #2 - ACS Lab Cannabis
MARCH 2021                                                                                   ISSUE #2

   .0007 parts per million. In short, California
   considers residual solvent hydrocarbons to
   be over 7 million times safer than the most
   dangerous pesticides. Additionally, if you
   have ever taken a breath while lighting a             Hydrocarbon extraction holds
   propane grill and noticed the smell of gas,
   you have inhaled thousands of times more
                                                         the potential to create
   hydrocarbons than you could ever get from             high-quality cannabis products
   the products we make.
                                                         that Florida patients can afford.
   HOW DOES YOUR HYDROCARBON
   EXTRACTION PROCESS DIFFER FROM
   THE INDUSTRY STANDARD?
   We use the industry-standard process.            laboratory test for residual solvents, it will
   However, we take extra care to purge the         not make it to shelves or into a consumer’s
   residual solvents slowly and gently avoid        hands due to regulations. To be sure,
   stripping the cannabinoids and terpenes          consumers can check products’ test results
   away with them. We utilize a multi-day           by looking up their Certificate of Analysis
   method to preserve cannabis’s incredibly         (COA).
   pungent      aroma     and    therapeutic
   compounds while ensuring we leave no             Aside from residual solvents, people are
   more than 100 ppm of residual solvents           mainly concerned with hydrocarbon fire
   behind.                                          risks. Due to propane and butane volatility,
                                                    hydrocarbon extraction can present a
   When companies rush the process, two             serious fire hazard if managed improperly.
   outcomes can occur: Either they preserve         But most of the headline-making horror
   the plant’s flavor, aroma, and profile,          stories come from DIY-ers working out of
   leaving thousands of ppm of solvent              their garages. In reality, modern hash labs
   behind, or they strip the plant of its           that use proper equipment and protocols
   naturally odorous compounds to ensure            rarely have an issue.
   their products contain zero residual
   solvents. Both outcomes leave you with           THE BOTTOM LINE
   safe, legally compliant products. But they       Hydrocarbon extraction holds the potential
   force you to sacrifice quality.                  to create high-quality cannabis products
                                                    that Florida patients can afford. At ACS, we
   WHAT ARE THE POTENTIAL DANGERS
                                                    are thrilled that Florida’s Office of Medical
   OF HYDROCARBON EXTRACTION?
                                                    Marijuana Use expanded its definition of
   Residual solvents are a potential danger in      safe and legal extraction methods to
   any solvent-based extraction. That’s why         include hydrocarbon extraction, and we
   we have safe manufacturing standards,            look forward to testing all products to
   legal safety limits, and stringent lab testing   ensure they are 100% safe.
   requirements in place. If a product fails a

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BEYOND THINK MARCH 2021 - Issue #2 - ACS Lab Cannabis
MARCH 2021                                                                            ISSUE #2

   EDUCATION

   CANNABIS & COVID-19
   RESEARCH: March Update!
   Elena Schmidt | March 2021

   [NEW STUDY] PATHWAY RESEARCH
   UNCOVERS MORE EVIDENCE THAT
   CANNABIS CAN CALM CYTOKINE
   STORMS
   A new Canadian study conducted by
   Pathway Research Inc., the University of
   Calgary, and the University of Lethbridge
   shows further evidence that components
   in the cannabis plant can help calm the
   cytokine storm that plays a key role in      Image Credit: oracle.com/ph

   inflammatory disease.
                                                in calming the most destructive
   Since the coronavirus pandemic, the term     cytokines relating to inflammation.
   “cytokine storm” has become a
                                                While these strains are not yet on the
   mainstream way of describing some of
                                                market, the researchers provided the
   the most severe COVID-19 respiratory
                                                cannabinoid profiles in their report
   symptoms caused by this devastating
                                                published in the journal Aging. The strains
   inflammatory event. According to the
                                                contained different combinations of CBD
   research findings, cannabis extracts can
                                                and THC along with lesser-known
   curb the chemicals involved in the
                                                cannabinoids and terpenes that the
   process.
                                                authors believe are crucial to their
   The study used artificial human skin         anti-inflammatory power.
   exposed to UV rays to induce
   inflammation. The team then used several     [NEW STUDY] CANNABIS PLANT
   strains of cannabis to check how efficient   EXTRACT SIGNIFICANTLY REDUCE
   they are at reducing inflammation. The       COVID-19 INFLAMMATION
   researchers already knew the types of        Canadian researchers recently conducted
   cultivars that had the most                  a study to see whether cannabis extracts
   anti-inflammatory efficacy when the          can help reduce the host cell receptor
   study began. So they were able to            levels that SARS-CoV-2 clings on to while
   choose strains they thought likely to work   entering the body. Researchers at the
   the best. The results point to three         University of Lethbridge developed
   specific strains that have a high efficacy   hundreds of new Cannabis Sativa

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BEYOND THINK MARCH 2021 - Issue #2 - ACS Lab Cannabis
MARCH 2021                                                                             ISSUE #2

   cultivars and tested 23 extracts on            [EPIDEMIOLOGICAL       STUDY]
   artificial human models of intestinal, oral,   PATTERNS    AND   TRENDS   OF
   and airway tissues. The study found that       CANNABIS PATIENTS DURING THE
   13 high-CBD extracts were able to              COVID-19 PANDEMIC
   downregulate the expression of the
   SARS-CoV-2 host cell receptor                  Professor Denise C. Vidot’s team
   angiotensin-converting enzyme 2 (ACE2).        completed the study and published the
                                                  results in the Journal of Addictive
   While the most effective extracts require      Diseases. As part of the study, 1,200
   more large-scale testing, the study is         adults reported their medical cannabis
   crucial for future research on the effect of   use in the past year with an
   cannabis for COVID-19. Researchers             internet-based questionnaire between
   believe that downregulating the ACE2           March and April 2020. The
   levels in the gateway tissues might be a       most-reported conditions were mental
   feasible way to decrease susceptibility to     health (76.7%), pain (43.7%),
   the disease.                                   cardiometabolic (32.9%), respiratory
                                                  (16.8%), and autoimmune (12.2%)
   [CLINICAL    TRIAL]   CARDIOL
                                                  conditions.
   THERAPEUTICS BEGINS PHASE II/III
   STUDY OF A CBD PHARMACEUTICAL                  Participants with mental health
   Cardiol Therapeutics announced in late         conditions reported an increase in their
   January the formation of a Data Safe           medical cannabis use by 91% since the
   Monitoring Committee (DSMC) and a              beginning of the pandemic, compared
   Clinical Endpoint Committee (CEP) for the      with those who did not report mental
   phase II/III outcomes trial in high-risk       health conditions. 16% of participants
   patients hospitalized with COVID-19.           changed their method of cannabis
                                                  administration from smoking to
   The DSMC includes independent experts          nonsmoking forms.
   who will assess patient safety data and
   critical efficacy endpoints of the trial. To   The researchers concluded that the
   do this, they may review unblinded study       majority of medical cannabis users
   information during the trial. After            reported at least one preexisting health
   reviewing the data, the DSMC will advise       condition. And over 50% of them
   on recommendations for protocol                reported fear of getting a COVID-19
   modifications if there are safety concerns.    diagnosis and giving it to someone else,
   The DSMC will also conduct an interim          but only some changed from smoking to
   analysis to determine if there are enough      non-smoking methods of use as a result
   patients in the study to achieve statistical   of transmission fears.
   significance or if they need to enroll more    The study’s researchers suggest
   people in the trial.                           clinicians consider asking their patients
   In short, this study is moving along with      about cannabis use, especially those with
   patient safety at top of mind!                 chronic health conditions.

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BEYOND THINK MARCH 2021 - Issue #2 - ACS Lab Cannabis
MARCH 2021                                                                                                  ISSUE #2

   EDUCATION

   A guide to THCv (Diet Weed): Extraction,
   Storage, Price, Consumption and More
   Elena Schmidt | May 6, 2020

   A GUIDE TO THCV: SHOULD YOU SELL
   HIGH-THCV HEMP AND CANNABIS?
   If you checked out our recent blogs on CBN,
   THCA, CBDA, and CBG, you know that
   cannabis contains a wealth of therapeutic
   compounds that rival the likes of its A-list
   counterparts. While CBD and THC are
   undoubtedly popular and therapeutically
   beneficial, they represent merely two
   cannabinoids in a roster of over 100—each
   containing its own healing properties. Over       Image Credit: cannabisaficionado.com | Gracie Malley
   time, as legalization expands and research
   proliferates the scientific community, this       generally stimulating and promote mental
   knowledge has trickled down to industry           clarity. They are also fast-acting and
   experts and consumers at large.                   fast-dissipating (hence the sports-car
   Today we focus on one of the most                 reference).
   well-known minor cannabinoids, sometimes          WHAT ARE THE BENEFITS OF THCV?
   referred to as the “sports car” of
   cannabinoids. Not to be confused with THC,        One key benefit mentioned above is that
   THCV is gaining the spotlight due to its          THCV acts fast to produce its energizing
   energizing qualities and potential to target      psychoactive effects. It also dissipates fast,
   obesity. Let’s explore further.                   which can be a huge benefit for those who
                                                     don’t want to experience the effects for long
   WHAT IS THCV?                                     periods of time. In addition to its cognitive
   THCV is a cannabinoid that was first              effects, THCV also exhibits profound
   discovered in the early 1970s and is relatively   medicinal value in studies to date.
   common in cannabis plants. Though it isn’t as     OBESITY AND WEIGHT LOSS
   popular as CBD and THC (yet), we have years
   of research to support its upcoming claim to      THCV is a well-studied appetite suppressant,
   fame.                                             which may offer relief for people
                                                     experiencing     obesity.  Some      research
   CAN THCV GET YOU HIGH?                            indicates that low doses (5 to 7.5 milligrams)
   The answer is yes it could, but with an           can reduce appetite by inhibiting the action
   important caveat: THCV is only psychoactive       of CB1 receptors. Other research, such as this
   in extremely high doses, similar to CBN. At       study       by      the       Journal       of
   high doses in potent strains, THCV will           Neuropsychopharmacology, suggests that
   produce psychoactive effects that are             THCV may be an effective weight-loss
                                                     compound because it improves connectivity

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   in the areas of the brain that are generally     back is THCV’s ability to suppress tremors
   altered in people with obesity. This study       associated with illnesses such as ALS,
   supported THCV for weight loss but did not       multiple sclerosis, and Parkinson’s disease.
   support the appetite-suppression theory.         Scientific research also supports the fact
   **It’s important to note that research           that THCV can reduce seizures associated
   supports THCV’s weight-loss qualities only       with epilepsy. Moreover, research indicates
   when it is ingested at low doses. At doses       that THVC could reduce not only the
   high enough to get the person stoned, THCV       frequency but also the severity of seizures
   does not act the same way. In fact, at high      when they occur. A study in the Epilepsia
   doses, THCV may actually increase appetite.      journal found that THCV worked when taken
                                                    during a seizure as well as prior to seizures
   DIABETES                                         as a preventive measure.
   There is also evidence that THCV may help        A Testimonial shared with David Lamach,
   those who suffer from diabetes. In 2013, the     the maker of Doug’s Varin THC/THCV
   Nutrition and Diabetes Journal studied           products, we discuss later in the post.
   THCV’s potential effects on Type 2 diabetes
   in mice. The study found that THCV                David,
   produced an increase in energy expenditure        I have MS and it is the only product that is
   and reduced glucose intolerance in obese          a real rescue medicine for me. I take 1 hit
   mice. THCV also increased insulin sensitivity     and if I am having problems walking or
   in the mice with diabetes. The study              with MS fatigue it helps me get a boost
   concluded that THVC may be a “treatment           for about 3 hours. With my MS I lose the
   against      obesity-associated     glucose       nerve signal from my brain to my limbs
   intolerance.” Another study in 2016 found         and the DV seems to improve the signal.
   that THCV improved pancreatic cell function       It accomplishes this immediately so if I
   in patients with Type 2 diabetes.                 am out walking I can get to wherever I
   ANTI-INFLAMMATORY                                 was going so I carry a disposable with
                                                     me everywhere.
   Research indicates that THVC may be a
   powerful anti-inflammatory agent, which can       I also really like it as a mood enhancer. In
   help stave off a variety of age- and              our political climate I can really struggle
   stress-related illnesses. In a study by the       to find some joy. As I am a therapist I find
   Journal of Pharmacology, researchers found        it absolutely vital sometimes to function
   that THCV helps reduce swelling in mice.          without feeling stoned but also not in
   Moreover, the study found that the mice did       despair. DV does that for me. I can’t say
   not exhibit a tolerance to the cannabinoid,       enough good things about it. I have
   despite ingesting it for four consecutive         never recommended it to anyone who
   days.                                             didn’t love it. Thank you for improving
                                                     my quality of life. -Bonnie
   Another animal study in the British Journal of
   Pharmacology found that THCV, through its        HOW DOES THCV WORK?
   interaction with chemical receptors in the       THCV VS. THC
   body, can decrease signs of inflammation as
   well as the pain associated with it.             At    high    enough    doses,  THCV    is
                                                    psychoactive like THC, but most of the
   TREMORS AND SEIZURES                             similarities end there. One of the most
   Another benefit that we have research to         interesting differences between the two is

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   that THCV actually suppresses the appetite        IS THCV WATER-SOLUBLE?
   at low doses, meaning no munchies like you
                                                     Naturally, THCV is only soluble in oil-based
   would get from THC. In fact, studies have
                                                     liquids and does not dissolve in water. That
   shown that THCV can actually counteract
                                                     said, science has a solution, and it’s called
   some of THC’s effects, which is great news
                                                     nano emulsions (more on that in our
   for patients who don’t want to get high.
                                                     water-soluble cannabinoids blog). Through
   HOW DOES THCV OCCUR?                              advanced mechanical processes, THCV can
                                                     break down into nano particles that
   The chemical structure of THCV is similar to      effectively dissolve in water.
   THC, but it’s actually derived from an entirely
   different      precursor.      While     most     WHAT IS THE BOILING POINT?
   cannabinoids, including THC and CBD, are          THCV’s boiling point is a whopping 428
   the byproducts of CBGA (cannabigerolic            degrees Fahrenheit—a full 114 degrees
   acid) synthesis, THCV is the final byproduct      higher than THC. As a result, you can prepare
   of CBGVA (cannabigerovarin acid). CBGV            edibles at a higher temperature, but there is
   converts to THCVA, which eventually               a problem with this technique because a
   becomes THCV when exposed to heat or              variety of cannabinoids and terpenes begin
   light. THCV is most commonly found in pure        to vaporize above 245 degrees Fahrenheit
   sativas originating in Africa, China, Nepal,      (meaning you lose out on flavor and effects).
   Pakistan, India, Thailand, and Afghanistan.       On the plus side, it makes things easier if you
                                                     want nothing but THCV in your edible.
   HOW DOES THCV WORK IN THE BODY?
                                                     THCV PRODUCTS
   Like THC, CBD, and other cannabinoids,
                                                     WHAT TYPE OF THCV PRODUCTS ARE
   THCV exerts therapeutic effects through
                                                     AVAILABLE?
   interaction with chemical receptors in nearly
   every system of the body. The two primary         THCV can be found in full-spectrum hemp
   chemical receptors are called CB1 and CB2,        and cannabis products, including oils, waxes,
   which make up what is known as the                and edibles. THCV can also be found in
   Endocannabinoid System (ECS). This system         extracts and isolates, and distillates.
   is involved in regulating a wide range of our     DOUG’S VARIN HIGH-THCV VAPES
   body’s functions required for optimal health.
                                                     One example is the Doug’s Varin vape line,
   CB1 receptors are found throughout the            launched earlier this year by California
   body but are concentrated in the brain and        Cannabinoids. One of Doug’s Varin vapes is
   nervous system, while CB2 receptors are           THCV-only, and the other combines THCV
   more prevalent in the immune system. At low       with CBD on a 1-to-1 ratio. Both products
   doses, THCV acts as an antagonist to CB1          contain between 25% and 35% THCV and last
   receptors, which means it can block some of       about half as long as a THC high. David
   the actions caused by THC such as the             Lampach, CEO of California Cannabinoids,
                                                     indicated that he acted on “strong
   munchies and intense mental highs.
                                                     consumer” demand for THCV when he
   At higher doses, however, THCV activates          helped formulate these products.
   both the CB1 and CB2 receptors, and exhibits      Doug’s Varin THCV vape was created to be
   effects that more closely resemble THC. This      energizing and uplifting, with less-intense
   results in the enhanced euphoric and              psychoactive effects than THC alone. The
   cognitive effects along with therapeutic          1-to-1 vape was created to produce a more
   value.                                            relaxing, soothing experience.

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MARCH 2021                                                                                        ISSUE #2

   WHAT ARE        SOME     OTHER     HIGH-THCV       and is not a scheduled controlled substance
   PRODUCTS?                                          in the United States. THCV is federally legal
                                                      as long as it’s extracted from hemp plants
    Ace of Spades (A shatter): 2.4%
                                                      that contain less than 0.3% THC. At a state
    Agent Orange Nug Run (A shatter): 1.9%            level, THCV is also permitted in all cannabis
    Slim Hash: 38.44%                                 strains where medical and/or adult use is
                                                      legal.
   ARE THERE OTHER HIGH-THCV STRAINS?
                                                      WHAT DOES THCV COST PER KILO?
   Yes! Although, “high” is a relevant term.
   Significant levels of THCV are certainly less      Currently, THCV is an expensive cannabinoid
   common than CBD and THC, but in some               due to the fact that it is still much rarer to find
   cases, THCV content may even be higher             and has lower yields on average. According
   than THC. Overall, the most common strains         to David Lampach 35% THCV crude sells for
   with the highest THCV levels are of African        about $30,000 per kilogram while distillate
   and Asian descent, according to the                hovers at over $40,000 per kilogram.
   American Journal of Botany.                        THCV POTENCY AND TESTING
   OTHER THCV STRAINS INCLUDE:                        HOW IS THCV’S POTENCY MEASURED?
    Doug’s Varin Harmony Pre-Rolls: 3%                THCV is measured through potency tests in
    Flow Kana Pink Boost Goddess: 4.24%               the same way potency is tested in CBD, THC,
                                                      and other cannabinoids are detected. ACS
    Pineapple Purps: 4%                               Laboratory uses LCUV, High Performance
    Durban Poison: 0.5% to 1%                         Liquid Chromatography with UV detection to
                                                      ensure that all testing is accurate and
    Malawi: 0.5% to 1% (estimated)                    consistent.
    More high-THCV strains here.
                                                      WHY DOES THCV MATTER?
   HOW DO I EXTRACT THCV?                             The word is getting out about this
   While THCV is much more expensive to               energy-boosting,       weight-loss-stimulating,
   extract due to lower levels of it found in plant   anti-inflammatory powerhouse, and THCV
   biomass, the process is largely the same. Like     promises to be one of the cannabis industry’s
   other cannabinoids, THCV is extracted              next big ingredients. Currently, there are few
   through a chromatography process that uses         strains in the market that produce significant
   superfluid liquid solvents such as CO2 or          levels of THCV, so there’s a market gap and
   ethanol to separate the compounds from the         an        opportunity,      according        to
   plant. The solution is then evaporated with        market-research firm Benzinga, to be one of
   heat under a vacuum to remove all the gas          the first companies to market high-THCV
   and leave a high-purity THCV concentrate           strains or extracts.
   behind. Once extracted, THCV products              THCV is a product that invites people of all
   should be stored at room temperature and           kinds to give it a try, especially those who
   away from direct sunlight to preserve              have never tried cannabis because they fear
   potency.                                           the high and the munchies characterized by
   THE THCV MARKET                                    THC. Unlike its intoxicating cousin, low levels
                                                      of THCV provide high energy, mental clarity,
   IS THCV LEGAL?                                     and appetite-suppressant qualities that may
   Although THCV looks molecularly identical to       even entice the Type A’s among us. Its ability
   THC, it acts completely differently in the body    to draw in a wider crowd of customers is a
                                                      huge benefit.

                                                                                                       13
MARCH 2021                                                                                ISSUE #2

   EDUCATION

   Banking Options For US-Based
   Cannabis and Hemp Companies
   Elena Schmidt | August 28, 2020

   Earlier this year, Colorado became one of      they reside in a state that supports the
   the first places to issue guidance to          cause. Here we review the regulatory
   state-run banks on how to work with legal      landscape for hemp and marijuana
   hemp and cannabis companies. The               banking as well as the industry’s most
   nation’s economic leader in the cannabis       canna-friendly institutions.
   industry later published House Bill 1217,
   which says “A state chartered bank or a
                                                  WHAT ARE TODAY’S MARIJUANA
   credit union may loan money to any             BANKING REGULATIONS?
   person licensed … for the operation of a       Federal prohibition makes banking a
   licensed medical or retail marijuana           challenge, if not impossible for marijuana
   business.” The law takes effect on             businesses (MBs) and marijuana related
   September 1, 2020 and is critical to “get      businesses (MRBs). Technically, any
   cash off [the] streets and improve public      money that banks collect from MBs can
   safety…” according to Colorado’s               be considered laundered and therefore at
   Representative, Ed Perlmutter.                 risk of seizure by the feds. Banks also risk
                                                  losing their master account with the
   This is a huge milestone for Colorado’s
                                                  Federal Reserve, in addition to facing
   hemp and cannabis industry that may
                                                  social scrutiny. All of this adds up to a big
   trickle into other states as well. But for
                                                  no thank you from major players like
   now Colorado’s progressive action is not
                                                  Chase, Bank of America, and Ocean Bank
   the norm. It’s an exception in a country
                                                  who cite the risks are greater than the
   where hemp is federally legal, medical
                                                  rewards.
   marijuana is codified in 33 states, and
   recreational cannabis is allowed in 13         Despite federal law, the DOJ has said
   states. Many banks today are hesitant, if      they do not plan to prosecute individuals
   not downright unwilling to work with           who operate in compliance with state
   cannabis due to the lack of regulatory         medical (but not recreational) marijuana
   clarity and financial risks they claim to      laws. Moreover the US Dept of Treasury
   face.                                          Financial Crimes Enforcement (FinCen)
                                                  has issued guidance for banks on 4 due
   While this presents a huge challenge for a
                                                  diligence requirements to legally operate
   multi-billion dollar industry that’s largely
                                                  in compliance with the Bank Secrecy Act,
   cash only, hemp and cannabis companies
                                                  thereby significantly reducing their risk.
   do have options. This is especially true if

                                                                                               14
MARCH 2021                                                                                   ISSUE #2

   Image Credit: law.com (not a product endorsement)

   The most important aspect of this                   banks to work and operate with MBs
   guidance are Suspicious Activity Reports            without risks of repercussions.
   (SARS), which banks must complete for
                                                       Overall, the number of agreeable banks
   all marijuana related transactions. As of
                                                       are still the exception to the rule. But
   today, there have been no documented
                                                       they do exist and that means legal
   prosecutions for banks who have
                                                       medical marijuana businesses have
   complied with this guidance.
                                                       options. It’s a matter finding these
   HOW MANY BANKS WORK WITH                            canna-friendly institutions.
   MARIJUANA BUSINESSES?                               SO WHAT ARE THE BANKING
   Of approximately 12,000 banks across                OPTIONS FOR LEGAL MARIJUANA
   the country, 710 banks and 150 credit               BUSINESSES?
   unions reported serving marijuana
                                                       Some marijuana companies have created
   businesses, according to the latest March
                                                       accounts with one of the 700+ willing
   update from FinCEN. This number is
                                                       banks, and can accept debit and credit card
   slightly down from the previous quarter,            payments as a result. These businesses
   but up by nearly 200 from the same time             generally have highly established internal
   last year. Credit unions also seem to be            financial and compliance measures and can
   on a continuous–albeit gradual rise in              provide thorough records to banks to prove
   cannabis clients.                                   it. Marijuana companies can find at least
   This slow slog to progress is largely due           one willing bank in every state, but it’s
   to the failure of the U.S. Senate to pass           certainly not an even playing field across
   the SAFE Banking Act, which would allow             the country.

                                                                                                  15
MARCH 2021                                                                                ISSUE #2

                                                   want to establish bank accounts should
                                                   seek small state-run banks and credit
                                                   unions first. Fortunately firms, such as
                                                   Safe Harbor Private Banking, Dama
       Marijuana companies who want                Financial, and Nature Pay exist to offer
       to establish bank accounts                  merchants services and help companies
                                                   locate a compliant bank. Regardless of
       should seek small state-run                 how legal marijuana companies find a
       banks and credit unions first.              potential partner, they MUST have
                                                   internal SOPs, meticulous financial
                                                   records, and thorough external reporting
                                                   to increase their chances.
   For example, small banks in canna-friendly      WHAT ABOUT HEMP COMPANIES?
   states like Colorado, Washington, Nevada        Unfortunately, the situation for hemp is
   and Oregon have been known to seek out          not entirely different from marijuana.
   marijuana clients. Other states with robust     Despite the fact that hemp is federally
   regulations that support safe banking are       legal and banks are cleared to take on
   Florida, Illinois, Massachusetts, Minnesota     clients, hemp-CBD companies find
   and New York, according to a recent             themselves in an undefined legal bucket.
   article in MJ Biz Magazine. This is the ideal
   scenario because it allows the bank to          That’s because CBD is still under
   broaden its customer base while                 investigation by the FDA for safety
   supporting the growth of an industry that       concerns and is technically not allowed in
   also boosts the state economy                   ingestible products until guidance has
   (win-win-win). However, many other states       been issued. Additionally, the 2018 Farm
   like Arizona, California and New Mexico         Bill only explicitly lays out rules for hemp
   have far fewer options.                         cultivators/producers and does not
                                                   discuss ancillary businesses such as
   Most banks will not risk federal                retailers and laboratories. For these
   punishment. And the institutions that do        reasons, along with a dash of
   often hit dispensaries with extra fees that     unsubstantiated fear, many financial
   other industries don’t have to pay. Banks       institutions are reluctant to work with
   say these fees offset the punitive risks as     hemp and hemp-CBD companies.
   well as the cumbersome paperwork they
   must submit to follow FinCEN’s guidelines.      Such broad reluctance may be why
   While this may be true, the cost of such        FinCEN, The Federal Reserve Board,
   fees may not be worth it for emerging           Federal Deposit Insurance Corporation
   marijuana companies.                            (FDIC) and Office of the Comptroller of
                                                   the Currency (OCC), along with the
   Bottom line? Marijuana companies who            Conference of State Bank Supervisors

                                                                                              16
MARCH 2021                                                                            ISSUE #2

   issued guidance on Dec. 3, 2019,             Trust in California. Even large federal
   confirming that banking hemp is now          banks like Goldman Sachs Group,
   legal. This guidance also stated that        JPMorgan Chase and Credit Suisse have
   banks are not required to file SARS unless   reportedly opened limited accounts for
   “suspicious activity” warrants it.           hemp/cannabis related companies.
                                                However most institutions are not
   More recently, FinCEN issued updated
                                                transparent about their dealings.
   guidance in June following a thorough
   analysis of the USDA interim final hemp      That’s why hemp companies must do
   rule. This provides banks with much          their due diligence or outsource the hunt
   needed clarity, but only covers the rules    to organizations like Abaca, who helps
   for doing business with hemp growers         companies in Missouri, Montana, North
   and processors who purchase hemp             Dakota, Oklahoma, and Ohio with
   directly from growers. It does not address   opening compliant bank accounts.
   how to work secondary businesses.
                                                Other hemp/cannabis banking and
   SO WHAT ARE THE BANKING                      payment processing companies include:
   OPTIONS FOR HEMP BUSINESSES?                 Hypur
   Ultimately hemp growers and related
                                                Evergreen Gateway
   businesses have a much easier time
   securing bank accounts than companies        Alpha Merchant Bank
   who produce or sell hemp derived CBD.
                                                PayQwick, Inc.
   Moreover, as with marijuana, the state
   they operate in matters.                     THE BOTTOM LINE
   For example, states with established         The landscape of hemp and cannabis
   hemp programs and hemp-CBD guidance          banking is improving at a snail’s pace.
   for banks have far more institutions who     While options exist, the general lack of
   are willing to take on clients in the        banking and abundance of cash-focused
   industry. Hemp companies who truly           transactions continue to impede the
   understand their state’s regulations and     industry’s efforts to grow. Federal reform
   have the proper financial records to         via the SAFE Banking Act is needed for
   prove they are operating lawfully have       major change to occur. Until that time,
   the greatest chance of finding a             hemp and cannabis companies must
   bank–regardless of the state they are in.    prepare their books and weigh the costs
                                                and benefits of transacting with banks
   Some banks publicly admit to working         that will more than likely charge high
   with hemp companies, such as FLC who         fees. The fight for industry acceptance
   call itself “Florida’s Hemp Bank.” Others    continues…
   include Customers Bank, North Bay
   Credit Union, and WestTown Bank &

                                                                                             17
MARCH 2021                                                                                   ISSUE #2

   EDUCATION

   DEA Update, Plus Everything You Need
   to Know About THC Delta 8
   Elena Schmidt | July 20, 2020

   WHAT IS DELTA-8-THC AND WHY DO I                produce psychotropic effects. Despite
   NEED TO KNOW ABOUT IT?                          some chemical differences between the
   Cannabis contains hundreds of therapeutic       two, Delta-8 interacts with the body in
   compounds, but none quite as unique and         almost the same way as Delta-9 when
   popular as Delta-9-THC, also known as just      concentrated.
   THC. Renowned for its ability to relieve        HOW IS DELTA-8-THC CHEMICALLY
   nausea, pain and sleeplessness, THC is also     DIFFERENT FROM THC?
   the only compound we know that delivers
                                                   Let’s get nerdy for a moment: In chemistry,
   an intense euphoric feeling. But Delta-9
                                                   “Delta” refers to the double bond in the
   isn’t the only THC on the chemical chain
                                                   compound’s molecular structure. Delta
   block.
                                                   compounds have more electrons and will
   Coming up just one acid chain ahead,            interact with the body differently than
   Delta-8-THC is also a psychoactive              single bond cannabinoids. The only
   compound that delivers healing                  difference between Delta-8 and Delta-9
   qualities–but with a few key distinctions       THC is where that double bond is located
   that could make Delta-8 even more               on the chain of carbon atoms.
   popular in the future. The only problem is
                                                   Delta-8 has a double bond on the 8th
   it’s quite elusive.
                                                   carbon chain, and Delta-9 has a double
   So why should you care. Let’s explore.          bond on the 9th carbon chain. This seems
                                                   like a small distinction, but it’s significant
   WHAT IS DELTA-8-THC?                            enough to produce slightly different
   Delta-8 THC is one of the hundreds of           cognitive and physical effects.
   cannabinoids naturally produced in
   cannabis. It appears in very small doses,       WHAT ARE THE REPORTED BENEFITS
   which is why processors must extract and        OF DELTA-8-THC?
   concentrate it into oils, edibles, tinctures,   Famed cannabis researcher, Dr. Raphael
   and other concentrates.                         Mechoulam discovered Delta-8 in 1965.
                                                   Scientists have been experimenting with
   Similar to other cannabinoids, Delta-8 THC
                                                   the compound ever since. In 1975,
   interacts with the body’s endocannabinoid
                                                   researchers found that Delta-8 could shrink
   system. Like Delta-9 THC, Delta-8 has an
                                                   cancerous tumors in rats. In 1995, Israeli
   affinity towards CB1 receptors in the brain
                                                   scientists discovered Delta-8 could
   and nervous system, which it binds with to

                                                                                                    18
MARCH 2021                                                                                                  ISSUE #2

   Image Credit: HQuality/Shutterstock (not a product endorsement)

   profoundly affect pediatric cancer                                about Delta-8 is exciting for processors,
   treatment. After administering over 480                           manufacturers, patients and recreational
   treatments of high-dose Delta-8 THC, 100%                         users. As more people report a positive
   of patients reported feeling relief from                          experience with Delta-8, we may see more
   chemotherapy-induced nausea.                                      products flood the market along with a
                                                                     marked shift in consumer behavior.
   On a cognitive level, consumers have
   reported feeling a high similar to Delta-9                        CAN DELTA-8-THC GET YOU HIGH LIKE
   THC but with a few key differences: Unlike                        DELTA-9 THC?
   Delta-9, which can produce a sedative                             Delta-8 will certainly get you high, but not
   effect, Delta-8 is more associated with                           necessarily like Delta-9 THC. According to
   clear-headed and energized feelings. This                         the National Cancer Institute, Delta-8 THC
   has huge implications for patients and                            exhibits “lower psychotropic potency”
   consumers who like the psychoactive and                           than Delta-9 and might bind with brain’s
   healing benefits of THC, but also want to                         receptors differently than Delta-9, thereby
   function with more energy and clarity                             explaining the variation of effects.
   during the day.
                                                                     As such, consumers have reported feeling
   Studies also suggest that Delta-8 could                           less intense psychoactive effects with
   help the body produce a neurotransmitter                          Delta-8 THC. But still noticeable. Delta-8
   that’s responsible for cognition, memory,                         users experience appetite stimulation, and
   arousal, and neuroplasticity.                                     euphoria–just not as intensely as they do
   Although research has been limited due to                         from THC.
   the prohibition of cannabis, what we know

                                                                                                                19
MARCH 2021                                                                                 ISSUE #2

   IS DELTA-8-THC LEGAL? (DEA UPDATE)
   As of this article, the legal status of delta-8
   THC has officially entered the gray zone.
   Here’s what we know:                                  Extracting Delta-8 from
   Δ8THC derived from marijuana is federally             cannabis to create a product
   illegal due to the fact that marijuana is still       potent enough to produce
   a banned controlled substance.
   Hemp-derived Δ8THC, is technically legal if           noticeable effects isn’t easy.
   it’s naturally extracted. The problem is              But it’s certainly possible.
   hemp contains only trace amounts of the
   compound. So most delta-8 products are
   synthetically created by converting CBD
   into delta-8.
                                                     functions including pain, appetite, mood,
   According the DEA, this puts delta-8 in the       hormones, inflammation, and blood
   illicit category. In its interim final rule       pressure. This process is what marks
   published on August 21, 2020, the DEA             Delta-8-THC’s therapeutic and
   said “All synthetically derived                   psychotropic abilities.
   tetrahydrocannabinols remain schedule I
   controlled substances.”                           ARE      THERE        HIGH    DELTA-8-THC
                                                     STRAINS?
   Luckily, this rule is not final yet. You can
                                                     No. You won’t find Delta-8 THC flower on
   submit comments until October 20th for
                                                     the market today. Delta-8 grows in
   consideration.
                                                     negligible amounts in cannabis. In fact,
   DOES DELTA-8-THC ACT THE SAME WAY                 most dried cannabis contains less than 1%
   IN THE BODY AS THC?                               of the substance. So, in order to consume
   Similar to CBD and other cannabis                 this elusive cannabinoid, processors must
   compounds, Delta-8-THC communicates               carefully extract it from the plant through
   with receptors in the body, which make up         a variety of scientific methods.
   the Endocannabinoid System (ECS). The             IS IT EASY TO EXTRACT DELTA-8-THC
   ECS is the homeostatic regulator that             FROM CANNABIS?
   affects nearly every system of the body.
                                                     Extracting Delta-8 from cannabis to create
   The ECS’ main receptors are CB1 and CB2.          a product potent enough to produce
   CB1 receptors primarily reside in the brain       noticeable effects isn’t easy. But it’s
   and nervous system while CB2 receptors            certainly possible. Commercial processors
   are more common in the immune system.             are using methods such as selective
                                                     breeding, distillation, and molecular
   Delta-8-THC communicates with CB1 and
                                                     isolation to create concentrates that are
   CB2 receptors to help balance several
                                                     rich in Delta-8.

                                                                                                 20
MARCH 2021                                                                                ISSUE #2

   In 2004 Dr. Mechoulam filed a patent for a     different forms and skews the potency
   recipe to convert the common cannabinoid       information. HPLC accurately tests both
   CBD into Delta-8 and Delta-9 THC. (Mind        Delta-8-THCA and Delta-8-THC for precise
   blown). This method is called                  results.
   isomerization.
                                                  WHAT        TYPE      OF      DELTA-8-THC
   Other companies are employing “thin film       PRODUCTS ARE AVAILABLE?
   distillation” of cultivated flower and trim.   Delta-8 THC products are available in
   Through this process, manufacturers utilize    nearly every form except for smokable
   vacuums, temperature manipulation and          flower. That means consumers can
   scientific equipment to convert Delta-9        vaporize, eat, or ingest Delta-8 through
   THC to Delta-8.                                the following types of products:
   Isn’t science fascinating?
                                                   • Distillate cartridges
   HOW IS DELTA-8-THC MEASURED AND                 • Distillate syringes
   TESTED?
                                                   • Oil vapes
   Delta-8-THC is measured through potency         • Vape cartridge
   tests in the same way that CBD, THC and
   other cannabinoids are measured. ACS            • Oil
   Laboratory’s protocol uses Ultra High           • Tincture
                                                   • Concentrates
                                                   • Edibles
                                                   • Beverages
                                                  WHY       SHOULD        I   CARE        ABOUT
                                                  DELTA-8-THC?
              Isn’t science                       At ACS Laboratory, we are so excited
                                                  about Delta-8-THC because of its
              fascinating?                        remarkable healing and recreational
                                                  qualities. Additionally, the similarities and
                                                  more importantly, the key differences
                                                  between Delta-8 and Delta-9 THC have
                                                  the potential to cause a huge shift in
   Performance Liquid Chromatography              consumer cannabis preferences.
   (HPLC) machinery to measure Delta-8-THC
   potency in flower, edibles and extracts.       We’re excited that the market is starting
   HPLC is the preferred instrument for these     to recognize Delta-8 in a big way and that
   products due to its ability to test samples    companies are creating more high
   at room temperature without requiring          Delta-8-THC extracts.
   heat. Heat breaks down cannabinoids into

                                                                                               21
MARCH 2021                                                  ISSUE #2

     MEDIA MENTIONS   “The Largest Cannabis Lab Testing Company
                      in the Eastern U.S. Has Big Expansion Plans”
                                          New Cannabis Ventures

                                                                22
MARCH 2021                            ISSUE #2

     MEDIA MENTIONS
                      “Sponsor Spotlight”
                           CLAB, Newsletter

                                          23
MARCH 2021                                        ISSUE #2

     MEDIA MENTIONS    “After Two Years, American Hemp
                      Experts Applaud USDA Rules While
                             Waiting On Further Clarity”
                                             High Times

                                                      24
MARCH 2021                                                                                                             ISSUE #2

     MEDIA MENTIONS                                                                         “Giving Kids CBD: Your
                                                                                             Questions Answered”
                                                                                                                CannaCurious

                                 GIVING
                        KIDS CBD:
                      ! " # $ % ! # & ' ( ) " * '%
                                 +*',&$&-
                                BY MASHA BELINSON

             ȸ«΍lÁЫčl̀Á«|«Á«Ú¦|x«¥‰«¸Á‰«¸
               !"#$%&'()*%+',-%.)%/#01%234%.)%51-!%6--(%
                   ‰«¸l¼Ÿ«¦Šl¼Á€Ð¦€€|ȡc€l¦Á€¥«×
                         71-6%51'68)%9-0"/-%)5.9:-;
MARCH 2021                                                                                                                       ISSUE #2

                                                                            Facility
                                                                            Three to five-day turnaround and consistent, reliable and
                                                                            accurate nationwide courier service for CBD and hemp
                                                                            samples in an ISO 17025 accredited laboratory.

 About the Lab                                                              Utilizes vast experience in high complexity laboratory
                                                                            tests to develop proprietary testing methodologies with
                                                                            enhanced detection ability and improved accuracy. ACS
                                                                            Laboratory currently services 47 states and four
 Company Profile                                                            countries worldwide.
 ACS Laboratory is The Most Trusted Cannabis and Hemp Laboratory in         Testing Features
 the USA™, earning more Emerald Test Badges for accuracy in testing
 than any other laboratory in the southeast. ACS Laboratory is ISO          Tests for potency in biomass, flower, trim, extracts, crude
 17025 accredited, DEA licensed and CLIA licensed with the largest          oil, isolates, distillates, edibles, manufactured and
 state-of-the-art facility in the region. Compliant with the USDA’s rules   complex products like patches, aerosols and nano water.
 for hemp testing, ACS is also approved by the Florida Department of        Tests for 20 different cannabinoids, terpenes, residual
 Agriculture as a “Designated Compliance Laboratory,” and deemed a          solvents, pesticides, moisture, water activity microbiology
 "Certified Marijuana Testing Laboratory" by the Florida Department of      including mold, mildew, e.coli, pathogens, mycotoxins,
 Health. Due to its success, ACS Laboratory has undergone a 20,000          plant regulators, heavy metals, flavonoids, micronutrients,
 sq. ft. expansion and increased its reach to 47 states & four countries    PAH and even bioanalysis for pharmacokinetics (PK)
 worldwide. Beyond compliance, ACS is committed to innovation, which        study of THC (human trials).
 is why it tests for more cannabinoids than any lab in the region and
 continuously develops new protocols to analyze lesser-known toxins.
                                                                            Awards & Accolades
 Its facility utilizes industry-leading ultra-high-performance liquid       Awarded 42 Emerald Badges in 2019 and 2020
 chromatography-tandem mass spectrometry technology and                     combined, more than any other lab in the eastern U.S. for
 proprietary protocols to ensure accurate detection.                        its accuracy, consistency and proficiency in testing. The
 Watch this video about ACS Laboratory, and read the blog for               Emerald Test™ is an Inter-Laboratory Comparison and
 up-to-date information on cannabis science and lab testing for both        Proficiency Test (ILC/PT) program for cannabis testing
 the hemp and cannabis industries. For more information, visit              facilities.
 acslabcannabis.com, or call (813) 670-9157.
                                                                            Education
 Inception Date                                                             Continued commitment to educating farmers,
 2008                                                                       manufacturers, makers and consumers through its
                                                                            content-rich blog series.
 Compliance
                                                                            President and CEO
 Compliant with the USDA’s rules for hemp testing, contracted by the
 Florida Department of Agriculture (FDACS) as an “Official Designated       Roger Brown, a serial entrepreneur and board member of
 Laboratory” for testing Florida Hemp, deemed a "Certified Marijuana        the Hemp Industries Association of Florida, co-founded
 Testing Laboratory" by the Florida Department of Health (DOH). ISO         ACS Laboratory in 2008. Prior to founding ACS, Brown
 17025 Accredited, DEA Licensed.                                            was president of CMB Additives, an animal feed additive
                                                                            manufacturer. In 1996, he founded MD to You, a premier
 Compliance                                                                 mobile physicians group targeting the elderly population
 Tests for more cannabinoids than any lab in the eastern U.S. and           throughout Florida. Prior to that time, he owned or was
 continuously develops new protocols to analyze lesser-known toxins.        involved in several medical businesses and taught
 The in-house dedicated scientific team is continuously developing new      surgical procedures domestically and internationally,
 technology, refining current methods, procedures and protocols.            using specialty instrumentation such as laparoscopy and
                                                                            surgical staples. Brown holds a bachelor’s degree from
 The scientific team was able to react quickly to the crisis surrounding    the University of Florida.
 “vape-related illnesses” and developed the first of its kind Vitamin E
 Acetate panel to ensure products are “VAPE SAFE.”                          Number of Employees         Social Media
                                                                            128                         facebook.com/AmericanClinicalSolutions
 Innovation                                                                                             twitter.com/ACSLabCannabis
                                                                            Location
 20,000-square-foot, state-of-the-art facility located outside of                                       instagram.com/acslaboratory
                                                                            721 Cortaro Dr., Sun City
 Tampa, Florida, utilizing industry-leading ultra-high-performance                                      Public Relations Contact
                                                                            Center, Florida 33573
 liquid chromatography-tandem mass spectrometry (UPLC/MSMS,
                                                                            (813) 670-9016              Durée & Company, Inc.
 GC/MS and ICP/MS) technology and proprietary testing                                                   (954) 723-9350 /
 methodologies which created enhanced detection ability and                 Website
                                                                                                        acslab@dureeandcompany.com
 improved accuracy.                                                         acslabcannabis.com

                                                                                                                                       26
MARCH 2021                                                                                                             ISSUE #2

                        Tested Verified Product Seals

   The laboratory has tested the Hemp         The laboratory has tested the Hemp         The laboratory has tested the Hemp
  Flower for Potency, Pesticides, Heavy      Extract for Potency, Pesticides, Heavy       Edible for Potency, Homogeneity,
   Metals, Mycotoxins and Microbiology.         Metals, Mycotoxins, Microbiology,       Pesticides, Heavy Metals, Mycotoxins,
     The Hemp Flower was tested by a            Residual Solvents and Vitamin E          Microbiology and Residual Solvents.
    State Designated Laboratory with a       Acetate,. The Hemp extract has tested       The Hemp edible has tested for less
    DEA License and has tested for less         for less than .3% THC, by a State       than .3% THC, by a State Designated
   than .3% THC. This meets the strictist      Designated Laboratory with a DEA          Laboratory with a DEA License This
  testing guidelines in the United States.   License.This meets the strictist testing   meets the strictist testing guidelines in
                                                 guidelines in the United States.                 the United States..

       The laboratory has tested the             The laboratory has tested the             The laboratory has tested the
       Cannabis Flower for Potency,              Cannabis Extract for Potency,              Cannabis Edible for Potency,
   Pesticides, Heavy Metals, Mycotoxins,     Pesticides, Heavy Metals, Mycotoxins,        Homogeneity, Pesticides, Heavy
   Microbiology, Water Activity, Moisture       Microbiology, Residual Solvents,        Metals, Mycotoxins, Microbiology and
    and Filth and Foreign Materials. The     Water Activity, Moisture and Filth and      Residual Solvents, Water Activity,
     Cannabis Flower was tested by a            Foreign Materials. The Cannabis            Moisture and Filth and Foreign
      Department of Health Certified          Extract was tested by a Department        Materials. The Cannabis Extract was
   Testing Laboratory. The laboratory is     of Health Certified Testing Laboratory.     tested by a Department of Health
  ISO accredited, CLIA licensed and DEA      The laboratory is ISO accredited, CLIA       Certified Testing Laboratory. The
                Registered.                      licensed and DEA Registered.            laboratory is ISO accredited, CLIA
                                                                                           licensed and DEA Registered.

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MARCH 2021                                                                                                       ISSUE #2

               42 Emerald Badges
                                in 2019 and 2020
                          More than any other lab in the United States

             An Emerald Badge™ will be awarded to labs that perform within a specific tolerance in each
            proficiency test category, with criteria established by the ISO accredited PT manufacturer with
          input from the Emerald Test™ Advisory Panel. Labs that receive a Badge are not only recognized
         for their capabilities in comparison to their peers within a given series, the Emerald Badge™ affirms
           the labs’ ability to meet regulatory requirements for licensure. In addition, Emerald Test™ ILC/PT
           participation satisfies ISO/IEC 17025 accreditation requirements for external proficiency testing.

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