The mainstream media is all over blockchain and CBD – two industries that are taking over the technology and wellness world.
While the connection between CBD and blockchain might not seem obvious at first, many similarities between the two are fueling market change and growth.
What is blockchain?
Despite their growing popularity, there’s still a lot of confusion when it comes to what exactly blockchain and CBD are. So, let’s start by clarifying it.
Blockchain is a technology that creates online ledgers. These ledgers are distributed online and are nearly impossible to hack or change.
In simple words, blockchain is an information recording system. Or in other words, a digital database. There is a ledger that contains information, like financial transaction data. When the data is created, it’s duplicated and sent to every computer in the blockchain system. This feature is what makes the blockchain secure.
Terms like Bitcoin, NFT, and the metaverse are connected to blockchain technology. All these are examples of how blockchain technology can be used:
- Bitcoin is a cryptocurrency powered by blockchain technology. Blockchain is transparent while bitcoin is anonymous.
- An NFT is a digital certificate of ownership.
- The metaverse is the network of virtual worlds. Blockchain technology is used to guarantee the reliability of data.
Blockchain technology opens a wide world of opportunities. But how does that relate to a cannabinoid like CBD?
The similarities between CBD and Blockchain
CBD (cannabidiol) is taking over the health and wellness world with its benefits. For example, CBD shows promising results in decreasing symptoms of anxiety, depression, pain, insomnia, and more. Plus, you won’t experience the mind-altering high that cannabis (specifically THC) causes.
Seemingly, blockchain and CBD are two different industries. But as these industries continue to grow, it’s clear there are many similarities between the two.
The Global Wellness Institute projects that the wellness industry will reach $7 trillion in 2025. Therefore, health and wellness startups are popping up everywhere as companies use technology for improving healthcare systems.
Specifically, many “crypto-preneurs” are turning to CBD. CBD is an alternative approach to traditional drugs. Just like how blockchain and cryptocurrencies offer a different approach to traditional banking and technologies.
At the same time, blockchain and CBD face many market restrictions and public skepticism. However, as we learn more about the benefits of both, that skepticism is decreasing.
The relationship between CBD and Blockchain
Blockchain technology is starting to be used in the CBD industry. Similarly, it is increasing trust in the market.
For example, here’s how CBD companies are using blockchain and how people can benefit from it:
CBD blockchain tracing
In 2020, the Cannabinoid Association of the Netherlands (CAN) released CanCheck.org, a free tool that allows you to trace CBD products from seed to shelf. Every step of the supply chain is verified using blockchain. This is a great example of how blockchain can add transparency to the CBD market.
A common issue in the CBD market is the mislabeling of products. Some companies are not truthful about the CBD content in their products.
CBD blockchain tracing can solve this. As one example, there is now a “CanCheck” system. This system allows everyone to check the ingredients of CBD products. It can show the levels of each cannabis compound and other ingredients. This guarantee ensures proper labeling of CBD products.
This high level of transparency will serve to boost consumer safety and trust.
Market legitimacy
Blockchain tracing technology is allowing for transparent monitoring of the CBD supply chain. The tracing can increase the credibility of CBD companies. It can also prove their legitimacy as well.
CBD companies have many market restrictions. These restrictions regulate cannabinoid production and protect consumers. Also, the product tracing will allow government bodies to verify the legal rights of companies and hold them accountable.
At the same time, the use of blockchain assures that transactions are legal as well.
The added transparency that blockchain adds can make it easier to regulate the CBD market. Plus, this can help push CBD’s legalization.
Can you buy cannabinoids with crypto?
Cryptocurrencies like bitcoin offer many benefits for both payers and sellers. For one, bitcoin is one of the safest ways to purchase things online. Your payment details are not visible online. This is not always the case with other online payment methods.
You can certainly purchase cannabinoids with crypto. Many CBD online stores are now accepting crypto payments. Many of these CBD companies even offer a discount when you choose to buy CBD with bitcoin or other cryptocurrencies.
Bitcoin also makes the online purchase of CBD products accessible to everyone, including the people who do not have access to traditional banks and credit cards.
Final thoughts
While at first glance blockchain and CBD may seem unrelated, they meet at the intersection of technology, wellness, and breaking the status quo.
The wellness market is rapidly growing and CBD products are increasing in popularity. Blockchain technology is helping increase transparency in the CBD market. This is building trust between suppliers and consumers in the CBD industry.
In fact, you can even buy cannabinoids with crypto here on our website. You can purchase any of our cannabis products with cryptocurrency – simply check the “cryptocurrency” button when you checkout.