Opportunities in the Psilocybin Industry

Psilocybin is a developing industry in the United States and around the world. While psilocybin remains illegal in most areas, recent years have seen its decriminalization, and in some areas legalization. Psilocybin is beginning to become popular in developed nations such as Canada and the U.S. and many are comparing the potential of the psilocybin industry to that of the newly legalized cannabis industry. Psilocybin is a hallucinogenic substance found in fungus that is currently listed as a Schedule I narcotic in the United States.

Current Legal Status

Despite evidence of therapeutic benefits to the consumption of psilocybin, particularly in the form of micro-doses, psilocybin is still listed as a Schedule I narcotic. Similar to cannabis which is also classified as a Schedule I narcotic, legalization and decriminalization has begun on the state/local level. In November 2020, Oregon passed a measure that will provide access to psilocybin for supervised mental health treatment.

Additionally, Oregon and Washington, D.C. decriminalized the use of psilocybin and other psychedelic substances. While no other state has made significant strides toward decriminalization or legalization, some U.S. cities support the development of the psilocybin industry. Both Oakland, CA and Denver, CO have passed legislation which decriminalizes psilocybin and it is likely that more cities will follow their lead in the future.

“I foresee clarifying medical and recreational uses for psilocybin to be a real challenge. While I don’t foresee dispensaries for psilocybin, I think we will see walk-in clinics,” said Eli Katz, founder of the Zwiski Foundation and recent speaker on the Legal Cultivation of Psilocybin at the Psychedelic Science Convention in Denver, Colorado.

Psilocybin Basics

While many may think that mushrooms or fungus are plants, their genetic composition is actually more similar to people than it is to plants. “Magic mushrooms,” or those fungi containing psilocybin, can be natural or lab-made. The most common natural “magic mushroom” is the Psilocybe cubensis because it is the easiest to grow. Although lab-made mushrooms are typically much more potent, the DEA does not currently distinguish between the two. The consumption of natural or lab-made mushrooms would not show up on a standard drug test and they are completely out of the user’s system within 15 hours.

Comparisons to Cannabis

The psilocybin industry is getting its start in the U.S. similar to how the cannabis industry began – states and localities are decriminalizing and legalizing to allow for further research and medicinal uses. Although psilocybin is an emerging industry, it has the potential to “boom” like cannabis has. The psychedelic industry in the U.S. is projected to reach $6.85 billion by 2027.

“I hope that the ‘mushroom boom’ continues,” said Eli Katz. “I hope more people in cannabis look into investing in the psilocybin industry. Psilocybin only uses a fraction of the energy and does not require massive farms like cannabis.”

The psilocybin industry may have a lot of potential to expand like the cannabis industry has in the U.S., but mushrooms are harder to grow than cannabis. Though they do not require light, mushrooms require more moisture than cannabis and can be extremely finicky to grow.

Mushrooms can be consumed ‘wet’ (the recently harvested fruit), but they are most commonly consumed dried in the form of micro-dose capsules. Since mushrooms are water-soluble and not oil-soluble like cannabis, dried mushrooms can also be consumed in the form of teas as opposed to tinctures or edibles.

Future of the Psilocybin Industry

Although access to psilocybin is currently quite limited, it is likely that decriminalization and legalization efforts will continue to spread. When the psilocybin industry does explode, many expect micro-dosing to be the primary market rather than psychedelic uses. Micro-dosing psilocybin can potentially treat ADHD, anxiety, addiction, depression, and PTSD and research into the benefits has only just begun.

“Psilocybin has a dramatic measurable impact when it comes to mental health,” said Eli Katz. “I think we will see legal psilocybin before we see legal cannabis.”

How Can Sapphire Risk Help?

Tony Gallo and the team at Sapphire Risk Advisory Group has over 30 years of security experience and expertise. Contact us to ensure your mushroom security is efficient and effective. Follow us on social media to stay up to date with current psilocybin security news and trends!