The cannabis industry is expected to reach US$31.4 billion (AU$39.84) come 2021, according to a research. Currently, the biggest player in this fast-growing market is the US as it commands 90 percent of the global cannabis sales.

Among the companies helping the US achieve the high rank is PotNetwork Holding, Inc. (TCMKTS:POTN), which had a remarkable run in 2017. At the beginning of last year, PotNetwork acquired First Capital Venture Co. and its subsidiary, Diamond CBD, Inc. According to First Capital Venture, it dedicates its efforts to studying and producing high-quality extracts of hemp — a crop coming from the same species of plant as the cannabis but does not carry the psychoactive properties of cannabis. From the hemp extracts, it produces cannabidiol (CBD) oil, which is then sold through its Diamond CBD subsidiary.

Cannabidiol is one of the cannabinoids or the chemicals that carry the plant’s medical and recreational characteristics. The other well-known cannabinoid is tetrahydrocannabinol (THC), and it bears the psychoactive effect that gives off that “high” feeling when one consumes cannabis or marijuana.

Unlike THC, CBD is recognised for its benefits when used as a medicine. It does not have any psychoactive effects, making it a safer option for those who are looking to enjoy the benefits of cannabis without violating the laws.

CBD-infused products in the market

Aside from the CBD oil, Diamond CBD is selling a vast selection of products ranging from edibles such as Chill Gummies, Double Shots and Cake Pop to vape liquids, crystal dabs and creams, and all of them are infused with CBD. The most popular product is the Chill Gummies, which helped PotNetwork reach another milestone last year when the company distributed over one million Chill Gummies. This particular snack has many flavours such as Gummy Worms, Choco Peanut Butter, Rainbow Bites, Sour Snakes and Watermelon Slices.

PotNetwork Holding’s acquisition of Diamond CBD deal proved to be pivotal in the company’s succeeding performance in the cannabis and hemp market. For instance, the company quickly surpassed its overall revenue in 2016 when it earned US$1.7 million (AU$2.16 million) for just Q1 2017. Diamond CBD’s May 2017 revenues reached a record high as it surpassed US$1 million (AU$1.27 million), marking a 1,300 percent increase from the recorded revenue of May 2016.

Eventually, the Q2 sales of Diamond CBD outperformed its first-quarter sales. The company earned US$3.2 million (AU$4.06 million) in the second quarter, which reflect a 73 percent increase in revenues within just three months. The strong sales of Diamond CBD products were cited as a major contributing factor to the increasing revenues of PotNetwork Holding.

Diamond CBD kept on outdoing its record-setting performance as it progressed to the last stretch of 2017. Its revenues, generated solely in November, exceeded $1.6 million.

Growing global exposure

PotNetwork Holding also gained more recognition when they were featured in various trade shows, such as the ASD Market Week Event and the CHAMPS Summer Show in Las Vegas. The company’s participation in these events allowed it to foster better business relationships within the industry, amplify their market reach to roughly 45,000 international buyers, and garner orders worth more than US$250,000 (AU$317,200).

In the BIG Industry Trade Show in New York City last year, Diamond CBD received product sales in excess of $200,000 within just two days. It also became one of the title sponsors of the event.

As a result of its efforts to stand out and be accessible to more people, PotNetwork successfully partnered with nearly 10,000 stores all over the United States for the distribution and sales of its Diamond CBD products. With its growing presence, PotNetwork has earned the support of famous personalities. In July, the company teamed up with former NFL athlete Lawrence Taylor to develop and launch the LT Master Pain product line, which are CBD oils aimed to provide pain relief to athletes and consumers. Then in August, the company collaborated with comedian and marijuana advocate Tommy Chong to launch the Chong’s Choice CBD product line. These products also have snacks and vaping additives with CBD and hemp oil tincture drops.

PotNetwork continues to establish fruitful relationships with other companies within the cannabis business, pushing the whole industry to greater heights. In November, POTN partnered with Vapor Group, Inc’s subsidiary, Total Vapor, Inc, to become the distributor of Total Vapor’s Easy Grinder™, an electronic herbal grinder. The company is currently selling the product through the Diamond CBD website.

Article from press release sent for consideration to publish