In the United States, the legal landscape regarding marijuana is a puzzle full of contradictions. Federal law defines marijuana as an illegal drug, while states have sparked an irreversible wave of legalization over the past thirty years. Since California pioneered the legalization of marijuana in 1996, the process has profoundly changed social attitudes, economic structures, and legal frameworks.

Cannabis has not always been considered a 'drug' in the United States. In fact, prior to the early 20th century, marijuana use was legal for most of its history. The turning point occurred between 1916 and 1931, when 29 states were the first to issue bans. The 1937 Cannabis Tax Act essentially banned the circulation of marijuana at the federal level. However, the pendulum of history swings again. In 1996, California voters passed Proposition 215, which established the legality of medical marijuana through a referendum and was widely seen as the beginning of the modern marijuana legalization movement. The core of California's move is to view marijuana control issues as a "state right," thus forming a direct and lasting confrontation with federal bans.

Current situation: significant opposition between federal and state laws. As of now, marijuana is still regulated by the Controlled Substances Act at the federal level and classified as a "Schedule I" substance, which is considered to have no recognized medical use and high potential for abuse. This classification is seriously disconnected from the practices of most states. The laws of each state can be roughly divided into three categories:

24 states and the capital Washington D.C. have fully legalized medical and recreational marijuana. These states are mainly distributed in the western and northeastern coasts, as well as the Great Lakes region.

There are another 15 states that only allow medical marijuana to be legal, while recreational use is still prohibited or only decriminalized (such as North Dakota).

Currently, there are still a few states (such as Idaho, Wyoming, Kansas, etc.) that have not legalized both uses.

Even in legalized states, there are significant differences in ownership, planting regulations, commercial sales licenses, and tax policies, resulting in different regulatory models.

The multidimensional impact of legalization: The impact of legalization on taxation, healthcare, and hidden concerns is complex and multidimensional
1. Economy and Taxation
The legal cannabis industry has become an important source of tax revenue and job creation for many states. Commercial sales have brought considerable fiscal revenue to the state government.

2. Medical system
Research shows that in states where medical marijuana is legal, health insurance premiums have decreased, partly due to patients reducing their use of prescription drugs. There is also data indicating a decrease in opioid mortality rates in these states, suggesting that marijuana may serve as an alternative analgesic.

3. Social and health risks
At the same time, negative impacts also emerged. The legalization of recreational marijuana in states has reported an increase in hospitalized cases related to marijuana, particularly a significant rise in poisoning incidents caused by children ingesting marijuana food. The traffic safety issues caused by the influence of marijuana while driving continue to receive attention.

Future direction: loosening at the federal level and sustained state-level movements

The key variable for the future lies in the adjustment of federal policies. In May 2024, the US Drug Enforcement Administration (DEA) proposed to reclassify marijuana as a "Schedule III controlled substance". This trend gained significant momentum in December 2025, when President Trump signed an executive order directing the Attorney General to initiate the process of reclassifying marijuana as Schedule III. If ultimately implemented, this will be the most significant change in federal marijuana policy in decades. Although it does not equate to federal legalization, it will greatly reduce the tax burden on the industry (applicable to general tax laws rather than drug-related provisions) and recognize its medical value. Meanwhile, the legalization movement at the state level is expected to continue. As public support continues to rise and potential economic benefits attract, the remaining banned states will face greater internal pressure. There have been multiple bills at the congressional level attempting to promote nationwide reforms, but none have been successful. Many industry observers believe that nationwide legalization or at least decriminalization is only a matter of time.