Cannabis Legalization and Regulation in Washington State
Washington was one of the first states to legalize adult-use cannabis, passing Initiative 502 in 2012. Adults 21 and older may legally possess up to 1 ounce of cannabis flower, 16 ounces of solid edibles, 72 ounces of cannabis-infused liquids, or 7 grams of concentrates. Public consumption is prohibited, and impaired driving remains illegal.
Home cultivation is not allowed for recreational use. Only registered medical cannabis patients and their designated caregivers may cultivate cannabis at home, with limits set by physician recommendation and state rules.
Retail cannabis sales began in 2014 and are fully operational statewide. The Washington State Liquor and Cannabis Board (LCB) oversees licensing and compliance for cultivators, processors, retailers, distributors, and testing labs. Local governments may impose zoning restrictions, and some municipalities ban retail stores entirely.
Washington maintains a medical cannabis program alongside adult-use sales. Registered patients benefit from higher possession limits, tax exemptions, and the right to home cultivation. Medical cannabis can be purchased at medically endorsed dispensaries, where patients receive priority service.
Hemp cultivation and hemp-derived CBD products are legal in Washington, provided they contain no more than 0.3% THC. Intoxicating hemp-derived cannabinoids such as delta-8 THC, delta-10 THC, and THCA are restricted and may only be sold through the licensed cannabis system. Products must comply with strict state requirements for testing, labeling, packaging, and retail sales.
For cannabis operators, Washington offers a mature but competitive market. Businesses seeking banking and financial services must present full compliance documentation, including licensing records, ownership disclosures, tax IDs, and financial statements. Because the market remains cash-intensive, banks and service providers require secure cash-handling processes, armored transport, reconciled deposits, AML/BSA monitoring, and audit-ready recordkeeping. Cannabis excise taxes are among the highest in the nation, making accurate tax compliance and reporting essential for financial stability.
The Washington State Liquor and Cannabis Board regulates both adult-use and medical cannabis. For official licensing information, compliance resources, and regulatory updates, visit: https://lcb.wa.gov
%201.svg)
%201.svg)
