More scheduling and leadership questions from an administration remaining mysterious about their official position.

In a closely watched vote on Monday, the U.S. Senate confirmed Terrance Cole as the next Administrator of the Drug Enforcement Administration (DEA) by a margin of 50-47. President Trump’s nomination of Cole—widely seen as a pivotal figure in shaping the future of federal cannabis regulation—has drawn both optimism and skepticism from within the cannabis and financial sectors.

Cole's confirmation comes at a time of deep uncertainty and stalled momentum for federal cannabis reform. While the Biden administration initiated a formal review of cannabis scheduling in 2022, the final decision on whether to move cannabis from Schedule I to Schedule III under the Controlled Substances Act now rests with the DEA. With Cole officially taking the helm, the industry’s focus shifts to whether his leadership will bring overdue clarity or reinforce the bureaucratic status quo.

Regulatory Reform or Political Placeholder?

Anthony Coniglio, CEO of NewLake Capital Partners (OTCQX: NLCP), sees Cole's appointment as a procedural turning point rather than a political one. “Mr. Cole has said cannabis rescheduling will be ‘one of [his] first priorities,’ and that he will rely on science, expert consultation and the framework of the Controlled Substances Act to guide his decision,” Coniglio noted. “That’s not a political promise—it’s a procedural one. And in today’s regulatory climate, that matters.”

Coniglio emphasized that Cole’s core focus—according to statements and the DEA’s own 2025 National Drug Threat Assessment—remains dismantling fentanyl networks and transnational criminal organizations. In that context, cannabis reform may not be Cole’s top enforcement concern, but rather a policy area ripe for modernization.

“If he leads with science and enforcement clarity—not outdated fears—this could be the start of a smarter, more modern drug policy,” Coniglio added.

Industry Urges Urgency—and Realism

Others in the cannabis ecosystem are urging faster, more comprehensive action. Terry Mendez, CEO of Safe Harbor Financial (Nasdaq: SHFS), warned that while Cole’s commitment to reviewing rescheduling is welcome, vague assurances aren’t enough. "The industry needs more than vague assurances. We need regulatory clarity, fairness and above all, urgency," said Mendez.

Mendez acknowledged that even a rescheduling to Schedule III would offer only partial relief. “Rescheduling does not equate to legalization,” he said. “It will not eliminate the burdensome compliance regimes that currently deter most large financial institutions from entering the market. Anti-Money Laundering and Bank Secrecy Act requirements will still apply.”

Indeed, many cannabis operators remain excluded from mainstream banking services, relying instead on a patchwork of smaller, specialized institutions. Safe Harbor Financial is one of a limited number of financial service providers willing to work within the current gray area. But that model isn’t scalable or sustainable long term, Mendez argued.

“Rescheduling might offer incremental improvements, but absent updated FinCEN guidance and comprehensive congressional action like the SAFER Banking Act, the financial exclusion of cannabis operators will continue,” he said.

The Path Forward

Both Coniglio and Mendez agree on one thing: the months ahead are critical. Whether Cole becomes a champion of evidence-based reform or merely oversees a stalled regulatory process remains to be seen. What’s clear is that the cannabis industry—and the financial infrastructure that underpins it—is running out of patience.

Advocates are now doubling down on calls for Congress to pass legislation such as the SAFER Banking Act and to clarify tax and compliance rules that continue to hinder lawful cannabis businesses. Until those systemic issues are addressed, rescheduling—while symbolically significant—may offer little more than a shift in legal semantics.

Still, the confirmation of Terrance Cole opens a door. Whether the DEA walks through it remains to be seen.