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MassRoots: "The Facebook of the Marijuana Industry"'
09/07/2015 9:00 am EST
Given that it continues to grow its user base and execute on its initiatives, Michael Berger, of Technical420.com, highlights this company that has one of the largest and most active social networks in the cannabis industry.
Before recreational marijuana became legal in Colorado on January 1, 2014, there were less than 50 publicly traded cannabis companies. Today there are over 350. Most of these companies trade on the over-the-counter (OTC) exchange which is comprised of startups, defunct public shell companies, scams, and a select number of good companies.
One of the top companies on the OTC exchange is MassRoots, Inc. (MSRT) which is considered to be the “Facebook of the marijuana industry.” MassRoots is one of the largest and most active communities of cannabis consumers. People use MSRT’s app to find smoking buddies, share their cannabis experiences, and connect with local dispensaries.
MSRT was one of the first cannabis related companies to go public through a Form S-1 registration statement as opposed to a reverse merger and are one of the first to file an application to become listed on the NASDAQ Capital Market exchange. During the application process, MSRT is taking steps to strengthen its corporate governance to meet NASDAQ Capital Market's listing requirements.
Breaks Through 500,000 Users and Starts Monetizing
This announcement comes after MSRT broke through 500,000 users on its platform last week. MassRoots continues to grow its user base which has more than doubled during 2015. This growth is impressive because their app is only offered in states where medical marijuana is legal (23 states).
Last week, MassRoots started to monetize its digital properties and expects to rapidly scale its revenues over the next several quarters.
Forms Strategic Relationship
In late April, MSRT entered into a partnership and took an equity stake in Flowhub, a seed-to-sale company that is currently in beta. MSRT and Flowhub will integrate their systems which will expand the services available to MSRT’s users and dispensaries.
This partnership will add value to both companies. MSRT will be able to offer its users access to a live pricing, inventory, and ordering system. Flowhub will be able to help dispensaries streamline operations by targeting specific customers based on purchasing patterns and social activity.
Cheated Out of Startup Ally Competition
Although some form of marijuana is legal in 40 states, not all members of the mainstream business world accept that reality. This became more apparent earlier this year after MSRT presented at TechCrunch’s Startup Alley competition in New York. At this competition entrepreneurs showcase their respective products to an audience that votes for which company is the best startup.
MassRoots easily won the competition, receiving five times more than its next closest competitor. The company, however, was told that they cannot advance to the next round because its technology and user community are “not significant” enough.
MassRoots has one of the largest and most active social networks in the cannabis industry. The company continues to grow its user base and execute on its initiatives. We are excited to see what they do next.
Michael Berger, Founder and President, Technical420.com
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