Due to its low taxes and hands-off approach to controversial businesses, Nevada has long attracted entrepreneurs offering products outside of the mainstream.
The most recent example of this is cannabis – and in particular, the non-psychoactive relative of cannabis known as Cannabidiol or CBD.
Almost overnight, Nevada has become a center of the burgeoning CDB market in the United States and Canada, with new companies, such as Sky Century Investment (OTC: SKYI), sprouting up almost overnight.
One reason is taxes: CBD businesses are hugely profitable and funnel literally millions of dollars into Nevada’s coffers.
A study by BDS Analytics and Arcview Market Research projects that the collective market for CBD sales in the U.S. could grow by ten times over the next four years, from $2.1 billion1 in 2020 to as much as $20 billion in 2024.2
As a result, the state of Nevada has gone out of its way to make CBD businesses welcome.
Plus, investors have been pouring millions into CBD 3 and other cannabis-related companies. And for good reason: CBD and cannabis stocks have seen sizable gains in recent months.
Planet 13 Holdings Inc, a Nevada-based cannabis company that operates “the world’s largest cannabis store” a few steps away from the Las Vegas Strip, has seen its shares jump from just 70 cents 4 in early 2020 to $5.85 a share by the end of the year.
That’s a gain of 735% 5 in just nine months, enough to turn $3,000 into $25,050.
The shares of another big CBD company, Curaleaf Holdings, which offers both cannabis products and hemp-based CBD products, also jumped significantly in 2020. It soared from $2.64 a share early in the year to $11.69 in December, a gain of 342%.
And one CBD company in Nevada that is getting attention from investors is Sky Century Investment (OTC: SKYI), established in 2012 and dedicated to selling legal CBD products across all of America.
What Exactly is CBD Anyway and Why Is It So Popular Right Now?
Cannabidiol, or CBD, is one of the 113 molecules known as cannabinoids found in both major varieties of the Cannabis Sativa plant, the variety commonly known as marijuana and the ordinary hemp plant (from which rope is made).
The other famous cannabinoid is Tetrahydrocannabinol or THC.
Although they are similar, these two molecules – THC and CBD – affect the human body in very different ways.
CBD has many apparent health benefits and produces a distinct calming effect but does not create the feeling of intoxicated euphoria, or “high,” that THC does.
Many of the CBD products currently sold in the United States are made from CBD-rich hemp, not from cannabis.
However, to be legal under federal law, all CBD products – whether produced from hemp or cannabis — may not contain more than 0.3 percent of THC.
That’s why the sale of CBD products is 100 percent legal under federal law as well as in 47 of the 50 U.S. states and the District of Columbia.
And that is also what Sky Century Investment (OTC: SKYI) believes is a potential gold mine waiting to be developed – the huge and growing market for 100% legal, non-intoxicating CBD products.
According to the Mayo Clinic, CBD is currently being studied as a natural support for a wide range of conditions, including neurological and mental disorders, blood sugar problems, and pain issues, although research is just beginning.6
Customers typically purchase CBD products to help with feelings of unease, depression or anxiety, joint or muscle pain, and problems sleeping.7
And according to a survey of 2,400 CBD customers by HelloMD and the Brightfield Group, an amazing 80% 8 said they found CBD products to be “very or extremely effective.”
Developing a New Line of All-Natural, 100% Compliant CBD Products
To meet the growing demand, Sky Century Investment (OTC: SKYI) is developing a wide range of top-quality CBD products in three different categories — CBD Isolate, Broad Spectrum CBD and Full Spectrum CBD.
Full-Spectrum CBD oil contains all of the naturally occurring active cannabinoids derived from hemp (including up to 0.3% THC by weight).
Broad spectrum CBD oil is created by taking the full-spectrum extract and further processing it to remove all THC. Broad spectrum products contain the same natural phytocannabinoids, terpenes, vitamins, minerals, fatty acids and lipids as the original hemp plant, just 0% THC.
Finally, CBD Isolate is created by removing all other molecules from the Full Spectrum extract to produce a purified isolated CBD molecule in an anhydrous state – a white powder that is then diluted with a carrier oil. This type of oil contains only pure CBD with a minimum of 99% purity and is also THC free.
Sky Century Investment is developing products from all three of these categories, ranging from broad- and full-spectrum oil tinctures to immune-boosting CBD capsules.
What sets Sky Century Investment (OTC: SKYI) apart is its commitment to producing all-natural CBD products free from additives and pesticides. Its products are being made in a Utah-based 9 manufacturing facility of 100% USA-compliant, naturally grown hemp.
Sky Century Investment products also undergo third-party laboratory testing so that customers can always be sure of both quality and potency. All products come with Certificates of Analysis10, produced by independent laboratories, that certify levels of cannabinoids.
The Sky Century Advantage: Creating the World’s Largest News Resource for Cannabis Products
One advantage that Sky Century Investment (OTC: SKYI) has over its development stage competitors is its innovative marketing infrastructure.
Recently the company announced the development of a new Cannabis News application for smart phones and PCs.
Cannabis News will be the world’s largest news resource for cannabis. It will monitor and filter cannabis news and discoveries 24 hours a day, seven days a week.
Fully customized to meet the needs of today users, Cannabis News will be of interest both to consumers of cannabis-based products, such as CBD, as well as to investors interested in staying up to date on current trends on the cannabis industry.
The app will also provide a means for Sky Century Investment (OTC: SKYI) to reach potential buyers for its top-quality CBD products.
Seasoned Cannabis Investors Search for Upstart CBD Companies Due to Outsized Potential Gains
Veteran cannabis investors are always on the lookout for new cannabis-related enterprises they can invest in at the earliest stages.
That’s because publicly-traded cannabis businesses often sell for pennies per share at the outset, before they begin marketing their products.
For example, CBD pioneer Aphria, a Canada-based developer of cannabinoid therapeutics, started off in 2015 as a penny stock selling for around 60 cents11 a share. It eventually reached a high of $14 a share before settling down around $8.2112 – a stunning return of 1,268%.13 That’s enough to turn every $3,000 into $41,000.14
Village Farms International, another CBD company, also started out as a penny stock, selling for around 57 cents15 per share. It now trades at around $9.89 a share16 – a return of 1,878%.
Planet 13 Holdings Inc, the Nevada wellness company that sells CBD oils, edibles, tinctures and sprays, was selling for 70 cents a share in early 2020. By December 2020, it was selling for $5.85 a share17 – a gain of 735% in just nine months.
Those stocks have seen their big moves, which is why investors are always on the lookout for viable CBD companies just starting out.
Investors Eye Early-Stage Penny CBD Stocks for Fast Gains
That’s why early bird investors are taking a close look at Sky Century Investment (OTC: SKYI) — precisely because its share price is currently below 50 cents per share. This is the sweet spot for investors who want to acquire a number of shares without spending too much money.
Now that the United States government passed the updated Farm Bill, which effectively legalized hemp production nationwide, all eyes have turned to early-stage CBD companies.
If a small company like Sky Century Investment can gain a foothold in a specific geographic area or through online sales, it can potentially generate outsized returns. That’s the attraction of CBD penny stocks for veteran cannabis investors.
In addition, CBD stocks have few of the disadvantages of their cannabis cousins when it comes to investing.
For example, cannabis itself is still illegal in the eyes of the U.S. government, although that may soon change. This means it’s difficult for many companies selling THC-rich cannabis to get bank accounts or take advantage of tax deductions available to other businesses.
But CBD companies such as Sky Century Investment have none of these issues. CBD products are 100% legal for the U.S. government, and that means investing in Sky Century Investment (OTC: SKYI) is simple and easy.
4 Planet 13 Holdings Inc (PLNHF) closed at $0.70 on March 18, 2020, and closed at a record high of $5.85 per share on December 8, 2020, per Barchart.com. https://www.barchart.com/stocks/quotes/PLNHF/interactive-chart. Historical price data available at: https://finance.yahoo.com/quote/PLNHF/history?p=PLNHF
5 Per online calculator at https://percentagecalculator.net/
11Per Barchart.com, APHA closed at $0.60 in February 2015. https://www.barchart.com/stocks/quotes/APHA/interactive-chart
12APHA closing price on December 10, 2020.
14$3,000 x 12.68 = $38,040 + $3,000 = $41,040.
15VFF closed at $0.57 in January 2016.
16Close price on December 10, 2020.
17Close price on December 10, 2020.