San Francisco-based tech company Eaze launched a new online marketplace, Eaze Wellness, to ship hemp-derived CBD products to 41 states across the U.S. and the District of Columbia. CBD sales more than doubled among the company’s customers last year, Sheena Shiravi, Eaze’s director of consumer communications, told Fortune, highlighting a key business opportunity. This marks the company’s […]
While hemp might seem like a new phenomenon, its history dates back to the 1600s when growing hemp was encouraged for use in sails, ropes and clothing. However, in the 1900s, hemp was frowned upon by the government: in 1937, the Marijuana Tax Act banned hemp and marijuana cultivation. Yet, it wasn’t before long that industries realized the crop's benefits: In the 1940s, the government launched its “Hemp for Victory” program encouraging farmers to grow hemp to contribute to the war efforts and to be used in ropes, parachutes and other necessities. However, after the war, the laws went back to banning hemp. But in 2014 the U.S. Farm Bill was passed, allowing people to cultivate hemp as long as they registered and received a license.
As one might imagine, this kind of commission plan can lead some Hempworx affiliates to engage in unscrupulous behavior to make sales and earn greater rewards. If you’re on Facebook, you may have seen some of this bad behavior yourself. Examples of bad behavior range from aggressive, pushy sales tactics to making outright untrue statements. We have documented examples of affiliates telling people that Hempworx doesn’t contain THC so can’t lead to a positive drug test and that Hempworx can be legally shipped to Canada. Those claims are not true. There are also reports of Hempworx affiliates pushing people into enrolling in the auto-ship option. With auto-ship, products are automatically shipped out each month to the consumer – something that earns affiliates even greater rewards.
The heat is very much on CBD oil sellers these days as the FDA continues to crack down on companies selling “questionable” (to put it nicely) hemp-based products. In fact, since 2015 – when the FDA first issued warning letters to multiple CBD sellers – the industry has been forced to clean up its act, at least in terms of manufacturing operations and brand transparency.