Yaqeen Blog

In a move that has sent shockwaves through the American legal and medical landscapes, President Donald Trump has officially signed an executive order to reclassify cannabis. This long-anticipated directive marks the most significant shift in U.S. drug policy since the enactment of the Controlled Substances Act in 1970.

By directing the U.S. Attorney General to move cannabis from Schedule I to Schedule III, the administration is effectively ending the federal government’s decade-long stance that cannabis has "no currently accepted medical use."

The Big Shift: From Schedule I to Schedule III

To understand the magnitude of this change, one must look at how the Drug Enforcement Administration (DEA) categorizes substances.

• Schedule I (Previous Status): Reserved for drugs with a high potential for abuse and zero accepted medical value (e.g., Heroin, LSD).

• Schedule III (New Status): Categorized alongside substances like Tylenol with codeine, ketamine, and anabolic steroids. These are drugs with a moderate-to-low potential for physical and psychological dependence.

What Changes—and What Doesn't?

While many are hailing this as "legalization," the reality is more nuanced. The executive order is a strategic recalibration of federal priorities rather than a total repeal of prohibition.

1. The Legal Reality

Cannabis remains illegal at the federal level. The executive order does not override state laws or grant a "free pass" for recreational use in states where it hasn't been legalized. However, the reclassification significantly reduces the federal burden on businesses and researchers.

2. The Research Boom

As a Schedule I drug, conducting clinical trials on cannabis was a bureaucratic nightmare. As a Schedule III drug:

• Medical Research: Scientists can now more easily study the potential benefits for epilepsy, chronic pain, and PTSD.

• FDA Oversight: This move paves the way for the FDA to eventually regulate cannabis-derived medicines through standardized pharmaceutical channels.

3. The Economic Impact: Tax Code 280E

For the cannabis industry, the most immediate "victory" is financial. Under Section 280E of the IRS code, businesses dealing with Schedule I or II substances cannot deduct ordinary business expenses from their taxes. Reclassifying to Schedule III effectively eliminates the 280E tax penalty, potentially saving the industry billions and allowing small businesses to thrive.

Strategic Timing and Political Implications

The timing of this order, in late 2025, is viewed by political analysts as a masterstroke of "populist pragmatism." By softening the federal stance, the administration is appealing to:

• Veterans: Who have long lobbied for legal access to cannabis for trauma and pain management.

• States' Rights Advocates: Giving states more autonomy to manage their own local markets without the threat of federal interference.

• The Business Sector: Unlocking capital and banking services for an industry previously stuck in a "cash-only" limbo.

Looking Ahead: Is a Full Repeal Next?

While reclassification is a historic milestone, it leaves the "States vs. Federal" conflict in a grey area. Advocates argue that Schedule III is merely a stepping stone toward full descheduling—treating cannabis more like alcohol or tobacco.

For now, the U.S. enters a new era where the "forbidden plant" is officially recognized for its medical potential by the highest office in the land.

Do you believe reclassifying cannabis to Schedule III is enough, or should the federal government move toward full descheduling and legalization?

🔗 Reliable Sources & Further Reading:

▪️ The White House: Executive Order on Federal Cannabis Reclassification

▪️ DEA.gov: Explanation of Controlled Substance Schedules

▪️ Forbes: How Schedule III Reclassification Will Change the 280E Tax Landscape

▪️ Reuters: US Cannabis Stocks Surge Following Trump Executive Order

▪️ NORML: Tracking State vs. Federal Cannabis Laws in 2026

In a move that has blindsided both Silicon Valley and Wall Street, the intersection of conservative media and cutting-edge physics has arrived. On Thursday, December 18, 2025, Trump Media & Technology Group (TMTG)—the powerhouse behind Truth Social—announced a definitive merger agreement with TAE Technologies, a California-based fusion energy pioneer backed by Google and Goldman Sachs.

The deal, valued at a staggering $6 billion (£4.4 billion), aims to transition TMTG from a social media firm into a global leader in the race for "the holy grail of energy."

The Deal: A 50/50 Power Play

This is not a traditional acquisition, but a strategic "merger of equals." The combined entity is set to become one of the world's first publicly traded fusion companies, listed under a new ticker symbol expected to debut in mid-2026.

Key Transaction Data:

• Valuation: $6 Billion (Combined Enterprise Value).

• Ownership Split: 50% TMTG shareholders / 50% TAE Technologies shareholders.

• Timeline: Regulatory and shareholder approvals are expected to be finalized by Q2 2026.

• Cash Injection: The merger is expected to unlock billions in liquidity to accelerate TAE’s "Copernicus" and "Da Vinci" reactor platforms.

What is Fusion Energy?

Unlike current nuclear power plants that use fission (splitting atoms), fusion is the process that powers the sun. It involves fusing light atoms together to release vast amounts of heat.

Why it matters:

• Zero Carbon: No greenhouse gas emissions.

• Minimal Waste: Unlike traditional nuclear power, fusion produces very little long-lived radioactive waste.

• Safety: There is no risk of a "meltdown"; if the reaction is interrupted, the plasma simply cools and stops.

[Image showing a comparison between Nuclear Fission vs. Nuclear Fusion technology]

The Goal: A "Utility-Scale" Plant by 2026

TAE Technologies has spent decades developing a unique approach using non-radioactive hydrogen-boron (p-B11) fuel. This fuel is abundant and safe, though it requires significantly higher temperatures to ignite than other fusion methods.

According to the joint statement, the newly merged company plans to:

1. Break Ground: Construction on the world’s first utility-scale fusion power plant is scheduled to begin in 2026.

2. Commercialize Heat: Beyond electricity, the company aims to sell high-grade industrial heat for manufacturing and desalination.

3. Scale Globally: The vision includes a fleet of modular fusion plants deployed worldwide by the 2030s.

Why the Merger? Political Capital Meets Deep Tech

Market analysts are already debating the logic behind a social media company merging with a fusion lab. However, the strategic synergy is clearer than it first appears:

• Energy Sovereignty: For TMTG, this aligns with a "Make America Great Again" energy policy—focusing on American-led technological dominance and energy independence.

• The "Google" Connection: TAE has long utilized Google’s machine learning to optimize its plasma physics. The merger brings Truth Social’s massive retail investor base together with Google’s high-tech algorithmic support.

• Data Centers: As AI demand sky-rockets, TMTG’s future data centers will require massive, clean energy—a need that a "house" fusion plant could eventually meet.

Market Outlook and Regulatory Hurdles

While the excitement is high, the path to mid-2026 is fraught with challenges. The Securities and Exchange Commission (SEC) is expected to scrutinize the valuation and the pivot in business model. Furthermore, fusion remains a "high-risk, high-reward" frontier that has yet to achieve sustained commercial net-energy gain.

However, with TMTG's unique ability to mobilize retail capital and TAE's technical pedigree, this merger may represent the most aggressive move yet to bring the "power of the stars" to the public markets.

Do you think this merger is a brilliant move for energy independence, or is it too early for fusion to go public on this scale?

🔗 Reliable Sources & Further Reading:

▪️ TMTG Official: Joint Statement on TAE Technologies Merger Plans

▪️ TAE Technologies: The Science of Hydrogen-Boron Fusion

▪️ Reuters: Trump Media Pivots to Energy in $6bn Fusion Deal

▪️ CNBC: Why Google-Backed TAE Technologies Chose a Public Merger

▪️ Financial Times: Nuclear Fusion Market Trends and 2026 Forecasts