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Weedmaps no longer doing business with black market pot shops

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LANSING, Mich. — The state and cities are having a hard time shutting down unlicensed marijuana shops in Michigan, however, they are now getting a hand from a website and app that helps people find pot shops.

The app, Weedmaps, lets users find pot shops anywhere in the country.

And until last week, the operators of the app didn't worry about whether or not the shops were licensed.

Now that's all changed, and legitimate marijuana business owners are pretty happy.

"We want to see the black market go away as much as possible,” said Josh Hovey, a spokesperson for the Michigan Cannabis Industry Association.

The decision to take unlicensed shops off Weedmaps probably won't snuff out the black market in Michigan, but it should drive more medical marijuana customers to businesses that are playing by the rules.

"Weedmaps is now doing their part to make sure that people that are using their platform are doing it responsibly, so it's a great step for the state," said Hovey.

Unlicensed shops aren't paying fees to the state or their local communities, which gives them an advantage.

"Anyone who's on Weedmaps, who's not licensed, is able to undercut the market," said Hovey.

Dimondale's, Green Peak Solutions is one of the largest provisioning centers in Michigan. Its owner says removing illegal shops from the app is also going to help make marijuana safer.

"The regulatory requirements do create some barriers for entry, but they were designed to make sure that the products that are sold are contaminant free and come from the state of Michigan," said Green Peak Co-Founder Joe Neller.

And it's going to make sure the people who do things the right way are more likely to get customers.

"It’s going to mean more jobs, more tax revenue, and more positive things for the state when it comes to legalization," said Hovey.

Those black market shops will be off of Weedmaps by the end of this year.

Licensed marijuana shops are expected to generate upwards of $90 million in tax revenue for the state in the next fiscal year.

Recreational marijuana is legal in Michigan, but no one has been licensed to sell it; that's going be a drawn-out process.

Only patients with a state-issued card can buy from medical marijuana shops.

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