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A few weeks ago, the founder and CEO of savory California edibles brand Tsumo Snacks said she was leaving her company and the licensed weed market. “What I truly want to do is work in a growth market,” Caroline Yeh posted on LinkedIn. And “Without a doubt,” the growth in cannabis, is in hemp-derived cannabinoids.

Intoxicating hemp-derived cannabinoids quickly became a significant industry. They will do $28B in national retail sales this year, according to a new report from Whitney Economics, roughly the same as the licensed cannabis market. The companies manufacturing and selling these hemp-derived intoxicants are largely unaffected by the challenges faced by the federally illegal cannabis industry. They can access the banking system, generally accept credit card payments and ship product direct to consumers across state lines, cutting out dispensaries. They are not subject to cannabiz-hated tax rule 280E.

This week, as much of the licensed cannabiz limps into the annual MJBizCon confab in Las Vegas, look for the hemp industry to have a swaggering presence. And they aren’t in a mood to apologize for their good fortune. “It’s kind of absurd to characterize the situation as unfair competition,” said Jody McGinness, executive director of the Hemp Industries Association. While the cannabis industry sells a federally-illegal product, “Hemp operators waited until it was legal.”

Hemp and cannabis are the same plant. Can they get along?

It’s complicated…