SHF Holdings, Inc.

Safe Harbor Financial, operating under the legal entity SHF Holdings, Inc., is a fintech platform headquartered in Golden, Colorado. Its core mission is to provide comprehensive banking, lending, and financial services tailored to the regulated cannabis and hemp industries, aiming to normalize financial access for these businesses.

The company offers a broad suite of financial solutions, including compliant banking services facilitated through partner financial institutions like Partner Colorado Credit Union and Pacific Valley Bank. Its expanded lending platform provides commercial real estate financing, working capital, term loans, equipment financing, and various other capital solutions for cannabis-related businesses. Additionally, Safe Harbor provides payments, financial operations support, compliance, consulting, and strategic advisory services, alongside a cannabis-focused 401(k) plan.

Safe Harbor Financial is publicly traded on NASDAQ under the ticker symbol SHFS. Terry Mendez serves as the Chief Executive Officer, having assumed the role in February 2025. The company recently expanded its lending platform in April 2026 and launched a comprehensive financial solutions platform in November 2025. In late 2025, it underwent a significant recapitalization, eliminating substantial debt and regaining compliance with Nasdaq's equity requirements, reporting a 12% sequential revenue increase in Q4 2025. Since its inception, Safe Harbor has processed over $35 billion in cannabis-related depository funds across 41 states and territories.

Latest updates

Safe Harbor Broadens Cannabis Lending Platform with Diverse Financing Options

Event summary

  • Safe Harbor Financial Services (SHFS) expanded its lending platform to offer a wider range of financing solutions for cannabis-related businesses (CRBs).
  • New financing options include commercial real estate, working capital, equipment financing, revenue-based lending, and business acquisition support.
  • Safe Harbor connects borrowers with private credit funds, family offices, and institutional partners to facilitate financing.
  • The expansion follows the recent launch of Safe Harbor’s cannabis-focused 401(k) plan, part of a broader strategy to provide comprehensive financial services.

The big picture

Safe Harbor’s expansion addresses a critical need within the cannabis industry: access to capital. The company’s model, connecting borrowers with specialized funding sources, positions it to capitalize on the continued growth of the sector, but also exposes it to the inherent risks of a federally-illegal industry. The $35 billion in cannabis-related depository funds processed to date highlights the scale of the opportunity, but also the operational challenges.

What we're watching

Capital Deployment
The effectiveness of Safe Harbor’s expanded platform will depend on its ability to deploy capital efficiently and manage credit risk within the complex regulatory environment of the cannabis industry.
Regulatory Landscape
Changes in federal or state cannabis regulations could significantly impact Safe Harbor’s lending activities and the overall demand for its services.
Competitive Pressure
Increased competition from other fintech platforms and traditional lenders entering the cannabis space may put pressure on Safe Harbor’s margins and market share.

Federal Cannabis Rescheduling Removes 280E Burden for Medical Operators

Event summary

  • The U.S. DOJ moved state-licensed medical marijuana and FDA-approved cannabis products from Schedule I to Schedule III of the Controlled Substances Act, effective April 22, 2026.
  • The rescheduling removes Section 280E’s tax burden, which previously resulted in effective tax rates of 70% or higher for qualifying medical cannabis operators.
  • The DOJ has announced an expedited administrative hearing beginning June 29, 2026, to consider broader rescheduling of all marijuana to Schedule III.
  • Safe Harbor Financial has facilitated over $35.4 billion in cannabis-related transactions across 41 states and territories.

The big picture

The rescheduling of medical cannabis represents a significant, albeit limited, shift in federal cannabis policy. While it doesn't legalize adult-use, the removal of Section 280E provides a substantial financial boost to qualifying operators, potentially improving their creditworthiness and attracting more traditional banking services. Safe Harbor, a key enabler of compliant cannabis banking, is positioned to benefit from this shift, but its long-term success hinges on further regulatory developments and broader industry adoption.

What we're watching

Regulatory Momentum
The outcome of the expedited administrative hearing in July will determine whether adult-use operators receive similar federal treatment, significantly impacting Safe Harbor’s potential market.
Financial Adoption
The pace at which financial institutions previously hesitant to serve the cannabis industry enter the market will dictate the demand for Safe Harbor’s compliance and banking platform.
Operational Segregation
How effectively operators with both medical and adult-use licenses can segregate their operations to comply with the new regulations will influence Safe Harbor’s managed services demand.
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