Codebase Ventures Inc (CSE:CODE) (OTCMKTS:BKLLF), a venture capital company investing in early-stage technology and cannabis companies, said Wednesday that its wholly-owned subsidiary Titan Shrooms and Psychedelics Inc, saw a “rapidly changing” environment for natural psychedelics in the United States.
For most, psychedelic drugs conjure up images of the 1960's, hippies tripping out on LSD or magic mushrooms. However, the company said early studies are finding that psilocybin – the active agent in magic mushrooms could treat addiction, depression, anxiety and mental health conditions like post-traumatic stress disorder (PTSD).
Titan Shrooms cited a study in the Nature journal, which showed that 47% of patients with treatment-resistant depression who received psilocybin were showing positive outcomes five weeks post-treatment.
READ: Codebase's shrooms subsidiary forms joint venture in psychedelic medicine with Mycology Ventures
The firm also named CBS’s probing 60 Minutes program, which recently drilled deep into how cancer patients with painful anxiety over their illness have found more peaceful acceptance after participating in a study that involved intensive therapy and being given a drug that was once a symbol of the 60's counterculture.
On the fast track
In addition, the company said the US Food and Drug Administration has granted "breakthrough therapy" status to both the Usona Institute and Compass Pathways, allowing clinical trials to advance. According to Rolling Stone magazine, for the first time in US history, a psychedelic drug is on the fast track to getting approved for treating depression by the federal government. Last October, Compass Pathways, a UK-based company that develops mental health treatments, said the FDA granted it breakthrough therapy designation for its trials into psilocybin, the psychoactive ingredient in psychedelic mushrooms.
As a result, Titan Shrooms noted that “stigmas are being reduced” and cities and regions are moving quickly to decriminalize natural psychedelics such as psilocybin in Santa Cruz and Oakland in California, and Denver in Colorado.
It also highlighted pending measures underway in other places like Chicago, Oregon, Vermont, and Michigan for the decriminalization of magic mushrooms.
Investing in the psychedelic healthcare sector
Codebase CEO George Tsafalas said that although in early stages, the “rapidly developing” field is being validated by the medical establishment, legislative bodies and patients who are seeing benefits.
"Titan Shrooms and Psychedelics is working to add to its portfolio so that Code shareholders can benefit from the continued acceptance and growth in this sector," said Tsafalas.
Titan Shrooms and Psychedelics made its first investment in Netherlands-based Red Light Holland Corp., which focuses on the production, growth and sales of truffle-based products.
The company has also inked a letter of intent to form a joint venture with arms-length mushroom biotech company Mycology Ventures. Titan will hold a 70% interest in the venture, which will include yet unspecified amounts of cash and stock.
Codebase Ventures, which consists of a small, hands-on team of financial and technology experts, invests in emerging technologies. It makes strategic investments in ambitious founders who aim to upend large markets.
Contact the author Uttara Choudhury at [email protected]
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