Applied DNA Sciences, Inc. announced the signing of an initial two-year, $1 million contract with TheraCann International Benchmark Corporation, ('TheraCann') for the integration of the company’s SigNature® molecular tagging and testing technology into TheraCann’s blockchain-based, seed-to-sale Enterprise Resource Platform (ERP) for legal cannabis operations. Under the terms of the contract, the companies have entered into a development and marketing agreement whereby Applied DNA will develop the technologies necessary to tag and authenticate legal cannabis throughout the supply chain and seamlessly integrate tagging and authentication data into TheraCann’s ERP and Blockchain platform. Applied DNA will receive an initial payment under its contract with TheraCann in the current quarter. The rapid global adoption of legal cannabis legislation has accelerated the need to secure and truly validate cannabis supply chains from seed-to-sale. Current systems, many of which rely on RFID or bar code technologies, are capable of accurately tacking cannabis supply chains through the cultivation stage, but cannot forensically track cannabis and/or cannabis derivative products back to a specific source once the physical tags and packaging are removed. This gap allows the opportunity for illegal diversion and the introduction of illegally-sourced cannabis into legal supply chains. Combining molecular tagging with digital tracking enhances existing seed to sale systems to a new level of capability and compliance with state, and international laws and guidelines. In response to the known limitations of current seed-to-sale systems, the State of Colorado this month introduced a new bill (SB 18-029) that mandates the addition of physical-chemical identifiers (PCIDs), of which Applied DNA’s molecular tags comply, to all legal cannabis plants grown in the state for the purposes of tracking cannabis and cannabis derivative products back to their origin. As the industry matures, next generation platforms, such as the one under development by Applied DNA and TheraCann, will support collaboration between regulators, law enforcement and producers in shaping the future of the cannabis industry.