How to identify CBD Scams
CBD Scams to Watch Out For
An industry as new as CBD typically means the US has yet to establish a comprehensive list of regulations by the USDA and FDA. This makes it easy for people/businesses to scam customers claiming to be “CBD Companies”. Unfortunately, with an industry being as nuanced as CBD, it presents various opportunities for scammers to appear credible, vetted or even innovative i.e. CBD Hand Sanitizer. We want to go over a couple of common scams and tips for detecting them in the future.
First thing to know, CBD “companies” can say many things without regulation.
That said it is important to keep in mind certain terms while you are shopping for CBD products.
The Purest CBD
o CBD in its purest form is known as Isolate, needs to be mixed/diluted with a carrier oil (Example: MCT Oil) to become a Tincture or a Vape Oil.
o This term is commonly used to make you believe that the product has a high CBD content when most likely it does not.
- “All-Natural Hemp”
o The term “natural” is not regulated by the USDA and is commonly used for the customer to believe that the product is organically certified.
- “Nano CBD”
o The definition of Nano means “small”
o Companies are using this term to make their CBD seem as if it has a higher absorption percentage than “normal” CBD because it has smaller CBD molecules.
o Realistically, companies are diluting their CBD with more carrier oil and stating that is “Nano CBD”.
Creating a Proper Nano CBD is possible, but it requires adding chemicals to the product such as ethanol.
- MLMs (Multi-Level Marketing) also known as pyramid schemes are becoming common. As seen in various industries, this business-style scheme should be considered with extreme caution and background knowledge of the products, broker and policy.
- Free Sample Scams. Companies stating that they will send you a free sample “just pay for shipping”, however, within the fine print states that you will be enrolling into a monthly fee.
- “Hemp Oil Extract” as an ingredient to avoid stating what is or isn’t in the product.
Essentially, without the proper regulations in place it makes it easy for scammers to take advantage of the market and the responsibility falls to the consumer to be well-informed and exercise the appropriate amount of skepticism.
Quality CBD manufacturers will be able to answer any questions you may have on their product in detail. Do not let the novelty of the product be intimidating or allow the company to create any barrier of communicating the ingredients to you.
How can you tell if a CBD is credible? Their product and marketing should contain the following:
- A reputable and branded company.
- A company that does most of its production in-house (farm, extraction facility, etc.).
- A fair-quality price (If the price is a little higher than other companies, chances are the quality is higher too).
- A company that is transparent and happy to educate their customers on the product and what they do to make it.
Please feel to reach out to us with any questions you may have on a product from any brand. All of us in the CBD community can help identify scams and point you in a direction of a product that will meet your needs.