Nevada’s rigid legal separation between the cannabis and gaming sectors is acting as a massive weight on the state’s economy, according to a recent report from the University of Nevada, Las Vegas (UNLV) Cannabis Policy Institute.

According to data from a University of Nevada study, 70% of US adults support allowing cannabis consumption spaces in casinos.

Experts across gaming, cannabis policy, and state government say expanding access to legal, regulated cannabis in Las Vegas could help bolster tourism and support the broader gaming industry, particularly as visitation trends soften and competition for consumer spending intensifies.

As of two weeks ago, marijuana belonged to the same controlled-substance classification as heroin and LSD. But on April 23, the U.S. Department of Justice reclassified medicinal and FDA-approved cannabis from Schedule I to Schedule III, the group that also includes lower-risk, less-abused drugs such as ketamine and steroids. What does this mean for Nevada’s commercial marijuana industry? That part remains unclear, at least in the short term.

The final rule from the Office of the Attorney General places all drug products that contain marijuana and are federally approved in Schedule III of the Controlled Substances Act. The move shifts cannabis from Schedule I, alongside substances like heroin and LSD, to Schedule III, with the likes of codeine and ketamine.

Saying Las Vegas needs to use every tool it can to attract tourists and offer experiences they want during a downturn in visitation, the CEO of Fifth Street Gaming continued his push for a marriage between the casino and cannabis industries.