cannabidiol

Cannabidiol (CBD) is a naturally occurring compound found in cannabis plants. It is one of the more widely studied cannabinoids, along with tetrahydrocannabinol (THC). Unlike THC, CBD is not psychoactive and does not cause intoxication or a “high.” The Agriculture Improvement Act of 2018 (the 2018 Farm Bill) removed hemp-derived CBD from the federal list of controlled substances by amending the Controlled Substances Act. This change lifted federal restrictions on the cultivation, sale, possession, and interstate transport of hemp-derived products. Under the statute, “hemp” is defined as any part of the Cannabis sativa L. plant, including seeds and derivatives, with a delta-9 THC concentration of not more than 0.3 percent on a dry weight basis.

[Last reviewed in September of 2025 by the Wex Definitions Team] 

Keywords

• MARIJUANA

Wex

• COMMERCE
• commercial activities
• food & drug
• commercial law
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