United Center Becomes First Major US Arena to Sell Hemp THC Drinks

Chicago's United Center will begin selling hemp-derived THC beverages at Bulls, Blackhawks games and concerts under a multiyear partnership with Chicago-based Rythm Inc., making it the first major professional sports venue in the United States to offer intoxicating hemp products.

The deal marks a significant expansion of hemp-derived THC products into mainstream entertainment venues. The 23,500-seat arena, home to the NBA's Chicago Bulls and NHL's Chicago Blackhawks, will offer the beverages starting with upcoming events this season.

Rythm Inc., a cannabis company operating in Illinois' regulated marijuana market, is leveraging the 2018 Farm Bill's hemp provisions to sell THC beverages derived from hemp rather than marijuana. The products contain delta-9 THC—the same intoxicating compound found in marijuana—but extracted from hemp plants containing less than 0.3% THC by dry weight.

The Regulatory Gray Area

The partnership highlights the growing tension between state-regulated cannabis markets and the largely unregulated hemp-derived THC industry. Illinois legalized adult-use marijuana in 2020, creating a tightly controlled market with strict testing requirements and limited licenses. But hemp-derived products containing THC have proliferated in the state with minimal oversight.

"We're seeing venues and retailers embrace hemp-derived products because they exist in a regulatory gray area," said one Illinois cannabis attorney who requested anonymity to speak candidly about competitors. "These products are technically legal under federal law, even though they produce similar effects to marijuana."

The Food and Drug Administration has yet to establish clear regulations for intoxicating hemp products, leaving enforcement largely to individual states. Illinois has not moved to restrict hemp-derived THC beverages, unlike some states that have banned or limited their sale.

Market Implications

The United Center deal could set a precedent for other professional sports venues nationwide. Major League Baseball, the NBA, and NHL have all relaxed their marijuana policies in recent years, but this represents the first partnership for hemp THC sales at a major arena.

Hemp-derived THC beverages have become one of the fastest-growing segments in the cannabis-adjacent market, with sales projected to reach $3 billion by 2025 according to industry analysts. The products typically contain 5-10mg of THC per serving, comparable to many marijuana-infused drinks in regulated markets.

Rythm Inc.'s move into hemp beverages comes as traditional cannabis companies face pressure from cheaper, less-regulated hemp products. Several multistate operators have launched hemp-derived product lines to compete in markets where they lack marijuana licenses or to reach consumers in states without legal cannabis.

What Comes Next

The partnership's duration and financial terms were not disclosed. United Center representatives did not immediately respond to questions about consumption policies, ID verification procedures, or whether the beverages would be available throughout the arena or in designated areas.

The deal also raises questions about how other venues will respond. Madison Square Garden, Staples Center, and other major arenas have yet to announce similar partnerships, though several have allowed cannabis sponsorships and advertising in recent years.

Federal regulators may eventually step in to clarify the legal status of intoxicating hemp products. The FDA has signaled its intent to regulate hemp-derived CBD and THC products but has not issued final rules. Congress is also considering legislation that would explicitly address hemp-derived intoxicants, though no bills have advanced significantly.

For now, the United Center's hemp beverage sales represent the latest example of how the 2018 Farm Bill's hemp provisions have created a parallel intoxicating products market operating alongside—and sometimes in competition with—state-regulated cannabis programs.

---

This article is based on original reporting by mjbizdaily.com.