🫠 This Week in Psychedelics

[5-min read] Arizona governor vetoes psilocybin services bill.

Welcome to Tricycle Day. We’re the psychedelics newsletter that knows progress is non-linear. Might as well enjoy the rollercoaster ride, right? 🎢

🧠 Hey, business brains: We’re dreaming up plans for an intimate, in-person mastermind event for psychedelic entrepreneurs. Help us validate the concept (or, you know, tell us it’s a terrible idea.)

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Here’s what we got this week.

  • Arizona passes MDMA workers’ comp bill 🧑‍🚒

  • Psychedelic REIT raises $25 million 🏗️

  • Best practices for psilocybin facilitators 💆

  • Sleep tight with Amanita muscaria 🍄

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MICRODOSES
🔬 Research

Non-psychedelic psychedelics: An extended-release ketamine pill appears to treat depression without the dissociative effects.
Pump it straight into my veins: Beckley Psytech dosed the first patient in its Phase 2a study of IV psilocin for major depressive disorder.
How official: Apex Labs has filed an Investigational New Drug application with the FDA for its take-home microdose psilocybin.
Get back out there: People who’ve taken LSD are more likely to suffer severe psychological distress after losing their jobs.
Like Lykos, but not: Researchers at Emory are exploring a shorter protocol of MDMA-assisted therapy for PTSD.

🏛️ Policy

Retirees only: California lawmakers revised their latest bill to limit psychedelic therapy to former first responders and veterans.
Decrim the world: Olympia, WA may be next up to decriminalize psilocybin and other entheogens.
Pay up: A DC Circuit court has upheld the IRS’s decision to deny an Iowa ayahuasca church tax-empt status.
A valiant effort: A federal court dismissed Panacea Plant Science’s case against the DEA over a proposed psychedelics ban.
Attention, out-of-state hustlers: Oregon’s residency requirement for psilocybin business owners ends in six months.

📈 Business

Bright idea: Numinus is acquiring MedBright AI and rebranding to Numinus Intelligence.
Your move, MDMA: Mindbloom is launching an at-home ketamine therapy program for PTSD.
Let them cook: Clearmind Medicine secured the rights to develop novel psychedelic compounds discovered at the Hebrew University of Jerusalem.
Put down the kool-aid: Why are critics calling Lykos a “therapy cult”?
Teamwork makes the dream work: Scottsdale Research Institute struck a deal with Alira Health to partner on Arizona’s whole-mushroom clinical trials.
Skip the trip: The companies attracting venture funding are the ones developing non-hallucinogenic psychedelics.

🫠 Just for fun

Vote for Petro: Colombia’s president proudly admits to drinking ayahuasca.
An upgrade from that one kid’s dorm room: The University of Colorado has launched an official Psychedelic Research Center.
Family fun: This illustrator translated Phish lore into a psychedelic children’s book.
Meme of the week: Actual footage of me using psychedelics to find my heart

THE PEAK EXPERIENCE
the state of psychedelic policy reform

You win some, you lose some

It’s a “good news and bad news” kinda day, Cyclists.

Arizona’s sending more mixed signals than your ex who took MDMA and texted you a brick. But don’t worry—we’ll give it to you straight.

First, the bummer: Gov. Katie Hobbs vetoed the bill to legalize psilocybin service centers. Despite her lawmakers’ excitement, she decided there wasn’t enough clinical evidence to justify rollout to the masses. (Then again, she couldn’t cough up the $400k/year for the program, either—so there’s that.)

On the bright side, Hobbs hasn’t totally ruled out psychedelics. She did sign a separate bill allowing workers' compensation for MDMA therapy. Mmhmm, you heard it here first, Cyclists. Arizona’s public safety officials could soon be rolling… straight to the therapist's office.

Here are the key details of the AZ bill signed into law this week.

  • 👮‍♂️ It’s not for everyone: The bill only applies to Arizona firefighters and peace officers suffering from PTSD.

  • ☝️ No double dipping: It covers one complete course of MDMA treatment.

  • 📝 Doctor’s orders: The treatment must be prescribed by a psychiatrist.

  • 📊 They’re still on a budget: The Industrial Commission of Arizona will have to submit annual cost reports every year, starting January 2026.

Now, here’s the catch. The coverage option only kicks in if the FDA approves MDMA therapy first. So for now, Arizona’s first responders are still on their own to stomach their work-induced trauma.

Guess that’s one more group who’s hanging on the feds’ final decision on MDMA-assisted therapy, expected this August. Unfortunately for all of us, the future’s about as clear as a Sonoran desert sandstorm. 🫠

AFTERGLOW
It's Free Real Estate

REIT between the lines

Keep an eye out for "Now Leasing" signs, Cyclists. Because the next tenant at your local strip mall may be more interested in dissolving egos than selling shoes. Last week, Healing Realty Trust (HRT)—a real estate investment company focused on laying the infrastructure for psychedelic medicine—scored the first slice of a $25 million funding pie. Now they’re using that money to snatch up clinics faster than you can say "inner healing intelligence."

The company's already dropped $8.1 million on three properties across Texas, Ohio, and Connecticut. But that’s nothing. HRT’s got another 700k square feet of healthcare real estate in their pipeline. As he puts it, cofounder Joe Caltabiano is betting big on the "overlooked" wellness property market. Using data from HealingMaps, HRT’s team is able to see where there’s high demand (and low supply) for psychedelic therapy, and then source properties accordingly.

We’re no real estate tycoons, but it sounds like a clever strategy to capitalize on a behavioral health industry projected to hit $136.6 billion by 2032. Once psychedelic therapy goes mainstream, clinicians are gonna need space. Let’s just hope they don’t get gouged on rent.

Standards of care

Psilocybin facilitation: if you’re winging it, you’re doing it wrong. Finally, a new study out of Oregon Health & Science University has established some ground rules for the wild west of state-regulated psychedelic services. The researchers rounded up 36 seasoned guides—not just enterprising Oregonians, but clinical trial practitioners, ceremonialists, and indigenous healers, too—to hash out what makes for a high-quality mushroom journey.

The result? A 22-point checklist covering everything from how to prep for a session (pro tip: discuss boundaries around touch) to what to do if things go south (like when your client tries to bolt mid-trip). Be warned, it’s more pragmatism than vibes. This is an academic paper after all. All the proposed measures are meant to improve the safety and effectiveness of psychedelic therapy before more states hop on the bandwagon.

Ideally, this new framework will give policymakers and program managers a way to control the quality of care and monitor outcomes. And it's not a moment too soon—with Colorado stepping up and other states eyeing the idea, some guidance on best practices is needed. If you’re gonna pry into the most private corners of people’s minds and hearts, the least you can do is come with a game plan.

CYCLISTS’ PICKS
UNTIL NEXT TIME

That’s all for today, Cyclists! Whenever you’re ready, here’s how we can help.

ONE CYCLIST’S REVIEW
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DISCLAIMER: This newsletter is for educational and informational purposes only and is not intended as a substitute for professional medical advice. The use, possession, and distribution of psychedelic drugs are illegal in most countries and may result in criminal prosecution.

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