Cannabis Advertising Laws Across the U.S.: What Businesses Need to Know

Cannabis advertising in the United States remains one of the most tightly regulated areas of marketing, shaped by federal restrictions, state-by-state legalization, and cautious digital platforms. Because no national standard exists, businesses must navigate a multilayered framework to stay compliant.

The Federal Foundation: Truth and Evidence Still Apply

Even though cannabis remains illegal under federal law, two federal agencies still influence advertising practices:

  • The Federal Trade Commission (FTC) enforces truth-in-advertising rules. Any marketing claim—especially around health effects—must be truthful, not misleading, and supported by reliable scientific evidence. This applies to both THC and CBD products.
  • The Food and Drug Administration (FDA) monitors health and therapeutic claims. The agency continues to issue warning letters to companies marketing cannabis or CBD as treatments for conditions like anxiety, cancer, or pain without proof from clinical trials.

In short, any claim that sounds like a medical benefit must be backed by strong evidence, regardless of state laws.

State-by-State Patchwork: Shared Goals, Different Details

The most significant cannabis advertising restrictions come from the states themselves. Although each state writes its own laws, several common themes appear across nearly all legal markets:

  • Protecting minors: Ads cannot target anyone under 21 and cannot use cartoons, bright kid-friendly packaging, or content appealing to youth.
  • Audience composition rules: Many states require that no more than 30% of the expected audience be under 21, mirroring alcohol advertising standards.
  • Location-based limits: Outdoor ads are frequently banned near schools, playgrounds, and similar youth-centered locations, often with 500–1,000 foot buffers.
  • Prohibited claims: States block unproven medical or therapeutic claims, reinforcing FTC and FDA rules.
  • Restrictions on depictions of use: Many states prohibit showing cannabis consumption in ads or marketing materials.

Colorado, California, and New York: Three Approaches

Colorado permits cannabis advertising but maintains strict audience verification and distance rules for outdoor ads. Many cities, including Denver, ban cannabis billboards altogether.

California bans ads appealing to minors, restricts health claims lacking scientific support, and requires businesses to target verified 21+ audiences. Social media promotion is allowed but must avoid depicting consumption or making unsupported claims.

New York enforces some of the toughest rules in the country. The state requires that up to 90% of the audience be over 21, tightly restricts billboards, and limits exterior signage to prevent broad public exposure.

Digital Advertising: Platform Policies Add Another Layer

Even if state law allows cannabis advertising, major digital platforms keep their own restrictions:

  • Google allows limited ads for hemp-derived CBD products in select states, only if they contain less than 0.3% THC and pass a certification process. Ads for THC products remain prohibited.
  • Meta (Facebook and Instagram) generally bans ads promoting cannabis sales. Some educational content and non-ingestible CBD promotions are permitted, but campaigns must be age-restricted and follow strict guidelines.

These policies make digital marketing one of the most challenging channels for cannabis businesses.

What This Means for Brands and Operators

To advertise responsibly and legally in the U.S., cannabis companies typically must:

  • Use age-gating, geo-fencing, and audience verification tools
  • Avoid all unproven medical or wellness claims
  • Keep visuals, packaging, and promotions clearly adult-oriented
  • Monitor both state regulations and platform policy updates regularly

The Bottom Line

Cannabis advertising across the U.S. is possible—but it requires discipline. The businesses that succeed are the ones that treat compliance not as a hurdle, but as a core part of their marketing strategy.

See who the biggest billboard companies in the U.S. are here.