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　　Pot stocks surged at the open of trading on Thursday after the House of Representatives passed the Secure and Fair Enforcement Act the prior day. Most major companies erased gains in early trading after the initial surge.
　　 Associated PressThe passage of the so-calLED SAFE Act is a major step forward for the industry. It gives protections to banks working with the industry. Currently, banks face legal issues because while is legal in some states, it is not legal on a federal level.
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　　The SAFE act would also help companies access financial services and help solve industry problems like paying taxes in cash.
　　"Although the bill still needs to pass the Senate, SAFE Banking's victory in the House is monumental," Charlie Wilson, chief revenue officer at Green Bits told Markets Insider in an email.
　　It represents a critical step forward for the industry, he said. "By allowing businesses to access financial services, the SAFE Banking Act will create a safer, more transparent, and more efficient marketplace."
　　Read more: A $490 billion investing firm is worried that record corporate profitability is unsustainable. Here's its how it's preparing for an 'inevitable' collapse.
　　Here's how much major pot stocks gained early Thursday:
　　Aurora Cannabis: up as much as 3.4%, trading 1.3% lower as of 10:15 a.m. ET Canopy Growth: up as much as 2.9%, now trading 1.2% lower Tilray: up as much as 2.4%, now trading 1.1% lower Aphria: up as much as 3.2%, now trading 0.4% lower Cronos: up as much as 4.2%, now trading 2% lowerThe SAFE Act was written by Democratic Rep. Ed Perlmutter of Colorado. After the vote in the House, it goes next to the Senate, where it faces more opposition from Republicans on its road to becoming law.
　　Still, at a key senate hearing on banking reform in July, the Republican chair of the Senate Banking Committee, Sen. Mike Crapo of Idaho, gave no indication that the SAFE Act was in jeopardy.
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