As of August–September 2025, a handful of U.S. states are clearly outpacing the pack on sales, momentum, and market design. Below are four that stand out on recent, verifiable metrics—plus the policy and market choices that help explain their success.

1) Illinois: Big Sales, Bigger Catchment

Why it’s thriving: Chicago’s hub-and-spoke economy, tourism, and proximity to prohibition/limited markets (IN, IA, WI, MO) keep non-resident demand unusually high.

The numbers

• Illinois posted more than $2.0 billion in total cannabis sales in 2024, including $1.722 billion adult-use and $285+ million medical, and $490+ million in tax revenue. Out-of-state buyers accounted for $385+ million in 2024 adult-use purchases (announced Feb 7, 2025). MORE TO READ ABOUT: Jacksonville Journal-Courier
• 2025 is off to a strong start: Jan–May 2025 adult-use sales totaled $714.6 million, with detailed in-state vs. out-of-state splits in the regulator’s running report (updated Aug 7, 2025). DOCUMENT HERE: IDFPR

What’s working

• Cross-border demand: A large share of sales comes from out-of-state consumers.
• Capacity & diversity: Hundreds of licensed shops (including social-equity licensees) broaden access and product choice.

2) New Jersey: Dense, Disciplined, and Still Climbing

Why it’s thriving: A dense, affluent consumer base; constrained licensing (relative to demand); adjacency to NYC and Philadelphia; and step-wise market expansion.

The numbers

• 2024 combined medical + adult-use sales topped $1 billion (Dec 23, 2024), up nearly 25% year-over-year. OFFICIAL SITE: NJ.gov
• Q1 2025 sales totaled $276.96 million (264.0 M adult-use + 13.0 M medical), with $16.3 M in recreational tax receipts and $2.68 M in Social Equity Excise Fees (NJ CRC, Q1 2025 report). OFFICIAL DOCUMENT: NJ.gov

What’s working

• Population density & purchasing power support high throughput per store.
• Measured licensing has preserved price/margin discipline while the supply chain scales.

3) Missouri: Fast-Mover With Nation-Leading Pace

Why it’s thriving: Rapid adult-use rollout (Feb 2023), moderate taxes, and practical rules created an accessible, price-competitive market that draws steady in-state demand and regional shoppers.

The numbers

• 2024 sales reached ~$1.46 billion, making Missouri the 5th-largest adult-use market by early 2025—surpassing older programs like Colorado and Arizona (reported Jan 15, 2025). READ MORE HERE: Cannabis Business Times
• Mid-2025 is tracking ahead of last year: June 2025 sales were ~$125.1 M and July 2025 ~$129.7 M, bringing 2025 YTD to ~$883 M by July (reports July–Aug 2025). MORE TO READ: Greenway Magazine, The Marijuana Herald
• Official dashboards from the Missouri Division of Cannabis Regulation corroborate monthly totals and cumulative series. MORE TO READ ABOUT: Missouri Department of Health

What’s working

• Speed to market and clear, statewide rules reduced friction for retailers and consumers.
• Tax/price balance kept legal products competitive, supporting high legal-channel capture.

4) Maryland: Lightning Growth, Now With a Tax-Policy Twist

Why it’s thriving: Seamless conversion of medical dispensaries at adult-use launch (July 1, 2023), a straightforward tax model, and the DC–Baltimore metro base produced strong, steady sales from day one.

The numbers

• In the first 12 months of adult-use (to July 2024), Maryland logged $1.1+ billion in sales; June 2024 alone topped $95 million (reported July 3, 2024).
• 2025 momentum: The Comptroller’s quarterly reports show $17.5 M in adult-use sales-tax remitted in Q1 2025 and $18.37 M in Q2 2025 (reflecting strong retail volume). DOCUMENT: Maryland Comptroller
• A $100.0 M month in July 2025—79 M adult-use and 21 M medical—signals continued demand (posted Aug 29, 2025, citing MCA data). READ MORE: The Marijuana Herald
• Tax update: Maryland’s adult-use sales & use tax increased from 9% to 12% effective July 1, 2025; early press notes the change alongside other fiscal measures. READ MORE: Maryland Matters, CBS News

What’s working

• Early store conversions avoided the day-one bottlenecks seen elsewhere, quickly scaling access. MORE ABOUT: Axios
• Clear tax/administration (centralized via Comptroller; formerly 9%, now 12%) simplified compliance and allocations to social programs.

Quick comparison (2024 results & 2025 signals)

State	2024 Total Sales	2025 Trajectory (through mid-year)	Why it’s Winning
Illinois	$2.0B+ total; $1.722B adult-use (2024)	$714.6M adult-use Jan–May 2025	Cross-border demand; robust retail network; equity pipeline.
New Jersey	$1.0B+ total (2024)	$277.0M in Q1 2025	Dense demand centers; measured licensing; proximity to NYC/Philly.
Missouri	$1.46B (2024)	$883M YTD by July 2025; $125–130M monthly	Rapid rollout; competitive pricing; accessible statewide framework.
Maryland	$1.1B+ in first year (to Jul 2024)	17.5M (Q1) + 18.37M (Q2) tax remitted; $100M July 2025	Early conversions; simple tax regime (now 12%); metro demand.

Why these four—and not the usual giant?

California remains the nation’s largest market by sheer dollar volume, but its legal sector has struggled with falling taxable sales, an illicit-market drag, and a July 1, 2025 excise-tax increase (15%→19%)—conditions that complicate the “thriving” label even amid massive scale. LEARN MORE ABOUT HERE: Department of Cannabis Control, SFGATE, CDTFA

The common threads

• Demand density or cross-border pull. Illinois and New Jersey capture large, affluent populations (plus tourists and commuters), while Missouri and Maryland benefit from regional spillovers and easy access.
• Operational readiness. Missouri’s fast launch and Maryland’s medical-to-adult-use conversions minimized early friction.
• Policy choices that match market maturity. Measured licensing (NJ), wide retailer networks (IL), moderate taxes/competitive pricing (MO), and clear remittance/allocations (MD) help sustain legal-channel capture.

Bottom line: In 2025, the states thriving most combine policy clarity with market fundamentals—dense demand, accessible stores, competitive prices, and steady rulemaking. Expect these markets to keep setting the pace as others recalibrate taxes, licensing, and enforcement to capture more of the legal-channel opportunity.