American Medical Association approves CPT code for psychedelic therapies

• Although none are yet approved by the US FDA, the American Medical Association has approved a Current Procedural Terminology (CPT) III code for psychedelic treatments.
• The code allows healthcare providers to seek reimbursement for administering such therapies.
• Complete details on the CPT code are expected in July, with it coming into effect on Jan. 1, 2024 once published.
• The new code came into being due to efforts pursued by COMPASS Pathways (NASDAQ:CMPS) and MAPS Public Benefit Corporation, which are both working on psychedelic-based therapies.
• In phase 3, COMPASS (CMPS) is evaluating a psilocybin therapy for treatment-resistant depression. MAPS has finished two phase 3 trials for MDMA-assisted therapy for post-traumatic stress disorder.
• Other companies in the psychedelic treatments space include Atai Life Sciences (ATAI), MindMed (MNMD), and Cybin (CYBN).

More on psychedelic therapies

• Interest in "shroom stocks" rises as investors see potential of psychedelics as therapy

• COMPASS Pathways: Cash Burn Rate Overshadows Positive Trial Progress

• Compass psilocybin therapy shows promise in depression, bipolar disorder in trials

• Atai spikes 12% as dosing begins in Phase 1 trial for depression candidate