Last week, a U.S. Food and Drug Administration (FDA) advisory panel declined to approve MDMA as a treatment for post-traumatic stress disorder (PTSD), driving shares of Mind Medicine (MNMD) lower. The ruling was a setback for advocates of the drug, as they believe psychedelics such as MDMA will be effective in treating mental disorders.
It was the first time the FDA considered a psychedelic as a medical treatment, and panel members raised concerns about the data submitted by Lykos Pharma, a drug manufacturer. According to the advisory panel, the data was flawed due to poor study design and misconduct allegations.
