Key Takeaways: Problematic Products and Regulatory Trends Driving Risk in 2026

Trending Problematic Products

Below are a sampling of products covered in the webinar that were drawn from our 2026 Top 10 Problematic Products Guide. Download the guide to read about all 10 products.

7-OH: The “Next Fentanyl”?

One of the most urgent product risks in 2026 is 7-hydroxymitragynine (7-OH), a concentrated alkaloid derived from the kratom plant. 7-OH is often marketed as “kratom extract,” “enhanced kratom,” or “synthetic kratom.” While kratom itself remains legal in some jurisdictions, 7-OH is significantly more potent and produces opioid-like effects, including dependency and overdose risks that can include death.

Regulators are paying attention:

• The FDA has publicly raised alarm about 7-OH.
• Several states — including Florida, New York, California, and Texas — have proposed or taken action against kratom and/or 7-OH products.
• The DEA is under pressure to consider scheduling 7-OH.

As regulators move against 7-OH, manufacturers are pivoting to kratom analogs and other chemically tweaked derivatives. This pattern mirrors prior waves of “legal highs” — products marketed as lawful alternatives to controlled substances until enforcement catches up.

Nitrous Oxide: From Whippets to Industrial-Scale Abuse

Nitrous oxide isn’t new but it has been gaining in popularity worldwide as a recreational high. Also called “laughing gas,” “whippets,” “hippy crack,” nitrous oxide is increasingly sold in large, sometimes flavored canisters marketed with a wink toward recreational use. 

Key risk factors include:

• Slang references with marketing suggesting recreational use
• Merchants selling accessories like balloons and “crackers”
• Sales into jurisdictions where nitrous oxide is regulated 

The regulatory challenge is that nitrous oxide has legitimate culinary and medical uses. Enforcement often hinges on intended use and marketing context. That nuance makes this category particularly difficult for onboarding and monitoring teams.

Illegal Vapes: Expanding Beyond Nicotine

Vapes remain a major enforcement priority, but the issue now extends far beyond flavored nicotine products. Recent DEA findings show that illegal vape supply chains increasingly include synthetic marijuana, synthetic cathinones, synthetic opioids, and even 7-OH.

For regulators, products with youth appeal — including candy flavors, bright packaging, and toy-like designs — remain the primary targets. When youth marketing intersects with controlled or unapproved substances, enforcement and reputational risk increase dramatically.

Unapproved Peptides: The “Research Use Only” Loophole

Peptides have exploded in popularity across weight loss, anti-aging, muscle growth, and “longevity” markets. But many peptides sold online are still unapproved for human consumption, creating a difficult landscape to navigate.

Potential red flags include:

• “Research Use Only” disclaimers
• Insufficient safeguards to prevent personal use
• Marketing and sales of unapproved peptides popular for human use

The FDA has made clear that disclaimers alone do not shield sellers from enforcement. Authorities evaluate the totality of circumstances — including marketing language, dosage instructions, and social media promotion.

Read our peptides guide for more information.

Regulatory Trends Increasing Enforcement Power

Beyond specific products, 2026 is being shaped by major regulatory shifts.

Expanded FDA OTC Authority

Under the CARES Act, the FDA can move more quickly against over-the-counter drugs that fall outside accepted monographs.

This includes:

• Reformulating or removing unsafe ingredients
• Issuing warning letters more aggressively
• Cracking down on products marketed outside permitted conditions

Historically “low-risk” OTC categories (e.g., sunscreens, eye drops, numbing creams) may now carry more enforcement exposure.

New FDA Cosmetics Authority (MoCRA)

The FDA’s new authority under the Modernization of Cosmetics Regulation Act (MoCRA) allows:

• Mandatory recalls
• Facility registration requirements
• Adverse event reporting
• Stronger enforcement actions 

Cosmetics are no longer a lightly regulated space. Marketing that tips a product into drug-claim territory creates even greater risk.

Increased State-Specific Enforcement

Where federal action is slow, states are stepping in. For example:

• Multiple states are acting on kratom and 7-OH
• More than a dozen states have passed or are considering e-cigarette registry/directory laws
• California prohibits manufacturing or selling cosmetics with intentionally added PFAS.

For national platforms and payments providers, this creates a patchwork risk environment. A product compliant in one state may be prohibited in another.

Final Thought: Risk Is Moving Faster

The overarching theme of 2026 is speed. Regulators have more tools. States are more proactive. Interagency coordination is increasing. And product innovation is accelerating. For payments companies, marketplaces, and online platforms, the most resilient compliance strategies are those grounded in:

• Continuous monitoring
• Deep product expertise
• Awareness of enforcement trends
• Proactive detection of emerging categories

Problematic products are evolving — and so must risk management.