• Coinbase expands services to Hawaii after regulatory changes ease restrictions.
• Hawaii residents can now buy, sell, and stake crypto with up to 12% APY on Coinbase.
• Coinbase continues to face legal opposition from the SEC over its disclosure of regulatory documents.

Coinbase has announced that it is expanding its services to Hawaii, giving residents access to a wide range of digital asset management options.

This follows significant regulatory changes by Hawaii’s Department of Commerce and Consumer Affairs Division of Financial Institutions (DFI), which have opened up new opportunities for cryptocurrency businesses in the state.

Hawaii’s strict rules

For years, Hawaii’s strict regulations have made it difficult for crypto exchanges to operate within Hawaii’s borders.

One particularly challenging requirement was the requirement for exchanges to maintain cash reserves equal to the value of customers’ digital assets, which deterred many companies from entering the Hawaiian market.

However, recent adjustments, as part of the Hawaii Digital Currency Innovation Lab pilot program, have loosened these restrictions, allowing companies like Coinbase to gain a foothold in the state.

Hawaii residents can now use Coinbase

Thanks to this relaxation of regulations, Hawaii residents can now use Coinbase’s platform and mobile app to buy, sell, and manage cryptocurrencies.

In addition to these services, users can also participate in crypto staking, where they can earn up to 12% annual percentage yield (APY) on select digital assets.

This is a significant change for Hawaii, where interest in cryptocurrencies is growing but where options have previously been limited due to the state’s strict regulations.

For Coinbase, entering Hawaii not only expands its user base, but also underscores the state’s commitment to fostering innovation in the digital currency sector, amid the exchange’s ongoing conflict with the U.S. SEC over disclosure documents related to the application of securities laws to digital assets.