Thomas Daniels
Coinbase, the largest publicly traded cryptocurrency exchange in the United States, has officially resumed its services in Hawaii, marking a significant milestone for the company and the state’s crypto landscape. This development follows recent regulatory changes implemented by the Hawaii Department of Commerce and Consumer Affairs Division of Financial Institutions, providing much-needed clarity for crypto firms operating within the state.
In 2017, Coinbase exited the Hawaiian market due to stringent regulations requiring crypto companies to obtain a state money transmitter license and maintain fiat reserves, or “permissible investments,” equivalent to all held cryptocurrencies—an obligation unique to Hawaii. The state has since lifted these requirements, allowing Coinbase and other crypto companies to operate without the burden of such mandates.
Hawaii residents can now access Coinbase’s platform to buy, sell, and manage a wide array of digital assets. The platform offers features such as recurring buys, price tracking, international asset transfers, and staking services, where users can earn up to 12% annual percentage yield (APY) on select assets and up to 5.20% in rewards by holding USDC.
Faryar Shirzad, Coinbase’s Chief Policy Officer, underscored the importance of this expansion, emphasizing the company’s dedication to regulatory compliance and the provision of secure, user-friendly crypto services both in the U.S. and globally. “We’ve worked diligently with local authorities to ensure we can enter the Hawaii market and welcome their innovative, responsible approach, which aligns with our goal of providing a safe and compliant environment for all,” Shirzad stated.
This strategic move also aligns with Coinbase’s broader mission to enhance economic freedom worldwide. The platform offers advanced tools for seasoned traders, including access to over 500 spot trading pairs, low trading fees, charting powered by TradingView, and robust APIs for streamlined trading operations.
This article has been updated to reflect that Coinbase previously operated in Hawaii until its exit in 2017.
