Coinbase expands crypto services to Hawaii
Coinbase, a centralized cryptocurrency exchange, has announced that it has expanded its services to Hawaii, allowing residents to buy, sell and manage their digital assets.
According to a press release shared with Cointelegraph, the development follows major regulatory changes by Hawaii's Division of Financial Institutions (DFI) of Business and Consumer Affairs.
“We have worked diligently with local authorities to ensure our entry into the Hawaii market, and we embrace an innovative and responsible approach consistent with our goal of providing a safe and compliant environment for everyone.”
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Implications for Hawaii residents
The press release states that Hawaii residents can now access Coinbase's platform and gain exposure to “hundreds of cryptocurrencies” using its own app.
“Hawaii customers can now access crypt services including staking where they can earn up to 12% API to earn rewards on popular assets.”
The press release also stated that residents will be able to transfer their assets “internationally” for many years as residents express “high interest in crypto on Coinbase”.
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Hawaiian control changes
Hawaii previously had restrictive regulations for crypto businesses, making it difficult to operate crypto-related services in the state.
The state's requirement that crypto exchanges hold cash reserves equal to the value of digital assets held by customers has made it virtually impossible for crypto businesses to operate in the state.
DFI relaxed these regulatory restrictions as part of the Hawaii Digital Currency Innovation Lab pilot program, which was launched to eliminate reserve requirements.
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Coinbase vs. SEC push back
In the year On August 5, the US Securities and Exchange Commission subpoenaed the SEC's internal and external emails to block Coinbase's efforts to disclose certain documents.
The SEC argued that a request for emails detailing the application of securities laws to digital assets was overly broad and sought irrelevant material.
Paul Grewal, Coinbase's chief legal officer, said on August 6 in X-Post that these documents are necessary to show the SEC's “inconsistent views of digital assets and its own regulatory reach.”
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