Top crypto exchange Coinbase is planning to resume its operations in Hawaii. The crypto exchange last operated in the state seven years ago.
While Coinbase has been offering its services across different states, the crypto exchange did not offer its services in Hawaii. The firm said the changes in the local regulatory guidelines triggered its decision.
The state removed the initial requirement for a money-transmitter license, which was applicable in the past for any digital asset business.
Hawaii Residents Can Now Take Part In Staking
Chief Policy Officer at Coinbase, Faryar Shirzad, commented on the development. He stated that Hawaiians have shown a lot of interest in the firm’s services and it’s a great thing that it can now offer these services to the people.
Following the regulatory relaxation, residents can now trade crypto assets and take part in staking, which involves supporting blockchain transactions using crypto tokens.
The decision of Coinbase is coming when the US regulatory environment eases to accommodate more players in the industry.
Earlier this year, the SEC approved the operations of exchange-traded funds that directly hold Ether and Bitcoin.
While the regulation has eased a little, the SEC is still holding Coinbase strong for other issues. The commission accused Coinbase of carrying out securities exchange operations without receiving the required license.
Coinbase is arguing against the claims and has filed a countersuit against the commission.
Coinbase And The SEC Are Still In Legal Battles
The SEC has continued to keep a watchful eye on the crypto industry, which is considered very volatile. The commission is looking to protect the interests of investors who may not understand the high risks involved in such investments.
The commission is also working with other regulators to fish out bad actors in the industry. Some agents are taking advantage of the growing interest in the crypto industry to set up fraudulent schemes to steal investors’ funds.
Meanwhile, Coinbase is still battling with the SEC to get itself free from the lawsuit filed against the company by the SEC. Coinbase filed lawsuits against the Federal Deposit Insurance Corporation and the Securities Exchange Commission.
According to reports, the lawsuits alleged that the two agencies did not fulfil the Freedom of Information Act (FOIA) requests Coinbase stated that the agencies did not show transparency in regulatory practices due to their lack of responses.
The exchange has accused them of taking actions that could set an unfavorable market condition in the crypto industry against the banking sector.
