What happened?
Coinbase got approval to offer staking in New York and turned the feature on, so locals can now earn yields on ETH and SOL through the exchange. The rollout follows state regulatory sign-off under Governor Hochul and ends a restriction that kept New Yorkers out of staking opportunities. Coinbase says users can stake ETH, SOL and other supported assets and receive rewards in the native tokens.
Who does this affect?
New York crypto users who hold ETH or SOL on Coinbase can now earn staking rewards instead of being locked out. Coinbase itself benefits from expanded product offerings and may attract more deposits, while competitors and institutional players are watching closely. Residents of California, New Jersey, Maryland and Wisconsin remain excluded and collectively missed an estimated $130 million in rewards, which could pressure further regulatory change.
Why does this matter?
More staking availability boosts demand for ETH and SOL by channeling capital into yield-bearing products, which can support prices and reduce immediate selling pressure. Growing regulatory clarity and SEC guidance around staking and liquid-staking receipts make these products more appealing to institutions and could accelerate inflows into ETFs and custodial services. For Coinbase, unlocking staking in major states diversifies revenue, raises competitive stakes with traditional finance, and may speed a broader market shift toward custody, staking and yield-focused crypto products.