Coinbase Launches DEX Trading for in the US: Details

Coinbase has officially launched decentralized exchange (DEX) trading for users across the United States, excluding New York, allowing them to trade millions of digital assets directly through its main mobile application. The integration brings centralized and decentralized finance closer together by enabling instant access to a wide variety of tokens that were previously unavailable on the platform.

DEX trading on Coinbase allows customers to execute trades using either their existing Coinbase balance or USDC. The system automatically routes orders through DEX aggregators, aiming to provide the best available price execution. Crucially, Coinbase covers all associated network gas fees, removing a common barrier for retail users and simplifying the process of participating in onchain markets.

How Coinbase DEX Works

The DEX feature operates with an integrated self-custody wallet on the app, giving users direct control of their assets. This non-custodial model aligns with fundamental DeFi principles by eliminating the need for users to rely on Coinbase as a custodian for the majority of transactions.

Users can access newly launched tokens on the Base network, Coinbase’s Ethereum Layer 2 scaling solution. Tokens such as LINEA, SYND, and NOICE are immediately tradable after being created on-chain. Unlike traditional centralized listings, this process removes delays caused by internal review procedures and allows retail traders to gain exposure as soon as a token becomes available.

According to Coinbase CEO Brian Armstrong, the platform now provides access to millions of new assets for U.S. users. He emphasized that the company is focused on building onchain infrastructure while enabling new retail trading volume through instant token access.

Benefits of Coinbase’s DEX Integration

DEX trading on Coinbase introduces several features that simplify the user experience while adhering to DeFi standards:

• Gas-Free Trading: Coinbase pays all network fees, so users do not need a separate ETH balance.
• Instant Execution: Trades occur directly from the app using existing balances.
• Self-Custody Wallet: Users maintain control over their private keys while trading on the platform.
• Immediate Access to Base Tokens: Newly launched tokens on Base can be traded without delay.

These elements combine to reduce friction for retail participants while maintaining alignment with decentralized finance principles.

Coinbase Expands Staking Access in New York

Coinbase also announced that residents of New York can now stake cryptocurrencies such as Ethereum (ETH) and Solana (SOL) directly on its platform. The approval comes after regulatory review by the New York Department of Financial Services (NYDFS) and restores access for millions of users in one of the nation’s most tightly regulated crypto markets.

Staking access in New York highlights Coinbase’s continued focus on integrating regulatory compliance into its services. The company frames the approval as a milestone for financial inclusion and credit to Governor Kathy Hochul’s administration for providing clarity on yield-generating programs.

Unlike earlier enforcement actions by the SEC against other exchanges, Coinbase maintains that its staking program facilitates network participation rather than pooling customer assets for profit. Recent state-level legal victories, including dismissals in Illinois, Kentucky, and South Carolina, support the argument that staking-as-a-service is not a security.

Risks and Considerations for Retail Traders

While DEX trading offers new opportunities, it also introduces risks. Tokens listed via DEX do not undergo Coinbase’s standard internal review, meaning users must rely on onchain data and provided risk insights.

• Low Liquidity: Many Base-native tokens have limited trading volumes, making large trades subject to high price impact.
• Volatility: Prices can shift rapidly due to slippage, especially during major sales or leveraged trading.
• Market Risk: Holding illiquid or volatile assets increases exposure to fast-moving market events, which can lead to margin calls or forced liquidations for leveraged positions.

Coinbase provides risk warnings and guidance for assets with low liquidity to help users make informed decisions. Traders must remain aware that decentralized trading introduces additional market dynamics compared to conventional centralized listings.

Conclusion

Coinbase’s DEX launch for U.S. users, coupled with the reintroduction of staking in New York, demonstrates how regulated platforms can incorporate decentralized finance features without sacrificing compliance. The integration allows users to trade millions of assets directly through the mobile app, pay no network fees, and maintain self-custody over their tokens. At the same time, it brings new risks associated with liquidity and price volatility that traders must manage. This move reinforces Coinbase’s capabilities as a bridge between centralized and decentralized finance while expanding access to the growing Base token ecosystem.

Resources:

1. Coinbase X platform: https://x.com/coinbase

2. Coinbase gains New York approval to offer crypto staking - report by Blockworks: https://blockworks.co/news/coinbase-gains-new-york-approval

3. Announcement of DEX trading by Coinbase: https://www.coinbase.com/en-in/blog/coinbase-unlocks-millions-of-assets-with-dex-trading