The last-minute order put an emergency hold on the US President's ban, which was meant to take effect tomorrow.
Trump's revised executive order removed Iraq from the list of countries barred from entering the US, among other changes.
The new measures were designed to make it easier to defend in courts.
The order came from US district judge Derrick Watson, who was one of three judges to hear arguments today on whether to freeze the ban.
Lawyers for Hawaii alleged the new travel ban violated the First Amendment because it is essentially a Muslim ban, impeded the recruitment of top talent and damaged the state’s tourism industry, according to reports.
Trump's second order included a 90-day ban on travel to the US on citizens of six nations - Iran, Libya, Somalia, Sudan, Syria and Yemen. Meanwhile, a 120-day ban applied to all refugees, including Syrians who were previously banned indefinitely.