Yes, you can use the device as if it were an iPod Touch without cellular service. No need to remove the SIM. It will automatically be deactivated when your new phone is activated. You can also purchase a prepaid SIM from a service using provider network to which the phone is attached if you'd like to use it as an emergency or burner phone.

Dec 04, 2018 · Apple, facing huge headwinds in China, decided to allow space for two physical nano-SIM cards in the iPhone XS and iPhone XS Max — but only if you buy the phone in China proper (the Communist part).