Kenya Crypto Firms Rush for Licenses Amid New Regulations

Kenya's digital asset industry is positioning itself for an early regulatory foothold in one of Africa's fastest-growing markets. The country recently gazetted new crypto rules, which will bring exchanges, wallet providers, and other firms under formal oversight by the Capital Markets Authority (CMA) and the Central Bank of Kenya (CBK). Firms such as Binance, Kotani Pay, VALR, Yellow Card, and Luno are lining up to apply for virtual asset licenses.

The new Virtual Asset Service Provider (VASP) framework introduces paid-up capital requirements, with the highest threshold at KES 300 million ($2.3 million) for stablecoin issuers. This shift marks a significant change for Kenya's digital asset industry, which has operated in uncertainty for years despite being one of Africa's largest crypto markets.

Between July 2024 and June 2025, Kenya recorded about $19 billion in crypto inflows, more than twofold the previous year. Industry executives welcome the introduction of formal rules but warn that implementation details will determine whether Kenya becomes a regional digital asset hub or creates barriers for innovation.