Kenya Cuts Stablecoin Capital Rule to $2.32M Amid Global Issuer Interest

The Kenyan government has made it easier for stablecoin issuers to enter its rapidly growing crypto market. The National Treasury reduced the paid-up capital requirement by 40% to approximately $2.32 million, down from a proposed nearly $3.9 million in draft rules last March.

This change will ease entry into Kenya's market, which Bybit ranked 5th globally in crypto adoption. Stablecoins drive cross-border payments and serve as a hedge against currency volatility in the East African nation.

The Central Bank of Kenya will enforce strict oversight measures to protect investors. Issuers must hold reserves in the same currency as their peg and maintain at least 30% of customer funds in segregated trust accounts at Kenyan commercial banks.