Tether Partners with Nairobi Securities Exchange for Tokenization Exploration

Tether has signed a memorandum of understanding (MoU) with the Nairobi Securities Exchange to explore tokenized securities, blockchain-based market infrastructure, and digital asset education in Kenya.

The MoU aims to examine fractional access to securities for local and diaspora investors, as well as onboarding processes designed around Kenyan anti-money-laundering and know-your-customer requirements. The parties plan to test Hadron, Tether's platform for creating and managing tokenized assets.

Tether and the NSE will also assess whether USDT could serve as a settlement infrastructure layer in Kenya, where permitted by regulations. However, it is essential to note that this exploration does not imply approval or a confirmed product rollout.

Kenya's Virtual Asset Service Providers Act took effect on November 4, 2025, assigning tokenization oversight to the Capital Markets Authority and stablecoin issuance oversight to the Central Bank of Kenya separately. The law requires licensing, AML controls, technology safeguards, and approval for covered virtual asset offerings.