Kenya’s National Treasury has lowered the minimum paid-up capital requirement for stablecoin issuers by 40% to about $2.32 million, below the nearly $3.9 million threshold set out in a draft published in March last year. Under the new framework, the Central Bank of Kenya (CBK) will supervise stablecoin issuers and other virtual asset service providers, and it will have the authority to require local platforms to stop offering offshore-issued tokens. The rules also set detailed standards for reserve management, customer fund protection, liquidity, reporting and redemption. At least 30% of customer funds must be held in segregated trust accounts at Kenyan commercial banks, while the remainder must be invested in qualified local assets. For fiat-backed stablecoins, reserves must match the pegged currency. Issuers must maintain either $463,300 in liquid capital or liquid assets equal to 100% of liquid liabilities, whichever is higher, and hold qualified reserve assets on a 1:1 basis. The framework also requires quarterly stress tests, monthly reserve and transaction reports, and redemption at par value within two business days.

Kenya's National Treasury completed public consultation on the 2026 VASP draft regulations, moving closer to formal crypto rules. The framework requires licensing, capital thresholds, AML/CFT, consumer protection, asset segregation, and multi-agency oversight.

Kenya's Credit Bank PLC partners with Anzens to pilot USDA stablecoin, targeting cross-border fees at 1.5% with minute-level settlement. If approved, it would be the first licensed commercial bank in an emerging market to directly mint and distribute a stablecoin.

Kenya's draft VASP regulations require high paid-up capital, with stablecoin issuers needing up to $3.86 million. Industry groups warn this could exclude startups, concentrate the market, and push users offshore.

Kenyan crypto traders are protesting Binance account freezes lasting over two months, initiated at the request of the DCI without charges or court orders. The incident sparks debates on regulatory overreach and user protection, with threats of a boycott and the #BinanceUnmasked hashtag trending.

Kenyan crypto traders say Binance accounts have been frozen for over two months at the request of the DCI, with no charges, court order, or timeline disclosed. The case has intensified debate over how exchanges balance law-enforcement cooperation with user rights protection.

Kenyan crypto traders say Binance accounts have been frozen for over two months following requests from the DCI, with no formal charges, court order, or timeline provided. The case has reignited debate over the balance between law enforcement cooperation and user protection in Kenya’s evolving crypto market.

Kenyan crypto traders report funds locked for over two months after DCI requests, no formal charges or court orders, sparking debate on user protection vs compliance.