Key Takeaways
- Tech executives at a Nairobi conference urged state officials to gain a deep understanding of Bitcoin before making rules.
- Enactment of the VASP Act in 2025 shifted Kenya from informal crypto oversight to strict consumer protection laws.
- By April 2026, the National Treasury had gathered public inputs to finalize new licensing and tax reporting standards.
A New Era of Formal Oversight
Cryptocurrency industry leaders have urged deeper collaboration with government agencies as Kenya advances work on its first comprehensive digital-asset regulatory framework. Speaking at a recent Bitcoin conference in Nairobi, technology executives and blockchain advocates said sustained engagement with policymakers is essential to crafting rules that protect consumers without stifling market innovation.
The call comes as Kenya transitions from years of informal guidance to formal oversight following the passage of the Virtual Asset Service Providers Bill in 2025. The Central Bank of Kenya and the Capital Markets Authority are currently designing licensing and compliance standards for the sector.
“Regulation is fine, but governments also need to understand what Bitcoin is and what it can do,” said Robert Kirubi, chairman of Talo Africa, arguing that policy must be grounded in a clear technical understanding of digital assets.
Industry participants described the government as a necessary partner in curbing fraud and safeguarding financial stability. Still, they warned that overly restrictive rules could push economic activity underground or drive talent abroad.
Kenya’s emerging legislative framework imposes strict consumer protections, requiring crypto platforms to segregate client funds, secure insurance coverage, and maintain local bank accounts to allow for state oversight.
Sandra Kimberly, co-founder of Bitika, said crypto firms are actively participating in public consultations to support policymaker education and improve public awareness as Kenya shapes its supervisory approach.
“It is our responsibility to help policymakers understand the opportunities and risks so that regulations do not hinder innovation,” added Trevor Kimani, chief executive of AlphabloQ.
Conference speakers said stronger public-private alignment could position Kenya as a leading East African hub for digital assets, enabling innovation to grow alongside clear protections for everyday users.
