Kenya has taken a major step toward embracing the digital economy after lawmakers approved the Virtual Asset Service Providers Bill, setting the stage for the regulation of cryptocurrencies and related services. Finance committee chair Kuria Kimani confirmed the bill’s passage, noting that it aims to provide clear rules for the fast-growing sector and boost investment opportunities. The legislation now awaits President William Ruto’s signature to become law.

Under the bill, the Central Bank of Kenya will oversee the licensing of stablecoins and other virtual assets, while the Capital Markets Authority will regulate crypto exchanges and trading platforms. By introducing this framework, Kenya positions itself alongside South Africa as one of the few African nations with clear laws governing digital assets. Lawmakers believe the clarity will attract global players like Binance and Coinbase, with discussions already underway.

Supporters argue the new law could make Kenya a gateway into Africa’s digital economy, especially as young people increasingly adopt crypto for payments, trading, and business. With its history of innovation through mobile money platforms like M-Pesa, Kenya is now extending its financial leadership into the world of blockchain and virtual assets.