Nairobi — The Central Bank of Kenya (CBK) says the licensing of Virtual Asset Service Providers (VASPs) will only begin once new regulations under the Virtual Assets Service Providers Act, 2025 are issued.
In a statement on Tuesday, the regulator clarified that neither CBK nor the Capital Markets Authority (CMA) has licensed any VASPs to operate in or from Kenya under the new law.
The clarification comes after the Act--gazetted on October 21 and effective from November 4--formally brought Kenya's digital asset and cryptocurrency market under statutory regulation for the first time.
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CBK and CMA said the National Treasury is currently developing detailed implementing regulations that will outline requirements for licensing, supervision, risk controls and compliance.
"Consequently, the licensing of VASPs will commence upon issuance of these Regulations," the notice stated, underscoring that no entity has yet received approval.
Under the new law, CBK and CMA have been designated as joint regulators of virtual asset exchanges, wallet providers, token platforms and custodians. The framework introduces stringent anti-money laundering, governance, reporting and consumer-protection obligations for entities seeking approval.
Kenya has moved to formalise oversight of the fast-growing crypto market following rising uptake of digital assets and a series of unregulated investment schemes that exposed consumers to significant financial risks.
Regulators said the new regime aligns Kenya with global standards and provides clarity for firms seeking to enter or operate within the sector.
The law was passed by Parliament in October 2025 and later assented to by President William Ruto before being gazetted.
