Kenya’s new licensing rules place virtual asset providers under CBK and CMA oversight.
CBK and CMA will oversee virtual asset providers, with businesses required to apply to the regulator responsible for their services.
Kenya now requires crypto business licences for virtual asset service providers following the end of their transition period on November 4. Businesses must apply to either the Central Bank of Kenya (CBK) or the Capital Markets Authority (CMA), depending on their services.
The two regulators announced on Friday, November 13, that the government had gazetted the Virtual Asset Service Providers Regulations, 2026. The rules establish procedures for licensing and supervising businesses in the sector.
How providers should apply for crypto business licences
The First Schedule of the Virtual Asset Service Providers Act, 2025, assigns services to the relevant regulator. Businesses must therefore identify which authority oversees their activities before submitting an application.
CBK and CMA have also urged affected providers to review the licensing requirements and application checklists on their respective websites. These documents set out the requirements businesses must meet when seeking approval.
In addition, CBK said the regulators would publish lists of licensed providers once they issue approvals. The framework follows their November 2025 announcement that the National Treasury was developing regulations to put the law into operation.
Digital asset transfers rise as Treasury considers dormant holdings
Meanwhile, figures from global crypto analytics firm Chainalysis show substantial digital asset activity in Kenya. Kenyans transferred assets worth Ksh700 billion in the year to June 2026, up from Ksh506 billion the previous year.
Separately, the Treasury is considering changes to how authorities handle unclaimed digital assets, including dormant cryptocurrencies and stablecoins. Its draft Unclaimed Financial Assets National Policy proposes expanding the assets that holders can surrender to the Unclaimed Financial Assets Authority (UFAA).
The Treasury argues that the current framework does not adequately cover digital assets. If approved, the proposal would place unclaimed cryptocurrencies alongside dormant bank accounts, shares, insurance benefits and other financial assets.
