At the World Economic Forum in Davos, the Nairobi International Financial Centre Authority (NIFC) made a strong case for Nairobi as Africa’s premier destination for finance, innovation, and regulated digital assets – signaling a strategic push that could transform Kenya’s crypto ecosystem.
NIFC’s CEO, Daniel Mainda, told global investors that Nairobi has shifted from “momentum to architecture,” focusing on regulatory clarity, strong institutions, and real economic outcomes rather than provisional experiments. The engagement in Davos showcased plans to support blockchain infrastructure and scalable digital platforms.
“Kenya has made a deliberate shift from momentum to architecture. Through the Nairobi International Financial Centre, we are building markets – not experiments – anchored in regulatory clarity, strong institutions, and real economic outcomes.
Nairobi is positioning itself as Africa’s trusted platform for capital, innovation, and regulated digital assets, offering active facilitation, sandbox support, and targeted incentives for regional headquarters, holding companies, venture capital and private equity funds, and high-growth startups.
We will compete on regulatory quality, not regulatory arbitrage – and we are open for serious business.”
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Crypto Regulation: From Law to Market
A key pillar of Kenya’s strategy is the country’s new legal framework for virtual assets, which has begun to take shape:
In October 2025, Kenya’s Parliament passed the Virtual Asset Service Providers (VASP) Act, formalizing rules for crypto and digital asset firms and providing legal recognition for virtual assets.
Under the Act, the Central Bank of Kenya (CBK) and the Capital Markets Authority (CMA) are designated to license and supervise digital-asset activities, from exchanges and wallets to trading services.
Detailed operational regulations – the rules that explain exactly how licensing and compliance will work in practice — are now being developed by the National Treasury, CBK, and CMA to activate the licensing regime.
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Once implemented, this regulatory structure will give digital-asset businesses confidence that compliance, investor protection, and risk-management standards are in place, addressing concerns that have previously slowed institutional and retail participation in the Kenyan market.
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A Competitive Advantage for Finance and Crypto
NIFC’s message in Davos, that Nairobi is open for serious business, was backed by commitments from global players like ChainBLX SPC and SCC Fund SP to establish operations in Kenya with NIFC support.
For the crypto sector specifically, the regulatory momentum positions Kenya to attract exchanges, fintechs, and digital platforms seeking a clear, regulated base for African expansion. Industry observers expect that once formal licensing begins, global players will be more willing to enter the Kenyan market, much like in other jurisdictions where legal certainty opened the door for licensed operations.
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For the Kenyan crypto community and the broader Web3 ecosystem, the NIFC’s positioning and the completion of crypto regulations represent a critical turning point:
Clarity and oversight from CBK and CMA could reduce risks such as fraud and unregulated activity.
A regulated environment helps legitimate exchanges and service providers establish operations locally, potentially boosting job creation and innovation.
With clear rules, Kenya can better compete with South Africa and other African markets advancing crypto frameworks.
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As NIFC continues to roll out incentives for regional headquarters, venture capital, and financial services firms, the combination of regulatory progress and strategic positioning could make Kenya a magnet for digital-asset investment – turning Nairobi into one of Africa’s next big crypto hubs.
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Stay tuned to BitKE for crypto regulatory updates across Africa.
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