Kenya Unveils Draft VASP Rules, Opens Public Comment Through April 10

Overview

• Stablecoin issuers would be required to keep at least 30% of received funds in segregated accounts at Kenyan commercial banks, with remaining reserves in specified high‑quality liquid domestic assets.
• Token issuance platforms would charge a 0.05% fee per transaction payable by each counterparty, and initial virtual asset offerings would face a 0.5% levy on the value of successful offers.
• Licensing changes extend eligibility to limited liability partnerships, set a 90‑day regulator response time, establish 12‑month license terms from issuance, and require every provider to maintain a Kenyan bank account.
• The draft broadens definitions to treat virtual assets as a digital representation of value, including real‑world asset tokens, and defines an issuer as any natural or legal person making crypto‑assets available to the public.
• Treasury scheduled 11 regional forums, including in Nairobi, Mombasa, Kisumu, and Nakuru, to gather feedback that could inform amendments before the rules take effect.