Kenya’s banking sector is preparing to embrace cryptocurrency services, signaling a major shift in the country’s financial landscape. A recent survey conducted by the Central Bank of Kenya (CBK) reveals that local banks are eager to offer crypto-related products, from wallet services to trading platforms. Currently, banks are prohibited from facilitating virtual asset transactions, limiting their revenue potential and leaving a growing demand for digital currencies largely untapped. With the Kenyan public increasingly adopting crypto for both investment and everyday transactions, banks see a unique opportunity to expand services and diversify income streams.
The CBK survey indicates that many banks are exploring strategies to integrate virtual assets safely and efficiently once regulatory barriers are lifted. This interest aligns with Kenya’s broader push to formalize the crypto sector through the Virtual Assets Service Providers (VASP) Act, which establishes licensing requirements and regulatory oversight for exchanges, custodians, and wallet providers. By providing clear rules and consumer protection measures, regulators aim to create a secure environment for both banks and clients, while ensuring compliance with anti-money laundering and financial stability requirements.
Experts believe that enabling banks to engage in crypto could accelerate mainstream adoption and bring greater legitimacy to the sector. Integration of crypto services within established banking channels would make digital assets more accessible to the average Kenyan, including those who rely primarily on mobile money platforms. Additionally, this development could attract foreign investment and support innovation in fintech solutions. As Kenyan banks prepare to enter this evolving market, the combination of regulatory clarity, public interest, and institutional support positions the country as a potential leader in Africa’s digital finance ecosystem.