Missed Founder's Friday? Here's what was discussed concerning Virtual Asset Regulations in Kenya & Africa

The event comes as the VASP Act, which officially took effect on 4 November 2025, remains unenforced pending subsidiary regulations, leaving the sector hungry for clear guidance.

The three‑hour session, attended by founders, developers and investors, focused on how stakeholders can shape Kenya’s nascent regulatory framework, navigate compliance while building Web3 products, and translate legal knowledge into practical tools for engaging policymakers. Participants left with a roadmap for mapping their offerings against upcoming licensing requirements, consumer‑protection mandates and anti‑money‑laundering (AML) obligations.

Kenya’s VASP Act establishes a statutory basis for licensing and supervising virtual‑asset service providers, covering everything from exchanges and custodians to wallet developers. While the primary legislation is already in force, the government has yet to publish the detailed subsidiary rules that will define licensing thresholds, reporting standards and supervisory powers. Without those specifics, firms risk operating in a legal gray zone, and public submissions on the pending rules risk being uninformed.

The initiative arrives as African regulators shift from caution toward formal institutionalization. Nigeria has fully reversed its 2021 banking ban, with the Investments and Securities Act (ISA) 2025 now establishing a high-barrier licensing regime that treats digital assets as securities. Meanwhile, South Africa’s Financial Sector Conduct Authority (FSCA) has moved beyond the pilot stage, having already licensed over 300 Virtual Asset Service Providers (VASPs). Kenya joined this regional trend in late 2025 by enacting the Virtual Asset Service Providers Act, which formalizes the sector under the dual oversight of the Central Bank and the Capital Markets Authority to attract institutional investment.

Industry observers note that the timing is crucial. The chamber’s cohort will not only equip founders to meet Kenya’s future licensing criteria but also position them to engage constructively with policymakers during the public comment period.

The session also highlighted practical steps for compliance: integrating AML/CFT checks into onboarding flows, establishing governance frameworks that satisfy regulator‑mandated risk assessments, and preparing for periodic supervisory audits.

Organisers expect the cohort to serve as a catalyst for a more mature virtual‑asset ecosystem in Kenya and beyond. By mapping products to licensing categories and providing a clear legal roadmap, the program aims to reduce the compliance burden for early‑stage startups, allowing them to focus on innovation rather than regulatory uncertainty.

Check out the full recap here and here