The licencing push marks a significant shift for Kenya’s digital asset industry, which has operated in uncertainty for years, despite being one of Africa’s largest crypto markets. The country’s framework gives regulators visibility over virtual asset firms while establishing requirements around governance, compliance, and reporting. The regulatory clarity is expected to intensify competition in one of Africa’s fastest-growing digital asset markets, as global exchanges and regional crypto firms seek licences that could provide an early foothold in Kenya’s expanding crypto economy. The approach contrasts with Nigeria’s tax-first strategy, where its taxman has introduced a 1.5% stamp duty on virtual asset transactions while the country is yet to have a clear crypto licencing framework comparable to Kenya’s. Taken together, Kenya’s licencing regime, capital requirements, and evolving tax framework could strengthen its appeal to crypto firms seeking regulatory certainty before committing capital and expanding across Africa.