Kenya is a country where cryptocurrencies can genuinely thrive. This will only happen with some decent governmental guidance, though. As such, the local Capital Markets Authority wants to establish a new agency to monitor cryptocurrency activity in the country. This should not lead to any stringent regulatory measures in the future.

In a way, it is good to see Kenya getting involved in cryptocurrencies. Although Bitcoin and altcoins have always made an impact in this country, it seems things are advancing quite rapidly. The Capital Markets Authority acknowledges something will need to change. Establishing a new body to monitor cryptocurrencies is one way of achieving that goal. This new agency will mainly be tasked with answering questions regarding cryptocurrencies that arise in the future.

Kenya’s Capital Markets Authority Focuses on Bitcoin

Regulators all over the world are monitoring cryptocurrencies as of right now. It only makes sense for Kenyan officials to take a similar approach in this regard. Although this new entity has not been set up officially, it is still high on the agenda. With a strong focus on cryptocurrencies and ICOs, the industry can only grow further in the near future.

Kenya’s Capital Market Authority explains it as follows:

“There is a need for regulators to devise a common approach towards handling issues revolving around cryptocurrencies and Initial Coin Offerings (ICOs). A joint workgroup by financial sector regulators could be put in place to tackle issues around cryptocurrencies and ICOs.”

As one would expect, the Bitcoin price volatility remains a big concern in Kenya. Especially after last year’s run, the current trend is pretty troublesome in many different ways. Whether or not the Kenyan CMA can address that problem, remains to be determined. For now, this venture is mainly designed to bring more legitimacy to this emerging industry. Moving alongside developments in this industry is of the utmost importance as of right now.

Header image courtesy of Shutterstock

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