The Senate Standing Committee on Information, Communication and Technology decided to initiate talks with the Central Bank of Kenya (CBK) to acknowledge Cryptocurrency as a valid form of legal tender.
The standing committee, headed by Trans Nzoia Senator Allan Chesang, has unveiled its intention to involve other stakeholders in formulating policies related to virtual assets, service providers, and the use of cryptocurrency in Kenya.
The committee aims to facilitate safe and secure digital currency transactions for Kenyans through the development of regulatory frameworks. In addition to advocating for cryptocurrency regulations, the committee, led by Chesang, has declared its commitment to accelerating the implementation of the Central Bank Digital Currency (CBDC).
While considering the response received from the CBK regarding the Committee’s inquiry on digital assets infrastructure in Kenya at Parliament Buildings, the Members of the Committee emphasised the need to have a laid down policy that governs the Central Bank Digital Currency and crypto assets in the country to ensure Kenya harnesses the benefits of financial innovation while minimising the risks.The Senate Standing Committee on Information, Communication and Technology
Governor Patrick Njoroge of the CBK declared in December 2015 that virtual currencies like Bitcoin were not considered legal tender in the country. However, in February 2022, the CBK published a discussion paper exploring the potential implementation of a Central Bank Digital Currency (CBDC) in Kenya. The paper urged Kenyans to express their opinions to help shape the introduction of a digital currency in the nation.