Bitcoin ATMs Appear in Nairobi Malls, Regulators Warn No VASPs Are Licensed Yet

Bitcoin ATMs are showing in a few of Nairobi’s busiest purchasing malls, simply days after Kenya’s new digital belongings legislation got here into impact.

Bitcoin ATMs are hitting Nairobi’s purchasing malls

In line with a neighborhood media outlet Capital newsthe intense orange ‘Bankless Bitcoin’ machines might be seen at purchasing facilities in Gigiri, together with Two Rivers Mall, Westlands, alongside Ngong Street. They now stand facet by facet with standard financial institution ATMs, reflecting the push to make cryptocurrency a part of mainstream retail areas.

These kiosks permit customers to purchase and promote Bitcoin, bringing cash-to-crypto transactions to crowded public locations. This comes simply as Kenya’s new Digital Belongings Service Suppliers Act, 2025 got here into drive on November 4.

In a joint assertion, the Central Financial institution of Kenya (CBK) and the Capital Markets Authority (CMA) shared that the legislation gives a authorized framework for regulating and supervising VASPs in Kenya and likewise outlines the obligations of VASPs to assist forestall cash laundering, terrorist financing and the circulation of illicit funds.

The legislation designates CBK and CMA as joint regulators answerable for licensing, supervising and regulating VASPs in Kenya.

No VASPs permitted but

The Nationwide Treasury is now making ready detailed laws to place the legislation into follow, and licensing of VASPs will solely start as soon as these laws are issued.

Though Bitcoin ATMs have appeared, regulators warned that no VASPs have been formally permitted but, so any firm claiming to be licensed is working illegally.

“At present, CBK and CMA haven’t licensed VASPs underneath the legislation to function in or from Kenya,” the message warned.

Bitcoin adoption in low-income areas

Whereas these Bitcoin ATMs are among the many most seen indicators of cryptocurrency in Nairobi’s formal retail sector, Bitcoin has already been in use in lower-income areas equivalent to Kibera lately.

In Soweto West, a village in Kibera, fintech startup Afrobit Africa started testing Bitcoin-denominated subsidies in 2022, serving to native rubbish collectors who usually lack ID, financial institution accounts or entry to cell cash.

After the weekend cleansing work, employees in Kibera are paid small quantities of Bitcoin as an alternative of shillings. AfriBit Africa estimates that it has distributed roughly $10,000 this fashion.

Its co-founder, Ronnie Mdawida, says Bitcoin presents residents a method to lock in worth and obtain a type of “monetary freedom” with out documentation. That is particularly necessary for individuals who stay on a few greenback a day.

About 200 individuals in Soweto West now use Bitcoin, with some merchants and boda boda riders accepting funds in crypto. Many residents additionally view crypto as extra environment friendly than Kenya’s cell cash system.

Bitcoin is gaining floor in Kenya, from the streets of Kibera to the purchasing facilities of Nairobi. Nonetheless, its volatility and unclear guidelines fear regulators. The brand new legislation goals to control the sector, defend customers and the monetary system whereas encouraging innovation.

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