Kenya launches regulated crypto exchange to tokenise real-world assets
The KDX platform aims to lower the barrier to entry, allowing more people to invest with less capital.
Africa’s crypto journey has been anything but quiet. From Nigeria’s eNaira to Ghana’s e-Cedi and South Africa’s digital currency pilots, the continent has embraced the shift to digital finance. With mobile-first economies and millions locked out of traditional banking, crypto has become a go-to for remittances, savings, and investment. In 2022 alone, Africans received over $100 billion in remittances—much of it through digital platforms.
But while many countries leaned toward state-backed tokens or unregulated crypto, Kenya is choosing a more balanced, regulated, collaborative, and future-focused route.
Oluwajuwonlo Afolabi
Enter the Kenya Digital Exchange (KDX). This isn’t just another crypto startup—it’s a government-regulated platform backed by the Nairobi Securities Exchange (NSE) and Canadian blockchain firms DeFi Technologies, SovFi, and Valour Inc. KDX aims to tokenise real-world assets like stocks, bonds, commodities, and more so they can be traded on the blockchain under legal safeguards. Tokenisation simply means converting assets into digital “pieces” (tokens) that can be bought or sold online, making them easier to access and move.
KDX will use the Hedera network, a high-speed blockchain system known for low fees and energy efficiency. Since NSE joined Hedera’s Governing Council in 2024, it now has direct input in the network’s decision-making. This setup not only ensures security and performance but also boosts transparency, something Africa’s capital markets have long struggled with.
The rollout is planned in three phases: First, platform design and compliance. Second, pilot trading and the launch of exchange-traded products (ETPs) by Q3 2025. And finally, a full commercial launch by Q2 2026. Revenue will come from listing fees, trading, staking, and more, much like traditional exchanges.
But what really stands out is the potential impact. Kenya saw $18.6 billion in crypto transactions in 2022, with over 6 million users in a country where 80.5% own smartphones. A regulated platform like KDX could attract even more users, especially institutions, and boost financial inclusion. If Nigeria’s crypto adoption (ranked second globally for peer-to-peer trading by Chainalysis) is any guide, Kenya might be gearing up for a serious fintech leap.
This move could give Kenya a serious edge. Regulated crypto platforms in places like the UAE and Singapore have boosted investor trust and drawn global capital. Kenya could do the same in Africa. With KDX, it's not just testing crypto; it's reshaping its financial future. And if it works, others may follow.
Emmanuel Oyedeji
