Kenya’s crypto market faces a regulatory rethink as IMF challenges stablecoin reserve rules

In brief

Kenya’s cryptocurrency licensing framework could face adjustments to how international stablecoin issuers maintain their backing assets and how much capital digital asset businesses must commit to operating locally. The International Monetary Fund (IMF) wants the country to reconsider requirements that currently compel stablecoin issuers to hold part of their reserves within Kenya, arguing that the …