Uganda Rolls Out CBDC Pilot as Kenya’s Crypto Bill Clears Final Hurdle
The new in Uganda is a digital equivalent of the Ugandan shilling. It is being tested on a permissioned blockchain and is backed by Ugandan treasury bonds. The Global Settlement Network and the Ugandan Diacente Group are working together on a $5.5 billion asset tokenization project that includes this endeavor.
You can use your smartphone to access digital money, which is subject to strict compliance rules, including and Anti-Money Laundering (AML) regulations. The main goal of the larger project is to digitize significant areas, including renewable energy infrastructure, mining, and agro-processing. This intentional tokenization is meant to free up money, encourage openness, and foster long-term growth in Uganda.
Edgar Agaba, the head of Diacente Group, discussed how the project will attract new investments and advance the region’s technology. Uganda is the latest African country to test out CBDCs, following Nigeria and . This is part of a trend across the continent toward new financial technologies.
Kenya’s Historic Crypto Bill is Almost Ready to Become Law
Kenya’s Parliament has also enacted the Virtual Asset Service Providers (VASP) Bill, which brings the country one step closer to having its first complete set of rules for digital assets. The bill, which is currently waiting for the president’s signature, sets up explicit regulations for licensing, oversight, and consumer protection in the markets for cryptocurrencies, stablecoins, and .
The law entrusts the Central Bank of Kenya and the Capital Markets Authority with overviewing the rules, setting strict regulations for digital asset enterprises regarding , KYC, and licensing. The bill provides local and foreign crypto companies with a formal means to become legitimate, thereby boosting market confidence and protecting millions of crypto consumers from fraud.
More Crypto Activity and Its Effects on the Region
Sub-Saharan Africa, led by Uganda and Kenya, remains one of the quickest-growing regions in the world for crypto adoption. From July 2024 to June 2025, there was $205 billion in on-chain value. These forward-thinking rules and technical changes are making East Africa a center for digital asset innovation, which makes the region more appealing to investors, beginups, and global financial markets.
The Uganda trial and Kenya’s upcoming crypto law are both essential steps in East Africa’s digital revolution. The combination of strong rules and new technologies will make things more open, including more people in the economy, and bring in money from around the world to the region’s rapidly growing digital economy.
