With the crypto sector’s highs and lows, global regulators have stepped in to supervise digital industry operations. In a recent announcement, the American crypto miner Marathon Digital Holding revealed plans to support the Kenyan authority in developing a comprehensive regulatory framework for digital assets.

Kenya President William Ruto, U.S. Commerce Secretary Gina Raimondo, and other dignitaries attended the meeting. 

President Ruto to work with Marathon Digital in drafting crypto regulation

President Ruto emphasized the importance of regulating the crypto sector at the American Chamber of Commerce Kenya Business Summit. He stressed the need for clear digital asset regulations because of the high adoption of crypto in East Africa.

To ensure the crypto industry is well supervised, the Kenyan president appointed the Marathon team to guide the National Treasury and Ministry of Energy in formulating the crypto regulations. Marathon will provide consultancy services to Kenyan regulators and guide lawmakers in revising the existing crypto law. 

Also, the Marathon team will assist the Ministry of Energy in developing an electricity bill for operating a crypto miner. The proposed engagement between the Kenyan government and Marathon Digital came when the region’s demand for digital assets was silently rising. 

In a recent study, Kenya ranks among the top five African countries with the highest crypto adoption. With the dynamism in the financial sector, the Millenial and Gen Z have shifted their focus to crypto assets to conduct digital payments and hedge biting inflation in East African countries.

Kenya reversed its anti-crypto move on digital assets

Despite the efforts to restrict the use of crypto assets in Kenya, lawmakers have reversed their anti-crypto move. In an earlier publication, the former governor of the Central Bank of Kenya, Patrick Njoroge, warned investors against investing in crypto assets due to their volatile nature. 

Since his departure, the policymakers changed their thought to supervising the buying and selling of cryptocurrency rather than restricting its use. President Ruto confirmed that his administration will work closely with the Marathon team to deliberate more on crypto regulations. 

He acknowledged the transformative potential of U.S.-East African trade and investment collaboration. This partnership has positively impacted the economy and national unity. If the collaboration with Marathon succeeds, the American crypto miner will be the first to operate in Kenya.

Marathon Digital joins Kenya regulators in developing crypto mining regulations

Marathon is one of the fast-paced crypto miners. It holds a significant market share in the U.S., Abu Dhabi, Paraguay, and other countries. The company will also collaborate with the Kenya government. This collaboration will be unique for Marathon. It will help develop crypto regulations.

In November 2023, the Kenyan government urged local crypto firms to provide input on the virtual asset service provider bill. The collaboration with the Kenyan crypto and blockchain firms aimed to position the country as Silicon Savannah for cryptocurrency. 

Kenya ranked third with the highest digital asset trading volume at that time. President Ruto’s administration encouraged locals to assist with policy creation. The goal is to establish clear licensing guidelines and a comprehensive regulatory framework for digital assets. This initiative aims to keep Kenya an attractive destination.

Also read: Binance CEO Demands Release of Detained Employee in Nigeria