Bitcoin ATMs have emerged across major shopping malls in Nairobi days after Kenya implemented its first comprehensive cryptocurrency law. The installations create an immediate test for regulators who state no crypto provider is yet authorized to operate under the new framework.
Several major malls across Nairobi have installed new machines branded Bankless Bitcoin beside traditional banking kiosks. These devices offer cash-to-crypto services to locals, marking visible crypto infrastructure entering mainstream retail spaces.
New Crypto Law and Regulatory Landscape
The new installations come weeks after Kenya's Virtual Assets Service Providers Act of 2025 took effect. On November 4, Kenya implemented its first formal licensing framework for wallet operators, exchanges, custodians, and other crypto platforms.
Under the law, the Central Bank of Kenya will oversee payment and custody functions while the Capital Markets Authority regulates investment and trading activities. The law is in effect, but regulations required to initiate VASP licensing have not yet been issued. This means providers currently operate without the necessary licenses.
In a joint notice issued on Tuesday, the CBK and CMA stated that neither regulator has licensed any VASP under the new laws to operate in or from Kenya. The regulators warned that companies claiming authorization are doing so illegally. The Central Bank stated that the National Treasury is developing regulations that will determine when licensing can begin.
Historical Context and Current Adoption
Kenya previously saw Bitcoin ATMs in 2018 when provider BitClub installed devices in Nairobi. However, adoption remained minimal, and the machines did not reach mainstream retail locations. Data from CoinATMradar indicates only two reported Bitcoin ATMs currently exist in Kenya.
While Bitcoin ATMs are just starting to reach upscale malls, Bitcoin usage has flourished in lower-income neighborhoods such as Kibera, where residents use the asset as a form of banking. This development raises questions about enforcement and compliance of crypto businesses in the country.
AfriBit Africa co-founder Ronnie Mdawida stated that people in Kibera often lack opportunities to secure their lives with normal savings. With Bitcoin, residents can hold value without documentation and banking paperwork, which Mdawida described as financial freedom for people living on a dollar a day.