Uganda Rolls Out CBDC Pilot While Kenya’s Crypto Bill Nears Final Approval

Uganda has officially launched its central bank digital currency (CBDC) pilot in collaboration with blockchain infrastructure firm Global Settlement Network (GSN) and Ugandan developer Diacente Group. The initiative is part of a wider plan to tokenize $5.5 billion worth of real-world assets across the nation, marking a major leap toward a digital financial ecosystem.

Built on GSN’s permissioned blockchain, Uganda’s CBDC is backed by treasury bonds and accessible via smartphones. The system follows strict Know Your Customer (KYC) and Anti-Money Laundering (AML) standards, ensuring compliance with both local and international financial regulations. The project also aims to digitize major sectors such as agriculture, mining, and renewable energy—introducing transparency and attracting global capital.

Diacente Group chairman Edgar Agaba said the initiative would “unlock long-term value” for Uganda by integrating tokenization and CBDCs into its development roadmap. This move positions Uganda among the growing list of African nations exploring digital currencies, alongside Nigeria, Ghana, South Africa, and Egypt.

Meanwhile, Kenya’s Virtual Asset Service Providers (VASP) bill passed its final parliamentary reading and now awaits President William Ruto’s signature to become law. The legislation introduces licensing requirements, investor protections, and clear regulatory oversight. The Central Bank of Kenya will supervise payment systems, while the Capital Markets Authority will manage trading and investment activities.

According to Chainalysis, Sub-Saharan Africa is the world’s third-fastest-growing crypto region, with $205 billion in on-chain value recorded between July 2024 and June 2025. By 2026, Africa is projected to have over 75 million crypto users, signaling a continent rapidly moving toward a blockchain-powered financial future.