UN To Clamp Down On Crypto In Kenya And Other Developing Countries

The United Nations (UN) has called for Kenya and other developing countries to undertake and develop thorough regulatory frameworks for cryptocurrencies.

What Happened: A policy brief released by the UN Conference on Trade and Development stated that Kenya must support compulsory registrations for digital wallets and cryptocurrency exchanges. It further emphasized the necessity for a regulatory framework outlining tax transactions surrounding the crypto sector.

The UN further urged Kenya to levy fees for entry for digital wallets and exchanges. Currently, banks reduce 20% in the form of an excise duty levied upon all fees billed on transactions across platforms.

The report released by the UN Trade Agency further stated countries must, “Require the mandatory registration of crypto-exchanges and digital wallets and make the use of cryptocurrencies less attractive, for example by charging entry fees for crypto-exchanges and digital wallets and/or imposing financial transaction taxes on cryptocurrency trading.”

As the cryptocurrency sector continues to grow globally, large-scale adoption requires regulations by global economies. Thus, in the long term, developing comprehensive regulatory frameworks may benefit the crypto sector majorly.

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