Nigeria, South Africa and Kenya have introduced licensing regimes for digital assets after years of restrictions. The changes follow rapid growth in stablecoin use for remittances and payments across the continent. Between July 2024 and June 2025, Sub-Saharan Africa processed more than $205 billion in on-chain value.
The shift began after governments observed that bans failed to curb demand and instead drove activity into unregulated channels. Nigeria passed the Investments and Securities Act in March 2025, classifying digital assets as securities and empowering the Securities and Exchange Commission to issue licenses. South Africa approved 310 crypto service provider licenses by the end of March 2026. Kenya brought its Virtual Asset Service Providers Act into force in November 2025.
Stablecoins now represent about 43 percent of regional crypto transaction volume. The assets help users avoid high remittance fees, which average 8.8 percent in Sub-Saharan Africa. Nigeria alone accounted for $92.1 billion of the $205 billion total on-chain value recorded in the period.
Regulators have gained tools for tax collection, anti-money laundering enforcement and consumer protection. At the same time, the growing use of dollar-pegged tokens raises questions about local currency demand and central bank control. The new frameworks in these three countries are among the first attempts to balance those competing effects.