Kenya's Treasury Cabinet Secretary John Mbadi on Wednesday publicly dismissed rumors that the Finance Bill 2026 would slap new taxes on cryptocurrency transactions, calling the speculation unfounded. The denial comes after weeks of growing public anxiety in Nairobi's crypto circles — a worry Mbadi now says had no basis in the actual legislation.
What the rumors claimed
Chat groups and social media posts had been circulating that the bill, which is currently making its way through parliament, introduced a fresh levy on digital asset trades. The chatter was enough to spook some local holders and traders, who feared another layer of compliance costs on top of an already uncertain regulatory environment. Mbadi's statement Wednesday was blunt: there is nothing in the Finance Bill 2026 that targets crypto transactions.
Why the anxiety mattered
Kenya's crypto scene has been growing organically — peer-to-peer Bitcoin trading volumes are among the highest in Africa — but it operates in a grey zone. The Central Bank of Kenya has warned banks against dealing with crypto firms, yet no specific law bans individuals from holding or trading digital assets. That ambiguity makes every new bill a potential landmine. Mbadi's intervention was clearly aimed at preventing a self-inflicted confidence hit.
What's actually happening on regulation
While the Finance Bill doesn't touch crypto taxes, Nairobi is moving to tighten virtual asset rules through other channels. The Capital Markets Authority (CMA) has been drafting a comprehensive framework for digital asset service providers, and sources indicate it could be published for public comment within weeks. That process, separate from the finance bill, is what will ultimately define how exchanges, custodians, and token issuers operate in Kenya. Mbadi's statement doesn't change that trajectory — it only clarifies that the taxman isn't the vehicle.
What comes next
The Finance Bill 2026 is expected to go through its second reading in the National Assembly next week. Mbadi's denial effectively kills one source of pushback, but lawmakers may still debate other provisions. Meanwhile, the CMA's draft rules remain the bigger story for anyone running a crypto business in Kenya. The question now is whether the agency will classify crypto as a security, a commodity, or something else entirely — and that answer is still months away.
