BitcoinKE

For years, general-purpose blockchains have been positioned as platforms capable of supporting almost any application. But as adoption moves beyond experiments and into real industries, cracks are beginning to show. In practice, so-called “universal” blockchains are increasingly struggling to meet the specific operational and regulatory demands of real-world use cases.

Rather than proving their versatility, many generalized chains are revealing a mismatch between their original design goals and the problems businesses actually need solved.

 

When Blockchain Meets Reality

Industries often turn to blockchain technology hoping it will resolve long-standing operational disputes. Yet in many cases, popular Layer-1 networks such as Ethereum or Solana are ill-equipped for the job.

Take construction, for example. Disputes frequently arise over verbal approvals, last-minute changes to work orders, or undocumented instructions. These disagreements regularly escalate into expensive legal battles. Similarly, in equipment leasing and logistics, companies may lose revenue when customers challenge sensor data — especially when those readings could have been manipulated before being recorded onchain.

In these scenarios, the core problem isn’t decentralization or token settlement. It’s the absence of a trusted, immutable record of events. What businesses really need is a reliable way to prove who said what, and when.

EDITORIAL | Why Circle, Stripe, and the Next Wave of Fintech Giants Want Their Own Blockchains

Why General-Purpose Chains Fall Short

Generalized blockchains were built to do many things well enough, not a few things extremely well. They rely on complex virtual machines, identity systems, cryptographic verification, and smart contract execution — all of which add cost and latency.

But many real-world applications don’t require that complexity. For dispute resolution and operational auditing, a simple, tamper-proof, time-ordered record is often sufficient. When chains are forced to support features they don’t need, efficiency suffers.

This is where specialized Layer-1 blockchains are gaining traction. By focusing on stateless message recording rather than full smart-contract execution, these networks can process data in parallel, reduce overhead, and still provide strong guarantees of immutability.

[EXPLAINER] Understanding the Difference Between Layer 1 and Layer 2 Chains

The Rise of Purpose-Built Blockchains

Instead of universal design, many industries are now favoring blockchains optimized for narrow use cases. These purpose-built networks strip out unnecessary features and focus on doing one job extremely well — whether that’s audit trails, machine data logging, or dispute resolution.

By avoiding general-purpose virtual machines and heavy cryptographic workloads, such chains can operate faster and more efficiently while remaining secure. This design approach aligns more closely with real operational needs than the “one-chain-for-everything” philosophy.

M-PESA Africa Reportedly Signs MoU with ADI Layer 2 Chain, Specifically Designed for Emerging Markets

Regulation Changes the Equation

The shortcomings of universal blockchains become even more apparent in financial services. As tokenized assets, fiat currencies, and securities move onchain, regulatory requirements become unavoidable.

Financial systems must support KYC, AML, sanctions compliance, account freezing, and transaction reversibility. These features are not native to most public blockchains and are difficult — if not impossible — to implement cleanly at the application layer.

As a result, banks and regulated institutions are increasingly building or adopting permissioned blockchains designed specifically for compliance. These systems embed regulatory controls directly into the protocol, rather than attempting to retrofit them onto public networks.

Examples include institutional settlement networks and payment rails built explicitly for regulated environments, where legal accountability matters as much as decentralization.

INTRODUCING | Global Fintech Giant, Stripe, Launches Tempo, a Payments-Focussed Blockchain for Stablecoins

Where Universal Blockchains Still Fit

None of this means that general-purpose blockchains are obsolete. Large networks like Bitcoin and Ethereum still provide unmatched security guarantees due to their scale, decentralization, and economic weight.

Instead of handling every task directly, these networks may increasingly act as security anchors. Smaller, specialized chains can periodically commit checkpoints to major Layer-1s, inheriting their security while operating independently for day-to-day activity.

2025 RECAP | The Stealth Takeover – How Wall Street Quietly Started Building Digital Rails on Ethereum

A Multi-Chain Future Takes Shape

The emerging picture is not one dominant blockchain, but an ecosystem of many. Purpose-built blockchains will handle specific industrial and regulatory needs, while generalized networks provide shared security and global settlement layers.

As blockchain technology matures, flexibility is giving way to specialization – and universal blockchains are learning that real-world demands require more than a one-size-fits-all approach.

 

This post is adapted from an original post written by Steven Pu, co-founder of Taraxa.

 

‘Institutions Don’t Want to Live on Competitors’ Rails,’ Says Chief Innovation Officer, SWIFT

 

 

Stay tuned to BitKE on blockchain developments globally. 

Join our WhatsApp channel here.

Follow us on X for the latest posts and updates

Join and interact with our Telegram community

___________________________________________

The U.S. Senate Banking Committee has released the full text of a bipartisan draft bill aimed at reshaping how digital asset markets are regulated in the United States, setting the stage for a contentious committee markup that already includes at least 137 proposed amendments.

The draft legislation, published ahead of markup, signals the Senate’s latest attempt to establish a comprehensive crypto market structure framework, covering asset classification, stablecoins, decentralized finance (DeFi), and the role of traditional financial institutions in digital asset markets.

However, lawmakers and industry participants caution that the bill remains far from final, with significant changes expected as amendments are debated.

 

Stablecoin Rewards Face Restrictions

One of the most closely watched provisions would ban stablecoin issuers from offering rewards or yield simply for holding stablecoins.

While the draft allows incentives linked to specific transaction-based programs, the restriction on passive rewards has already drawn industry criticism and is widely expected to face revisions during markup.

EDITORIAL | America’s Dollar Dominance Depends on Stablecoin Clarity – GENIUS Act Poised to Lead the Way

Clarifying Crypto Asset Classification

The bill proposes amendments to the Securities Act of 1933, formally introducing the concept of “ancillary assets” or “network tokens.” These are digital assets whose value may be tied to the ongoing efforts of an issuer or development team.

Under the proposal, the Securities and Exchange Commission (SEC) would be required to develop tailored rules governing these assets, including custom disclosure requirements focused on governance structures, token economics, and other material information for investors.

REGULATION | The United States SEC Declares Most Meme Coins Are Not Securities in Landmark Guidance

New Direction for DeFi Oversight

In a notable shift, the draft directs the SEC and the U.S. Treasury to establish regulatory pathways for decentralized finance trading protocols, outlining how DeFi platforms should meet disclosure, recordkeeping, and compliance obligations.

The legislation also instructs the Treasury to clarify how Bank Secrecy Act (BSA) and anti-money-laundering (AML) requirements would apply to DeFi protocols, marking one of the clearest legislative efforts to bring decentralized systems into the U.S. compliance framework.

REGULATION | ConsenSys Sued by The United States SEC for Brokering Securities on MetaMask Swaps

Banks Cleared to Use Digital Assets – With Conditions

The bill would allow banks and other regulated financial institutions to use digital assets and distributed ledger technology in services they are already authorized to provide.

At the same time, it requires U.S. banking regulators – including the Federal Reserve, the Office of the Comptroller of the Currency (OCC), and the FDIC – to develop appropriate capital and risk management requirements for digital asset-related activities.

REGULATION | The Office of the Comptroller of the Currency (OCC) Clears National Banks to Act as Intermediaries in Crypto Transactions

Part of a Broader Legislative Push

The Senate draft builds on momentum from the House’s Digital Asset Market CLARITY Act, emphasizing clearer statutory definitions and agency-led rulemaking rather than enforcement-first regulation.

Meanwhile, the Senate Agriculture Committee is advancing its own digital asset market structure proposal, indicating that multiple Senate panels are moving in parallel to shape crypto regulation.

REGULATION | Are Cryptocurrencies Securities or Commodities? Examining the Regulatory Overlap and Its Impact

What Comes Next

With more than 137 amendments already proposed, the committee markup is expected to significantly reshape the draft. For now, the bill offers a snapshot of Senate priorities rather than a finished regulatory framework — signaling where U.S. crypto policy may ultimately land, but not yet settling the debate.

OPINION | Why Russia’s Claims About America’s Crypto Reset Plan Actually Make Sense

 

 

Stay tuned to BitKE updates on crypto regulation globally.

Join our WhatsApp channel here.

Follow us on X for the latest posts and updates

Join and interact with our Telegram community

___________________________________________

Africa Tech Summit Nairobi 2026 has announced 12 ventures selected to showcase on February 11-12, 2026, at the Sarit Expo Centre, Nairobi, Kenya.

These companies, spanning payments, Web3, Edtech, climatetech, healthtech, and more, represent the next wave of African ventures ready to attract investors and global partners.

 

(use the code ‘BitcoinKE10‘ to get 10% off tickets)

 

Out of the 12 selected finalists, one is a Web3 entity.

The 2026 investor-ready ventures include:

Bekia (Egypt) is tackling inefficient waste collection and low recycling rates across Africa by offering a digital platform that streamlines disposal and helps businesses reduce environmental impact.

Bosso Africa Inc (Zambia) is streamlining Africa’s fragmented, slow, and inefficient process of sourcing construction materials. Bosso’s AI-powered platform delivers instant sourcing, price comparisons, and reliable logistics.

Chefaa (Egypt) is addressing unsustainable access to recurring prescriptions that undermine patient compliance and adherence in fragmented pharmacy markets.

Hizo (Africa) is revolutionizing intra-African payments. Hizo is solving Africa’s fragmented financial systems by enabling users to seamlessly spend, send, and receive money across the continent using their local currency and card payments.

Innobid (Kenya) leverages AI to democratise access to procurement opportunities for marginalized entrepreneurs in Kenya.

Niteon(Nigeria) is bridging the gap for millions of African manufacturers and farmers who remain unseen, underpaid, and disconnected from global opportunity.

Pretium (Kenya) is bridging the existing payment rails with the blockchain ecosystem.

Timart (Nigeria) is tackling Nigerian SMEs’ inventory challenges: manual tracking losses, staff fraud, scattered debt records, and offline tool failures that leak revenue and cripple cash flow.

TIBU Health (Kenya) is revolutionizing primary and chronic care access in Kenya’s underserved communities. TIBU brings clinic-grade care, AI-powered tools, and seamless care directly into high-traffic pharmacies, making healthcare faster, cheaper, and more reliable for low-income households.

Vepay (Nigeria) enables fast and secure cross-border payments, facilitating global transactions for individuals and businesses.

Winich Farms (Nigeria) is connecting smallholder farmers directly to markets and financial services

Zerobionic (Kenya) is a disability-led African startup that transforms plastic waste into AI-powered humanoid robots that translate speech into real-time sign language with 92% accuracy. Zerobionic empowers deaf learners to thrive in STEM education.

The Investment Showcase remains a core feature of the Summit, giving startups opportunities to secure funding, form strategic partnerships, and gain the visibility they need to scale.  The session features a Q&A from a host of experts from across the ecosystem who are keen to provide constructive feedback and support founders on their growth journey.

[AFRICA TECH SUMMIT: FEB 15-16 2023] Here Are the 14 Startups Pitching at the Nairobi 2023 Tech Conference – One is Blockchain-Based

Mark Mugenwa, Business Development Manager at Africa Tech Summit, commented: “Driving investment is the core goal of the Africa Tech Summit. This year’s selected cohort features ventures that are solving Africa’s challenges with sustainable, scalable impact models. These companies have demonstrated incredible traction and we look forward to hosting them and the wider ecosystem in Nairobi next month.” (use the code ‘BitcoinKE10‘ to get 10% off tickets)

Africa Tech Summit Nairobi, powered by Fincra, brings together over 1000 companies, including:

Cardano

Wada

Andela

Binance

Moniepoint

VALR

Bitnob

ODOO

Raenest

MetaMap

Conduit

International Trade Centre

London Stock Exchange

Tola Mobile

Department for Business & Trade

WeWire

Hizo Africa

Norrsken22

CMUA

ZuniQ

Spendin

Choice Bank

Dojah

Tala

Fireblocks

Machankura

Adjust

Instollar

Identy

Flick

Novastar Ventures

Busha

National Social Security Fund Uganda

Kagoo

Loobv

Navaza

among others.

Startups under three years can benefit from the Early Bird Pro Startup Pass, which provides full access to the Africa Tech Summit experience. This includes an invitation to the exclusive ATS Welcome Reception on February 10 2025, priority access to early networking sessions for deal-making, inclusion in the official Deal Book shared with investors and partners, and more opportunities throughout the event. Register for final passes here   (use the code BitcoinKE10 to get 10% off tickets).

 

_________________

About Africa Tech Summit Nairobi

Africa Tech Summit Nairobi (ATSNBO) is a leading African tech event providing insight and networking with the African tech ecosystem.

ATSNBO brings together tech leaders, MNOs, banks, international investors, entrepreneurs, governments, trade bodies, media and leading ventures to drive investment and business in African tech.

AFRICA TECH SUMMIT 2025 | MiniPay Wins Web3 Award as it Surpasses 5 Million Activations in the Global South

 

 

Stay tuned to BitKE updates on Web3 developments across Africa.

Join our WhatsApp channel here.

Follow us on X for the latest posts and updates

Join and interact with our Telegram community

___________________________________________

BitChat, the decentralized peer-to-peer messaging application that operates over bluetooth mesh networks without the need for internet, has announced a new set of features.

The new features come just a day after the app topped charts in Uganda becoming the number 1 most popular app on the AppStore as demand for the app rises following internet shutdown in the country prior to the 2026 national elections.

BitChat Tops App Charts in Uganda Amid Internet Shutdown Ahead of 2026 Presidential Elections

The new features include:

Photos/audio notes in bluetooth mesh

Better routing algorithm for stabler and longer range meshes

Uses Tor Project’s  arti-framework for speed and reliability

Audited by 3rd party security group and addressed all findings

The Uganda government has taken notice of this and, speaking at a recent media engagement, Nyombi Thembo, the Executive Director of the Uganda Communications Commission (UCC) said BitChat should not be seen as a shield against potential communication restrictions. He emphasised that the government still has the technical ability to regulate or disable digital platforms if deemed necessary.

 

Mr. Thembo pointed out that Uganda has a significant number of skilled software engineers and developers within government and its regulatory agencies, allowing authorities to monitor or even shut down platforms that operate outside the country’s legal and regulatory framework.

“We have the highest concentration of software engineers and developers in this country. It is very easy for us to switch off such platforms if the need arises,” he said.

REGULATION | Uganda Communications Commission Director Says Its ‘Very Easy’ for Government to Switch Off BitChat

His comments come amid increased online political activity, with some opposition supporters encouraging the use of alternative communication tools over fears that mainstream social media services could be restricted during the election period.

Ugandan opposition leader, Bobi Wine, is urging his supporters to download Jack Dorsey’s decentralized peer-to-peer messaging service, Bitchat, as the country prepares for its 2026 presidential election, amid concerns that the government may restrict internet access.

Ugandan Opposition Leader Triggers a Surge in Downloads for BitChat, a Decentralized Messaging App

Following widespread protests over ongoing power and water outages in Antananarivo and beyond in 2025, Madagascar similarly saw a striking increase in downloads and search interest for Bitchat. 

Given growing concerns globally about privacy and messaging censorship, some observers believe interest in decentralized, encrypted platforms like Bitchat will continue to climb – especially in regions facing instability.

Protests in Madagascar Trigger Surge in Downloads for BitChat, a Decentralized Messaging App

 

 

Stay tuned to BitKE for deeper insights into the African crypto space.

Join our WhatsApp channel here.

Follow us on X for the latest posts and updates

Join and interact with our Telegram community

_________________________________________

PayCrest, a Nigerian stablecoin startup, has raised $404,000 in a pre-seed funding round as it moves from experimentation into production-scale execution.

The round attracted participation from:

Hashed Emergent

StarkWare

LAVA

Microtraction, and

Sunny Side Venture Partners,

alongside a group of angel investors.

INTRODUCING | StarkWare (Starknet) Unveils $4 Million Venture Fund for Blockchain Startups in Africa

Paycrest is building decentralized infrastructure that coordinates fragmented stablecoin and fiat liquidity to enable predictable, cross-border settlement. Rather than iterating on existing payment rails, the company is pursuing a fundamentally different approach to how global settlement is coordinated – one designed to be reliable, fast, and resilient under real-world conditions.

Over the past year, Paycrest says it has progressed deliberately from exploration to execution. The team says it has tested live settlement corridors, liquidity models, and compliance frameworks in production environments, using real transaction flows rather than simulations. What began as experimentation has since matured into infrastructure that businesses actively rely on.

 

“The focus was never perfection,” the company said.

“It was about learning under load – observing how liquidity behaves when customers depend on it, stress-testing routing, and integrating with partners in live conditions.”

LIST | 8 African Projects Among Winners in the 2024 Base OnChain Buildathon

At the core of Paycrest’s architecture is a system that allows liquidity providers to retain full control of their funds, while multiple verified provision nodes contribute liquidity across markets. These nodes are coordinated through a federated execution layer designed to ensure consistent settlement outcomes, even under demand pressure.

The protocol is built to gradually decentralize, expanding participation as reliability and trust compound over time.

FUNDING | Nigerian Stablecoin Fintech, Kredete, Raises $22 Million Series A After Crossing 700K Users and $500 Million+ in Remittances

According to Paycrest, its differentiation is not a single feature or a faster interface, but a conviction that decentralized settlement must become the default to matter at scale.

Looking ahead to 2026, Paycrest says it is entering a new phase – one defined less by experimentation and more by execution. The company’s strategy is intentionally narrow: establish one high-volume corridor that is “boringly reliable,” then replicate that reliability across additional markets.

2026 OUTLOOK | Top 15 Web3 VCs in 2025 and How They’re Looking at 2026

This next phase will focus on:

Deepening the liquidity provider network

Strengthening multi-chain settlement, and

Building products that prioritize predictability over complexity.

By reinforcing core infrastructure where it matters most, Paycrest aims to scale across geographies and serve millions of users – not by expanding everywhere at once, but by being dependable where demand is highest.

“The rails work,” the company said. “Now they have to become impossible to ignore.”

REPORT | Nigeria is One of Developing Countries Accounting for the Majority of Actual On-Chain Activity, Says a16z’s ‘State of Crypto 2025’ Report

 

 

Sign up for BitKE Alerts for the latest crypto funding updates across Africa.

Join our WhatsApp channel here.

Follow us on X for the latest posts and updates

Join and interact with our Telegram community

_______________________________

Nigeria mandated crypto exchanges and service providers to collect and report their clients’ TINs and NINs, expanding its identity tracing system to the crypto ecosystem.

The new directive is one of the most comprehensive tax and regulatory reforms affecting the Nigerian cryptocurrency sector, linking digital asset transactions directly to taxpayers’ identities rather than relying on blockchain surveillance. This new regime, effective January 1, 2026, is embedded within the Nigeria Tax Administration Act (NTAA) 2025, and expands how authorities monitor and tax crypto activity.

REGULATION | Nigeria Reportedly Moves Closer to Crypto Tax Framework – All Crypto Transactions, Airdrops, and Bounties Identified as Taxable

Under the reformed framework, Virtual Asset Service Providers (VASPs) – including exchanges and other crypto platforms operating in Nigeria – must collect and submit detailed information on customer transactions to the Nigeria Revenue Service (NRS) and other regulators. Reports must include the nature and value of transactions as well as customer names, contact information, and tax identifiers.

For individuals, this specifically means linking activity to both a Tax Identification Number (TIN) and a National Identification Number (NIN).

By anchoring crypto reporting in Nigeria’s existing tax and identity systems, authorities aim to make cryptocurrency activity visible for compliance and enforcement without directly analyzing blockchain data – a process that can be technically complex and costly. Officials believe that connecting crypto transactions to real identities will help match digital asset gains with declarations in the formal tax system, closing enforcement gaps that existed under prior regulations.

TAXATION | Crypto Profits Will Be Subject to Personal Income Tax, Reveals Chairman of Nigeria Tax Reforms Committee

What Platforms Now Must Do

Collect and verify TIN and NIN: Platforms must gather users’ identification details, linking each transaction to certified tax and national ID numbers.

Monthly reporting: Detailed transaction records – including user IDs, transaction dates, values, balances, and any large or suspicious transfers – must be regularly submitted to tax authorities.

Record retention: Crypto firms are required to store customer and transaction data for a minimum number of years (commonly seven), enabling retroactive audits and regulatory checks.

Penalties: Failure to comply can lead to significant fines (e.g., around ₦10 million for initial infractions and additional charges for continued non-compliance), with the possibility of licensing sanctions for persistent breaches.

CRYPTO CRIME | Nigerian Court Jails Man for 5 Years for Money Laundering via Crypto

Broadening Oversight and AML Reporting in Line with Global Standards

As part of the expanded regime, VASPs must also flag large or suspicious transactions to Nigerian tax and financial intelligence units, effectively extending anti-money-laundering (AML) obligations into the crypto sector. This heightens the compliance burden but also brings Nigeria’s digital asset policies more in line with traditional financial oversight.

Nigeria’s changes coincide with the OECD’s Crypto-Asset Reporting Framework (CARF), which also took effect on January 1 2026 and is designed to facilitate cross-border sharing of crypto tax data among jurisdictions.

REGULATION | Crypto Asset Reporting Framework (CARF) Tax Rules Go Live From January 2026 – Uganda and South Africa Among Implementing Nations

By linking crypto activity to TINs and NINs, Nigeria aims to align its domestic enforcement with these emerging global tax compliance standards and reduce crypto-related tax evasion.

For Nigerian crypto users and service providers, the reforms mean that digital asset activity can no longer be conducted anonymously for tax purposes. Transactions are now part of a broader reporting ecosystem where they can be matched to individual tax records and examined for compliance. Experts say the move could significantly enhance tax revenue collection and integrate digital assets more fully into Nigeria’s financial and legal frameworks.

REGULATION | Nigeria Sues Binance for $81.5 Billion in Economic Losses and Unpaid Taxes

 

 

Want to keep up with the latest news on crypto regulations in Nigeria?

Join our WhatsApp channel here.

Follow us on X for the latest posts and updates

Join and interact with our Telegram community

___________________________________________

A major milestone in stablecoin-powered payments has been reached  after Noah – a global payments infrastructure provider – and NALA – an emerging markets fintech – announced a strategic partnership to launch a new cross-border settlement network that leverages stablecoins to make international money movement faster, cheaper, and compliant.

FUNDING | Tanzanian Fintech, Nala, Raises $40 Million in Series A Following 10x Revenue Growth and ~500K User Growth

This network is designed to address systemic bottlenecks that have long plagued cross-border payments into Africa, Asia and other emerging economies – where settlement delays, trapped liquidity, and steep fees have made international transfers slow and costly.

Traditional cross-border transfers depend on legacy correspondent bank systems that can take three to five business days or more to settle and often charge high fees – remittance corridors in some regions still average close to 9% in costs.

The new Noah–NALA network aims to upend this by enabling near-instant USD collection and local currency payout, operating 24/7 and independent of banking hours. This model combines real-time stablecoin rails with regulated on-and off-ramps – a growing trend in payments infrastructure seen across global fintech innovation.

FINTECH AFRICA | NALA, One of Africa’s Leading Fintechs with Over 1 Million Active Users, is Building an On-Off-Ramp for Stablecoins

 

How the Network Works

At a high level, the settlement network stitches together two complementary capabilities:

 

1.) Global USD Collection (Noah)

Businesses receive USD via regulated virtual accounts issued by Noah.

Incoming bank transfers are converted in real time into stablecoins (e.g., USDC).

Noah handles onboarding, KYC/AML compliance, and transaction monitoring, providing a regulated gateway into the stablecoin ecosystem.

REGULATION | NALA Secures PSP and System Operator Licenses from Bank of Uganda to Deepen Local Infrastructure

2.) Local Distribution (NALA + Rafiki)

Once funds are converted into stablecoins, they pass into NALA’s Rafiki payments infrastructure API.

Rafiki connects directly with local banks and mobile money networks across Africa and other emerging markets.

The network supports compliant bilateral flows between stablecoins and local currencies, backed by 10+ regulatory licences held by NALA.

Together, these rails deliver real-time settlement and local currency payouts, dramatically reducing time, cost, and friction compared with legacy methods.

PARTNERSHIP | Pesalink, NALA, and Equity Bank Partner to Transform Cross-Border Payments into Kenya

 

Use Cases & Market Impact

The Noah–NALA settlement network is positioned to support a broad suite of payment flows that are critical for businesses operating across borders:

Global Payroll & Freelancer Payouts Companies can pay workers and contractors in local currency with USD-denominated settlement at near-instant speeds.

Cross-Border Treasury & Liquidity Management Enterprises gain real-time control over liquidity across jurisdictions, reducing reliance on trapped capital in prejuiced bank accounts.

Value Preservation via USD Holdings Access to virtual USD accounts provides businesses and consumers in volatile currency environments with a practical hedge.

Merchant Collections & Local Payouts Platforms can collect USD globally, then pay out locally — a compelling value proposition for e-commerce and marketplaces.

REGULATION | NALA Secures Bank of Ghana Greenlight, Partners with BigPay for Cross-Border Payments

Stablecoins as Settlement Rails

While stablecoins are often discussed in crypto circles as speculative instruments, this latest initiative underscores their utility as settlement rails within regulated infrastructure.

Rather than replacing fiat currencies, stablecoins serve as a high-speed bridge asset, enabling value to be transmitted globally before final distribution into local currencies – similar to how some enterprise payment networks (e.g., Fireblocks Network for stablecoin payments) are building rails that merge blockchain efficiency with compliance and liquidity controls.

This marks a broader shift in the financial ecosystem: from correspondent banking and batch settlement models to real-time, API-driven frameworks that combine digital assets with regulated fiat rails.

Tanzanian App, NALA, Partners with Equity Bank Kenya for Remittance Transfers

Shah Ramezani, Founder & CEO, Noah, emphasised that the collaboration tackles deep structural inefficiencies:

“For years, emerging markets have been underserved by global payment infrastructure that was never designed for its scale, speed, or realities… Stablecoins are not the story on their own — they are the rail that finally makes instant, compliant USD settlement possible at scale.”

 

Benjamin Fernandes, Founder & CEO, NALA, noted the demand for stablecoin infrastructure in emerging markets:

“Access to compliant USD collection and stablecoin settlement at scale has been one of the biggest constraints for global businesses operating in these regions.”

 

Emerging markets’ digital payments volumes are projected to exceed $1.5 trillion annually by 2030 – a segment where speed, cost, and liquidity access can make or break businesses.

By embedding stablecoins into regulated infrastructure and integrating local distribution channels, the Noah–NALA network positions itself as a settlement layer for the next generation of global money movement.

The move could fundamentally shift how merchants, platforms, and enterprises handle cross-border value flows into and within the world’s fastest-growing economies.

2025 RECAP | Stablecoins Surged by ~50% in 2025 – The Biggest Year on Record

 

 

Stay tuned to BitKE Updates on Stablecoin developments across Africa.

Join our WhatsApp channel here.

Follow us on X for the latest posts and updates

Join and interact with our Telegram community

___________________________________________

The decentralized application, BitChat, has surged to become the most-downloaded app in Uganda after authorities cut off public internet access nationwide during the presidential election period, officials confirmed.

The temporary internet shutdown – ordered by the Uganda Communications Commission (UCC) and implemented from January 13 2025 – applies to mobile data, fibre, and other public internet services. The regulator said the move aims to curb the spread of online misinformation, disinformation and content that could incite violence in the politically sensitive run-up to Thursday’s vote.

As a result, Bitchat – an encrypted decentralized messaging app that functions without internet using Bluetooth mesh networking – now leads the charts on both Apple’s App Store and Google Play in Uganda. Virtual Private Network (VPN) apps also ranked highly, underscoring the strong local demand to access information and communication tools despite the blackout.

How BitChat is Used to Keep Everyone Connected During Internet Blackouts

Last week, UCC Executive Director Nyombi Thembo had insisted that the internet would not be disconnected and even claimed the regulator possessed the technical ability to block Bitchat itself if necessary.

“Why would you use Bitchat when there is internet?” Thembo said, adding that his team could restrict platforms operating outside Uganda’s legal framework.

REGULATION | Uganda Communications Commission Director Says Its ‘Very Easy’ for Government to Switch Off BitChat

This development mirrors rising public interest in the decentralized app after opposition leader, Bobi Wine, urged supporters to download it, warning that the government might again cut connectivity as it has in previous elections. According to previous BitKE report, searches for ‘Bitchat’ in Uganda spiked sharply after his appeal, suggesting that fears of a shutdown helped fuel adoption.

Ugandan Opposition Leader Triggers a Surge in Downloads for BitChat, a Decentralized Messaging App

Wine highlighted that Bitchat’s peer-to-peer, decentralized design allows messaging without internet, potentially enabling communication across large groups even when networks are disabled – a feature particularly attractive in election conditions where internet services are curtailed.

Uganda has previously blocked internet and social media during elections – in both 2016 and 2021 – a pattern that has drawn criticism from rights advocates who say such shutdowns hinder transparency and suppress civic participation.

Despite government assertions that the shutdown is a security precaution, critics argue that restricting internet access and online platforms like Bitchat may suppress election-related information and undercut democratic engagement.

Protests in Madagascar Trigger Surge in Downloads for BitChat, a Decentralized Messaging App

 

 

Stay tuned to BitKE Updates on Web3 developments across Africa.

Join our WhatsApp channel here.

Follow us on X for the latest posts and updates

Join and interact with our Telegram community

___________________________________________

African fintech startup Taran App has received a grant from Base, Coinbase’s Ethereum Layer-2 network, marking a major milestone in its mission to simplify how Africans move money across borders and into global digital assets.

For Taran App, the grant is more than funding – it is validation.

 

According to Bile Ahmed, CEO, Taran App:

“This grant from Base is a strong validation of our mission to build practical, compliant crypto infrastructure for real-world payments in Africa. 

By leveraging the Base network, we are accelerating low-cost, scalable rails that connect stablecoins to everyday financial use cases and strengthen Africa’s role in the global digital economy.”

 

Pointing to years of deep technical work and market-specific design focused on how Africans actually move money – particularly across fragmented mobile money systems and into stablecoins, Eric Michubu, Co-founder & COO, Taran App, said:

“This milestone represents a strong validation of both the problem we set out to solve and the approach we have taken.”

 

Solving a Real African Payments Problem

Across Africa, mobile money remains the backbone of everyday payments. But moving value between different mobile money networks – or from mobile money into global crypto rails like stablecoins – is still slow, expensive, and operationally complex.

Taran App was built to address that gap.

The platform enables non-custodial swaps between African mobile money ecosystems and stablecoins, allowing users to retain control of their funds while accessing faster, more transparent settlement. By removing unnecessary intermediaries, Taran App aims to reduce friction while maintaining reliability and trust – two requirements often missing in cross-border payment solutions.

 

The team says designing this system was anything but simple:

“Building a non-custodial swap model that removes unnecessary intermediaries while remaining transparent and reliable was technically demanding, but essential to building trust,” Eric noted.

 

Why Base Selected Taran App

Taran’s selection came from a competitive pool of applicants and followed a structured evaluation process by the Base ecosystem. According to the team, the assessment focused on:

The clarity and urgency of the problem being solved

The robustness of the proposed solution

Technical execution and architecture

Broader economic impact of the platform

 

Taran App stood out by tackling a challenge that sits at the intersection of African financial infrastructure and global crypto rails – enabling easier movement between mobile money and stablecoins while prioritising security, user control and system integrity.

 

As Eric explains:

“There are SMEs that use M-PESA to receive payment but they cannot really use M-PESA to pay their suppliers and have to either bank it or send someone across the borders. 

These are the kinds of people we’re helping and by using our platform to settle invoices across the borders, it simplifies the process of having to move or convert the money.

So far we’re catering for Kenya, Tanzania, Uganda, and the Somalia market.”

 

This focus aligns closely with Base’s goal of supporting applications that bring real-world utility to blockchain technology.

 

Designed for Simplicity, Speed and Security

From the outset, Taran App says its product philosophy has been guided by three principles: 

Simplicity

Speed, and 

Security

The app is designed to work seamlessly across devices and user types – from individuals moving personal funds to businesses managing cross-border payments. Behind the scenes, this required deep technical work to ensure reliability without sacrificing usability.

Just as importantly, the non-custodial design ensures users maintain control of their funds, an increasingly important trust factor as crypto adoption grows across Africa.

According to Eric, the company is actively engaging the regulators and looking to get licensed in Kenya, South Africa, and Botswana.

 

What Comes Next for Taran App

With the Base grant secured, Taran App is looking ahead to its next phase of growth. Key priorities include:

Expanding corridor coverage across Africa, connecting more mobile money systems

Integrating additional stablecoins to increase flexibility and liquidity

Strengthening enterprise use cases, particularly for cross-border business payments

Continued investment in security, infrastructure and user experience

As stablecoins become an increasingly important settlement layer for African fintechs, Taran App is positioning itself as a bridge between familiar mobile money systems and global on-chain liquidity.

FUNDING | MyStocks.Exchange Receives Strategic Grant from Coinbase, Base Ecosystem Following 2025 Base Africa Founders Fellowship Program Participation

 

 

Sign up for BitKE Alerts for crypto updates from across Africa.

Join our WhatsApp channel here.

Follow us on X for the latest posts and updates

Join and interact with our Telegram community

_________________________________________

African fintech startup Taran App has received a grant from Base, Coinbase’s Ethereum Layer-2 network, marking a major milestone in its mission to simplify how Africans move money across borders and into global digital assets.

For Taran App, the grant is more than funding – it is validation.

 

According to Bile Ahmed, CEO, Taran App:

“This grant from Base is a strong validation of our mission to build practical, compliant crypto infrastructure for real-world payments in Africa. 

By leveraging the Base network, we are accelerating low-cost, scalable rails that connect stablecoins to everyday financial use cases and strengthen Africa’s role in the global digital economy.”

 

Pointing to years of deep technical work and market-specific design focused on how Africans actually move money – particularly across fragmented mobile money systems and into stablecoins, Eric Michubu, Co-founder & COO, Taran App, said:

“This milestone represents a strong validation of both the problem we set out to solve and the approach we have taken.”

 

Solving a Real African Payments Problem

Across Africa, mobile money remains the backbone of everyday payments. But moving value between different mobile money networks – or from mobile money into global crypto rails like stablecoins – is still slow, expensive, and operationally complex.

Taran App was built to address that gap.

The platform enables non-custodial swaps between African mobile money ecosystems and stablecoins, allowing users to retain control of their funds while accessing faster, more transparent settlement. By removing unnecessary intermediaries, Taran App aims to reduce friction while maintaining reliability and trust – two requirements often missing in cross-border payment solutions.

 

The team says designing this system was anything but simple:

“Building a non-custodial swap model that removes unnecessary intermediaries while remaining transparent and reliable was technically demanding, but essential to building trust,” Eric noted.

 

Why Base Selected Taran App

Taran’s selection came from a competitive pool of applicants and followed a structured evaluation process by the Base ecosystem. According to the team, the assessment focused on:

The clarity and urgency of the problem being solved

The robustness of the proposed solution

Technical execution and architecture

Broader economic impact of the platform

 

Taran App stood out by tackling a challenge that sits at the intersection of African financial infrastructure and global crypto rails – enabling easier movement between mobile money and stablecoins while prioritising security, user control and system integrity.

 

As Eric explains:

“There are SMEs that use M-PESA to receive payment but they cannot really use M-PESA to pay their suppliers and have to either bank it or send someone across the borders. 

These are the kinds of people we’re helping and by using our platform to settle invoices across the borders, it simplifies the process of having to move or convert the money.

So far we’re catering for Kenya, Tanzania, Uganda, and the Somalia market.”

 

This focus aligns closely with Base’s goal of supporting applications that bring real-world utility to blockchain technology.

 

Designed for Simplicity, Speed and Security

From the outset, Taran App says its product philosophy has been guided by three principles: 

Simplicity

Speed, and 

Security

The app is designed to work seamlessly across devices and user types – from individuals moving personal funds to businesses managing cross-border payments. Behind the scenes, this required deep technical work to ensure reliability without sacrificing usability.

Just as importantly, the non-custodial design ensures users maintain control of their funds, an increasingly important trust factor as crypto adoption grows across Africa.

According to Eric, the company is actively engaging the regulators and looking to get licensed in Kenya, South Africa, and Botswana.

 

What Comes Next for Taran App

With the Base grant secured, Taran App is looking ahead to its next phase of growth. Key priorities include:

Expanding corridor coverage across Africa, connecting more mobile money systems

Integrating additional stablecoins to increase flexibility and liquidity

Strengthening enterprise use cases, particularly for cross-border business payments

Continued investment in security, infrastructure and user experience

As stablecoins become an increasingly important settlement layer for African fintechs, Taran App is positioning itself as a bridge between familiar mobile money systems and global on-chain liquidity.

FUNDING | MyStocks.Exchange Receives Strategic Grant from Coinbase, Base Ecosystem Following 2025 Base Africa Founders Fellowship Program Participation

 

 

Sign up for BitKE Alerts for crypto updates from across Africa.

Join our WhatsApp channel here.

Follow us on X for the latest posts and updates

Join and interact with our Telegram community

_________________________________________

South Africa’s Financial Sector Conduct Authority (FSCA) has approved 300 crypto asset service providers (CASPs) since the country formally began licensing the sector in mid-2023, underscoring both rapid industry uptake and intensified regulatory scrutiny .

The licensing process, which commenced on 1 June 2023 under the Financial Advisory and Intermediary Services (FAIS) Act, had received a total of 512 CASP license applications as of 12 December 2025. Of these, 300 applications were approved, 14 were declined, while 121 were voluntarily withdrawn after engagements with the regulator regarding business and operating models.

The remaining applications are still under review.

REGULATION | South African Regulator, FSCA, to Start Issuing First Batch of Crypto Licenses

Why Some Applications Were Declined

According to the FSCA, license rejections have largely stemmed from applicants failing to meet fit and proper requirements under the FAIS Act.

Key shortcomings included:

Weak operational capacity – such as unclear or incomplete business plans, and

Inability to demonstrate sufficient technical knowledge and practical experience in crypto assets.

Entities that withdrew or had their applications declined may re-apply in the future, provided they can demonstrate full compliance. Until then, they are prohibited from conducting any CASP-related activities as defined under the FAIS Act.

REGULATION | South Africa Has Now Approved 248 Crypto Providers Out of 420 Received So Far, Only 9 Applications Rejected

Crackdown on Unlicensed Crypto Operators

Enforcement activity has also accelerated. The FSCA has launched 81 investigations into suspected unlicensed crypto businesses. Of these, 25 cases were closed – primarily because the entities stopped operating or were dormant – while 56 investigations remain ongoing.

The regulator warned that any person or institution offering crypto services without a licence will face enforcement action.

REGULATION | South African Regulator, FSCA, Pursuing 30 Crypto Firms Operating Without Licenses

AML, CFT, and Supervisory Inspections Underway

Beyond licensing, the FSCA is supervising CASPs for compliance with anti-money laundering (AML), counter-terrorism financing (CFT) and countering proliferation financing (CFP) obligations under the Financial Intelligence Centre (FIC) Act.

Between January and March 2025, the authority conducted its first 10 supervisory inspections, focusing on governance structures, risk management and compliance programmes, and business risk assessments. A further 30 inspections were scheduled between April 2025 and March 2026, with 21 already completed at the time of reporting.

Most of these inspections assess whether newly licensed CASPs can meet their regulatory obligations in line with their inherent AML/CFT/CFP risk profiles.

REGULATION | South Africa Adopts the Crypto-Asset Reporting Framework (CARF) Global Standard to Crack Down on Crypto Money Laundering

Industry Engagement and Exam Deadline

In August 2025, the FSCA launched the Crypto Asset Supervisory Engagement Forum (CASEF) to facilitate regular engagement with industry players. The forum is designed to:

Improve information sharing

Align supervisory expectations, and

Deepen understanding of emerging risks and trends

in the crypto sector.

The regulator also confirmed that the regulatory examination exemption initially granted to CASPs expired on June 30 2025, following a final extension from November 2024. All licensed CASPs and their key individuals were required to meet the regulatory exam standards set out in Board Notice 194 of 2017 by that date.

Failure to comply could result in licence suspension or withdrawal under the FAIS Act.

REGULATION | The Travel Rule Takes Effect in South Africa and Regulated Crypto Exchanges Are Complying

Crypto Still Not Legal Tender

The FSCA reiterated that its mandate does not extend to recognising crypto assets as legal tender. The South African Reserve Bank does not classify crypto assets as currency, and the FSCA’s authority is limited to regulating financial services related to crypto, such as advisory, intermediary, and investment management services.

Crypto assets are defined as digital representations of value that are not issued by a central bank, use cryptographic techniques and distributed ledger technology, and can be traded, transferred or stored electronically for payment, investment, or utility purposes.

The full list of licensed CASPs, including firms that later exited the crypto market or had licences withdrawn or lapsed, is available on the FSCA’s website.

South Africa’s Financial Regulator, FSCA, Declares Crypto Assets as a Financial Product

 

 

 

Stay tuned to BitKE on crypto regulation across Africa.

Join our WhatsApp channel here.

Follow us on X for the latest posts and updates

Join and interact with our Telegram community

___________________________________________

CoinGecko’s latest research highlights the staggering scale of crypto project failures in recent years, revealing that more than half of all cryptocurrencies ever listed have effectively died.

Out of nearly 7 million tokens and coins tracked on GeckoTerminal since 2021, about 3.7 million – roughly 52.7 % – have ceased active trading and are now considered failed projects. A dramatic acceleration in project collapses has taken place, with the largest share of failures occurring in 2024 and early 2025.

The first quarter of 2025 marked a particularly intense period of attrition, as 1.8 million tokens collapsed by March 31 2025, representing the highest number of failures recorded in a single year to that point and accounting for nearly half of all project deaths since 2021.

The turmoil in 2025 did not stop there. The crypto market endured unprecedented turbulence throughout the year that saw more than 11.6 million projects fail — the highest annual total on record. Memecoins were hit hardest, disproportionately driving this wave of collapses as speculative tokens with minimal fundamentals struggled to survive broader downturns and liquidity stress.

INTRODUCING | Pump.Fun Decentralized Exchange, PumpSwap, Surpasses $100 Million TVL in Less Than 2 Months Amid Memecoin Trading Surge

The fourth quarter of 2025 was among the worst periods, with about 7.7 million tokens listed on GeckoTerminal ceasing trading between October and December 2025. A key catalyst for this spike in failures was the October 10 2025 market crash, which saw over $19 billion in leveraged crypto positions liquidated in a single day, sharply reducing token survivability and triggering widespread sell-offs across low-quality projects.

Industry observers attribute much of this collapse to both market volatility and the sheer volume of token launches. The number of projects listed on GeckoTerminal surged from about 3 million at the end of 2024 to nearly 20 million by the end of 2025, fueled in large part by low-friction launch tools such as the Solana memecoin launchpad, pump.fun.

STATISTICS | Pump.Fun MemeCoins Face Mass Extinction – Less Than 1% Survive

These platforms drastically lowered barriers to creation, resulting in a flood of “low-effort” memecoins and speculative tokens that lacked long-term viability.

Year of Launch Number of  Dead Coins 2021 2,584 2022 213,075 2023 245,049 2024 1,382,010 2025 11,564,909

Overall, the combined data underscores a broader trend in which easier token creation and heightened market stress have contributed to a dramatic increase in crypto project failures, reshaping the digital asset landscape and highlighting the risks inherent in speculative token markets.

2025 RECAP | Crypto Losses Increased by ~40% YoY in 2025

 

Stay tuned to BitKE on crypto updates.

Join our WhatsApp channel here.

Follow us on X for the latest posts and updates

Join and interact with our Telegram community

___________________________________________

India’s Financial Intelligence Unit (FIU), the regulatory body responsible for anti-money-laundering (AML) and know-your-customer (KYC) standards, has introduced new guidelines that significantly strengthen onboarding requirements for cryptocurrency users.

Under the updated rules, registered crypto exchanges must now:

Verify users through live selfie photos and geographic location checks, according to reports. The live selfies are processed with specialized software designed to track eye and head movements to prevent the use of static images or AI-generated deepfakes to circumvent identity checks.

Capture a user’s geolocation and IP address at the point of account creation, including a timestamp of when the account was opened. To meet AML obligations, platforms must confirm users’ bank account ownership by sending a small test transfer.

Require users to submit additional government-issued photo ID and verify both their email address and mobile number to complete account registration with a licensed crypto exchange.

REGULATION | FATF Reportedly Pushing Regulators to Pass Legislation Enabling Freezing Crypto Accounts to Combat Financial Crime

These changes reflect India’s broader regulatory approach toward digital assets. With one of the largest potential markets in the world, regulators are aiming for greater compliance and transparency in the crypto sector.

In addition to AML requirements, India’s tax authorities have warned lawmakers that cryptocurrencies are increasingly being used to evade taxes, citing structural features of the sector that make enforcement difficult. Officials from the Income Tax Department (ITD) told parliamentary lawmakers that decentralized exchanges, anonymous wallets and the cross-border nature of crypto transactions weaken the government’s ability to track activity and ensure compliance. They added that differing tax regimes across jurisdictions further complicate efforts to effectively tax digital assets.

REGULATION | Crypto Asset Reporting Framework (CARF) Tax Rules Go Live From January 2026 – Uganda and South Africa Among Implementing Nations

Under India’s current tax framework, profits from cryptocurrency transactions are subject to a flat 30% tax, with investors only allowed to deduct the original purchase cost from their gains. Traders are also barred from offsetting profits with losses from other crypto trades, a restriction that prevents tax-loss harvesting and has been widely criticized by market participants.

REGULATION | The Latest 2024 Regulatory Requirements for Digital Assets Exchanges and VASPs in Nigeria

 

 

Stay tuned to BitKE for deeper insights into the evolving global crypto regulatory space.

Join our WhatsApp channel here.

Follow us on X for the latest posts and updates

Join and interact with our Telegram community

________________________________________

The U.S. Treasury Department’s plan to increase scrutiny of overseas money transfers should not hurt people who can demonstrate that the funds did not come from social service payments, U.S. Treasury Secretary Scott Bessent told Reuters on Friday.

Bessent said the Treasury’s Financial Crimes Enforcement Network (FinCEN) is investigating some money services businesses in connection with alleged abuses of federal social benefits programs in Minnesota, and that the Internal Revenue Service will audit certain banks over suspected money-laundering.

‘Proceeds of Crime Are Laundered and Concealed Within Real Estate or Cryptocurrency in Kenya,’ Says Kenyan Director of Criminal Investigations (@DCI_Kenya)https://t.co/AHJRhrKJDb @FBI @INTERPOL_HQ @FBIDirectorKash @elonmusk @KeTreasury @CMAKenya @CBKKenya

— BitKE (@BitcoinKE) December 29, 2025

FinCEN has also issued a geographic targeting order covering banks and money transmitters in Minnesota’s Hennepin and Ramsey counties that will require firms to report additional information on funds moved out of the United States, including reporting transactions above $3,000.

FRAUD | Kenya Implicated in America’s Largest Pandemic Financial Fraud

When asked whether heightened scrutiny might discourage legitimate remittances by migrants sending money to family abroad, Bessent said it should not.

“Anyone who can prove where the money has come from … is fine,” he said in an interview after visiting the Minneapolis-area engineering lab of RV and boat maker Winnebago Industries.

 

Bessent added that payments by people legally in the United States are usually sent through regulated banks.

“You cannot send welfare money from the people of Minnesota to Somalia, right? Like, that just means you’re getting too much, or you can’t send stolen money,” he said.

 

Remittances make up significant portions of the gross domestic product of many poorer countries, including El Salvador and Somalia.

Minnesota Governor Tim Walz, a Democrat and former vice-presidential candidate, has said he will not seek a third term and will instead focus on allegations of state welfare fraud that have become a crisis amid pressure from Republican U.S. President Donald Trump’s administration.

Trump’s administration has highlighted Walz and Minnesota’s large Somali American and immigrant community in connection with fraud allegations involving some non-profit groups that run the state’s childcare and other social services programs funded by the federal government.

At least 56 people have pleaded guilty since federal prosecutors began bringing charges in 2022 under Trump’s Democratic predecessor, Joe Biden.

MILESTONE | Kenya Diaspora Remittances Hit Historic KES 1 Trillion (~$7.7 Billion) by November 2025, Says Prime Cabinet Minister

 

 

Stay tuned to BitKE for financial crime developments globally.

Join our WhatsApp channel here.

Follow us on X for the latest posts and updates

Join and interact with our Telegram community

___________________________________________

Andreessen Horowitz (a16z), one of Silicon Valley’s largest venture capital firms, has raised over $15 billion across multiple funds to back technology companies it sees as critical to America’s future.

 

In a statement shared on X, Co-Founder, Ben Horowitz framed the raise as part of a broader mission to help the U.S. “win the next 100 years of technology,” highlighting crypto and artificial intelligence as core technologies in that effort.

 

“Responsibility is a heavy responsibility” – Cheech

 

As the American leader in Venture Capital, the fate of new technology in the United States rests partly on our shoulders. Our mission is ensuring that America wins the next 100 years of technology. That starts with winning the key architectures of the future – AI and crypto. It continues with applying those technologies to the key areas that generate human flourishing: biology, health, defense, public safety, education, and entertainment. And it culminates with the American government adopting these technologies to defend and advance American interests.

 

If we fail to push the policies of the country in the right direction, America will likely lose its position as the global leader in technology. We have already seen the beginnings of this in both AI and crypto. And if America’s position as the global leader in technology slips, it’s not long before everything else slips with it.

 

The technology landscape that we will be investing into is dynamic, innovative, and intensely competitive with China.

https://t.co/1Hdgrkd7WL

— a16z (@a16z) January 9, 2026

Although a16z didn’t allocate a dedicated new crypto fund in this round, the firm said its existing investments in web3 and blockchain-related companies remain part of its growth strategy, and that crypto continues to be a key piece of long-term innovation and competitiveness.

 

According to Horowitz:

We will invest in the best and the brightest entrepreneurs and help them to build generational companies. In doing so, we will work doubly hard to make sure the benefits go to America, the American people, and our many friends and allies around the world.

REPORT | Nigeria is One of Developing Countries Accounting for the Majority of Actual On-Chain Activity, Says a16z’s ‘State of Crypto 2025’ Report

The capital will be deployed across areas including growth-stage startups, apps and infrastructure, American dynamism initiatives, and bio and healthcare — with crypto themes threaded through the broader tech portfolio.

2026 OUTLOOK | Top 15 Web3 VCs in 2025 and How They’re Looking at 2026

 

 

Stay tuned to BitKE on crypto updates from across the globe.

Join our WhatsApp channel here.

Follow us on X for the latest posts and updates

Join and interact with our Telegram community

___________________________________________

Tether and the United Nations Join Forces to Strengthen Community Resilience against Crime and Protect Victims

Tether, the largest company in the digital asset ecosystem,has announced a joint initiative with the United Nations Office on Drugs and Crime (UNODC), a global leader in combating illicit drugs, transnational organized crime, terrorism, and corruption.

REPORT | Stablecoins Now Account for the Majority of Illicit Transactions in Crypto, Says Chainalysis

Emerging as the third-fastest-growing crypto region, Africa is increasingly vulnerable to digital asset scams and fraud. A recent Interpol operation uncovering $260 million in illicit crypto and fiat across Africa signifies the continent’s urgent need to strengthen its cybersecurity against online criminal activities.

REGULATION | INTERPOL and AFRIPOL Crack Down on Crypto-Based Terrorism Financing Worth ~$430,000 in Kenya

Through this collaboration, Tether will support the UNODC’s Strategic Vision for Africa 2030, advancing efforts to promote peace and security by strengthening community resilience and safeguarding digital assets. By leveraging blockchain technology and other emerging technologies, the initiative seeks to reduce vulnerabilities to cybercrime, strengthen economic opportunities, and support victims of human trafficking across Africa.

Currently, Tether and UNODC are collaborating on the following initiatives:

Senegal Project: Promoting public cybersecurity education for youth through a multi-phase program that begins with learning opportunities and a bootcamp, including a session by the Plan B Foundation, a collaboration between Tether and the City of Lugano, accompanied by coaching, mentorship, and micro-grants to help participants further develop their projects and ideas.

Africa Project: Funding and supporting a select number of civil society organizations that provide direct assistance and protection to victims of human trafficking across Senegal, Nigeria, DRC, Malawi, Ethiopia, and Uganda.

Papua New Guinea Project: Working with the University of Papua New Guinea and the University of Solomon Islands to raise youth awareness on financial inclusion and digital asset fraud prevention, incentivising innovation through a student competition focused on blockchain solutions for financial inclusion and crime prevention.

LIST | Here Are the 3 African Nations Added to the FATF Grey List While Senegal Gets Removed

“Supporting victims of human trafficking and helping prevent exploitation requires coordinated action across sectors,” said Paolo Ardoino, CEO of Tether.

“Through our collaboration with the United Nations Office on Drugs and Crime, we’re backing initiatives that combine innovation and education to empower communities and help create safer, more inclusive opportunities for those who need them most.” 

 

“Digital assets are reshaping how the world engages with money and play a vital role in unlocking Africa’s development potential, while contributing to the United Nations peace and security agenda,” said Sylvie Bertrand, UNODC Regional Representative for West and Central Africa.

“I am excited by the prospect of a tripartite partnership, bringing together the United Nations, the private sector, and Senegalese authorities, to support the vision behind Senegal’s Digital New Deal. Through this collaboration, we can advance digital inclusion, strengthen digital skills and youth employability, promote secure and transparent digital ecosystems, and harness innovation to prevent organized crime while fostering sustainable and inclusive economic growth.”

2025 RECAP | Sanctions Fuel Over 160% YoY Record Flow Increase to Illicit Crypto Addresses in 2025

___________

About UNODC

The United Nations Office on Drugs and Crime (UNODC) is at the forefront of the fight against organized crime, including cybercrime since the adoption of the UN Convention against Transnational Organized Crime and its Protocols against these crimes.

UNODC also supports countries in addressing cybercrime and has recently supported the adoption of the new UN Cybercrime Convention. Because the scale of these problems is often too great for states to confront alone, UNODC offers practical assistance and encourages transnational and multisector approaches to action through its network of field offices and global programmes.

CRYPTO CRIME | Kenyan Bank Loses Over KES 500 Million (~$4 Million) in Sophisticated IT System Breach Involving USDT Stablecoin Laundering

 

 

Stay tuned to BitKE on stablecoin updates from across Africa.

Join our WhatsApp channel here.

Follow us on X for the latest posts and updates

Join and interact with our Telegram community

___________________________________________

 

Stablecoin transaction volumes reached an all-time high in 2025, buoyed by strong flows in digital dollar tokens, according to data compiled by Artemis Analytics and reported by Bloomberg.

Total stablecoin transaction value climbed 72% from the prior year (2024), reaching around $33 trillion, the analytics firm said, as use cases for dollar-pegged crypto surged across trading, payments and cross-border transfers.

STABLECOINS | Circulation of Stablecoins Doubled in the Past 18 Months, Says McKinsey

The most active token in the market was USD Coin (USDC), the dollar-pegged token issued by Circle Internet Group Inc., which accounted for about $18.3 trillion in transactions during the year (2025).

Tether’s USDT, another major dollar-linked stablecoin, posted roughly $13.3 trillion in on-chain flows, according to the same data.

STABLECOINS | 40% of All Blockchain Fees Are Paid to Send $USDT Across 9 Major Blockchain Networks

Stablecoins are digital assets designed to maintain a stable value by linking to traditional currencies, most commonly the U.S. dollar, and have become key plumbing for crypto settlement and liquidity.

The record surge in activity followed a series of regulatory moves in the United States that provided clearer legal frameworks for stablecoin use, contributing to broader institutional participation and adoption across financial markets.

OPINION | Why We Will See 1,000 Stablecoins (and Why Most Will Fail)

Despite holding a smaller market capitalization than USDT, USDC’s transaction volume surpassed that of its peers, underlining its growing role in decentralized finance and high-frequency settlement.

USDC’s growing market share over USDT was first reported by BitKE back in 2022 when the stablecoins market was ~15% of the crypto market, which is was about ~155 billion at the time.

In one incident, USDT circulation fell by 6.7% over a 30-day period while USDC climbed by 5.7%.

Stablecoins Surpass 15% of Crypto Market as $USDC Gains on $USDT

Analysts say the expanding footprint of stablecoins reflects their increasing utility in cross-border payments, decentralized trading and as a proxy for digital dollar circulation in global finance.

2025 RECAP | Stablecoins Surged by ~50% in 2025 – The Biggest Year on Record

 

 

Stay tuned to BitKE on stablecoin updates from across the globe.

Join our WhatsApp channel here.

Follow us on X for the latest posts and updates

Join and interact with our Telegram community

___________________________________________

Ongoing global sanctions against nation-states pushed the total value of cryptocurrency received by illicit addresses to historic levels in 2025, as sanctioned actors increasingly turned to on-chain transfers to evade financial restrictions, according to blockchain analytics firm Chainalysis.

 

Illicit Crypto Inflows Hit New Highs

Chainalysis’ latest data shows that illicit cryptocurrency addresses received at least $154 billion worth of crypto in 2025, marking a 162% increase year-over-year from $59 billion in 2024. This surge was driven largely by transactions involving sanctioned entities expanding their on-chain activity.

 

According to a Chainalysis report:

” Even if the value received by sanctioned entities were flat YoY, 2025 would still mark a record year for crypto crime, as activity increased across most illicit categories.

As always, we must caveat that this figure represents a lower-bound estimate based on illicit addresses we’ve identified to date.”

REPORT | Stablecoins Now Account for the Majority of Illicit Transactions in Crypto, Says Chainalysis

Sanctioned Entities Are Leading the Charge

A dramatic 694% jump in funds flowing to sanctioned entities was a key contributor to the record totals, highlighting the growing role of state-linked actors in illicit crypto markets. Chainalysis described the trend as part of a new phase in the development of the illicit on-chain ecosystem, with nation-states leveraging blockchain networks to bypass traditional financial controls.

Among the most prominent cases was Russia’s launch of a ruble-backed stablecoin (A7A5) in February 2025, which processed more than $93.3 billion in transactions within its first year — even as U.S. and EU sanctions targeted the token for facilitating cross-border payments for sanctioned entities.

GLOBAL | Over 60% of Low-Income Countries, Nearly Half of the Global Population, Dealing With Sanctions, Financial Penalties from the U.S.

How Crypto Assets Were Used

According to the report:

Stablecoins dominated illicit transaction volume in 2025, accounting for 84% of all flows to illicit addresses, mirroring broader ecosystem trends where stablecoins command an increasing share of total activity due to their ease of transfer and low volatility.

Illicit activity still represents a small fraction of total crypto transactions, with Chainalysis estimating that less than 1% of overall on-chain volume is linked to illicit use — although this share ticked up slightly from 2024.

 

In its January 2025 Illicit Flows report, Chainalysis said:

“Since 2021, we have observed a steady diversification away from BTC, with stablecoins now occupying the majority of all illicit transaction volume (63% of all illicit transactions).”

At that time, nearly $41 billion worth of illicit crypto volume was recorded in 2024.

STABLECOINS | 63% of Illicit Crypto Funds Flowed Through Stablecoins in 2024, Says Chainalysis

The Chainalysis team said the increase in nation-state on-chain behavior marks a “latest phase” in the maturation of the illicit ecosystem, with sanctioned actors becoming more deeply embedded in crypto finance.

“For the past few years, stablecoins have come to dominate the landscape of illicit transactions, and now account for 84% of all illicit transaction volume.

This mirrors broader ecosystem trends where stablecoins occupy a sizable and growing percentage of all crypto activity due to their practical benefits: easy cross-border transferability, lower volatility, and broader utility.”

Sanctions and State Actors

The Global Sanctions Inflation Index estimated there were just under 80,000 sanctioned entities and persons globally as of May 2025, reflecting broad expansion in sanctions designations. The U.S. alone added 3,135 entities to its Specially Designated Nationals and Blocked Persons List in 2024, a record pace.

 

“Stolen funds remained a major threat to the ecosystem in 2025, with DPRK‑linked hackers alone stealing $2 billion. Devastating mega-hacks drive that total, most notably the February Bybit exploit, the largest digital heist in crypto history, at nearly $1.5 billion.

Although North Korean hackers have long been a fixture of the threat landscape, the past year has been their most destructive yet, both in value stolen and in the sophistication of their intrusion and laundering tactics,” says Chainalysis.

In January 2025, Chainalysis said:

‘Through 2021, BTC was unequivocally the cryptocurrency of choice among cybercriminals, likely due to its high liquidity.

Since then, however, we have observed a steady diversification away from BTC, with stablecoins now occupying the majority of all illicit transaction volume (63% of all illicit transactions)”

 

2025 has continued to cement this conviction with stablecoins increasingly playing the role of the preferred crypto of choice for illicit crypto activity.

Despite the unprecedented dollar value sent to illicit addresses in 2025, Chainalysis emphasized that these volumes are vastly outweighed by legitimate crypto economic activity. The share of total transactions attributed to illicit use remains below 1%, and the majority of the ecosystem’s volume continues to be lawful.

2025 RECAP | Crypto Losses Increased by ~40% YoY in 2025

 

Sign up for BitKE Alerts for all the 2025 RECAPs in crypto globally

Join our WhatsApp channel here.

Follow us on X for the latest posts and updates

Join and interact with our Telegram community

_________________________________________

Ethiopia’s National Digital Payment Strategy (NDPS 2026–2030) and the Instant Payment System (IPS), EthioPay, were launched in December 2025, a move African Continental Free Trade Area (AfCFTA) Secretary-General, Wamkele Mene, says will accelerate the country’s ability to take advantage of the AfCFTA’s market of 1.4 billion people with a combined GDP of $3.4 trillion.

The five-year roadmap for interoperability, trust and innovation in Ethiopia’s digital finance landscape was unveiled at the Second Ethiopia Digital Payment Conference in Addis Ababa. The strategy aims to enable low-value outbound cross-border transfers via cards, mobile wallets and digital banking.

In addition, the strategy seeks to expand digital payment adoption, upgrade financial infrastructure, and reduce barriers for underserved groups.

LAUNCH | The Central Bank of West African States (BCEAO) Launches an Instant Payment System – Over 90 Financial Institutions Onboarded

The launch of EthioPay (IPS) is expected to provide a secure and interoperable infrastructure for person-to-person transfers, QR payments, bulk payments and cross-border transactions — forming the backbone of Ethiopia’s digital payment ecosystem.

Speaking at the unveiling, AfCFTA SG Mene highlighted the importance of the initiative in facilitating trade across the continent and said the launch will accelerate Ethiopia’s ability to harness AfCFTA opportunities.

He noted that the new digital payment system would foster digital and financial inclusion, including for informal traders, small-holder farmers and SMEs, especially those led by young people and women.

 

Mene further underscored that the high costs associated with currency convertibility in Africa – more than $5 billion annually – hamper competitiveness and job creation.

“There should be no reason for Africa to rely on third currencies for intra-African trade,” he said, stressing the need for payment sovereignty.

AfCFTA | ‘PAPSS Can Save African Countries $5 Billion in Processing Costs By Eliminating Dollar Use in Cross-Border Trade,’ Says Africa’s Largest Bank

Reflecting on historical ambitions, the Secretary-General referenced the vision articulated by African leaders in May 1963 for a single currency and payment system.

‘I am Confident that One Day the African Continent will have a Single Currency,’ Says Secretary General, AfCFTA

 

 

Sign up for BitKE Alerts for the latest payments updates from across Africa.

Join our WhatsApp channel here.

Follow us on X for the latest posts and updates

Join and interact with our Telegram community

_______________________________