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The tax question in Kenya’s evolving digital asset economy
The cumulative tax burden, including excise duty on fees, VAT on services, and corporate income tax, may increase costs in a market characterised by thin margins, with consequences for innovation, competitiveness and the location of digital asset activity.
Kenya’s digital asset economy is expanding rapidly, but the rules that govern it are still taking shape.
As adoption accelerates, the real challenge is no longer whether to regulate the sector but whether tax policy can keep pace in a way that supports both compliance and continued market development.