The Nairobi Securities Exchange (NSE) has partnered with DeFi Technologies, its subsidiary Valour, and SovFi to establish the Kenya Digital Exchange (KDX), a groundbreaking platform to modernise Kenya’s financial markets. The initiative aims to enhance access to global capital through tokenised assets and digital trading, positioning Kenya as a leader in Africa’s digital finance landscape.
This collaboration builds on a Memorandum of Understanding (MoU) signed by the NSE, Valour, and SovFi. The agreement enables the creation, issuance, and trading of digital asset Exchange-Traded Products (ETPs) in Kenya and international markets, drawing on DeFi and Valour’s expertise in digital assets and SovFi’s customised financial solutions.
Plans to list Valour ETPs on the NSE are nearing completion. Since the MoU was signed, Valour has engaged one of Kenya’s leading law firms, held ongoing consultations with the Capital Markets Authority (CMA), and collaborated with local stakeholders to develop the infrastructure needed to launch selected ETPs by Q3 2025.
The KDX will function as a fully regulated digital exchange, tokenising real-world assets such as equities, bonds, investment funds, and commodities. It will support primary issuance, trading, and liquidity provision, using blockchain technology integrated with Hedera for secure, transparent, and efficient transactions. The platform will comply with all regulatory requirements, ensuring investor confidence.
“This partnership is a transformative step for Africa’s digital asset infrastructure,” said Olivier Roussy Newton of DeFi Technologies. “By working with the NSE, we aim to empower investors, drive economic growth, and establish Kenya as a premier financial hub.”
Frank Mwiti, NSE Chief Executive Officer, added: “The KDX represents a bold leap towards the future of African capital markets. This collaboration with DeFi Technologies and SovFi will create a dynamic digital marketplace, unlocking new investment opportunities and reinforcing Kenya’s leadership in tokenised asset trading.”
SovFi will assist companies and institutions in tokenising shares and other assets, promoting blockchain adoption across African financial systems. Its expertise will also enhance distribution and market reach.
The KDX will roll out in three phases from Q4 2025 to Q2 2026, starting with investor onboarding, compliance frameworks, and primary market token launches. Later phases will introduce secondary market trading, AI-driven investment tools, automated market-making, and integration with global digital exchanges.
Revenue will come from diverse sources, including trading fees, listing fees, custodial services, tokenisation advisory, and liquidity provision, managed by Stillman Digital, a DeFi Technologies subsidiary. The KDX will operate under joint ownership, with DeFi Technologies leading technological development and liquidity management, while the NSE oversees market supervision and regulatory coordination.
Kenya’s vibrant digital economy supports this initiative. In 2022, cryptocurrency transactions reached Kshs 2.4 trillion (US$18.6 billion), surpassing several commercial banks. With over six million crypto users (10% of the population), 85% smartphone penetration, and a thriving mobile money ecosystem, Kenya ranks among Africa’s top five for cryptocurrency ownership and 21st globally for grassroots adoption. In 2024, its technology sector attracted US$638 million in venture capital, the highest in Africa.
With over 40 active crypto and Web3 start-ups, Kenya is well-positioned to become Africa’s leading hub for digital asset trading and tokenised financial markets.
