Via btc-echo.de
Tether signs MoU with Nairobi Securities Exchange to explore digital assets in Africa
The stablecoin giant is partnering with Kenya's main stock exchange to build blockchain-based market infrastructure, tokenize securities, and potentially integrate USDT for settlements.
Tether just inked a Memorandum of Understanding with the Nairobi Securities Exchange, making Kenya’s primary stock exchange the latest traditional finance institution to formally court the stablecoin issuer. The deal, signed on July 28, is designed to explore digital asset education, tokenization of securities, and the development of blockchain-based market infrastructure across Africa.
What the partnership actually covers
The MoU lays out several areas of collaboration, and the most consequential is the potential creation of a blockchain-based market infrastructure for tokenizing securities — turning traditional stocks, bonds, and other financial instruments into digital tokens that live on a blockchain, enabling instant settlements through Distributed Ledger Technology.
The agreement also explores fractional ownership through Tether’s Hadron platform, targeting both local investors and Kenya’s massive diaspora population.
Tether CEO Paolo Ardoino and NSE CEO Frank Mwiti both emphasized the educational component of the partnership. The plan includes integrating programs to build blockchain literacy, enhance operational efficiency, and ensure data protection standards are met. The deal also calls for streamlining Anti-Money Laundering and Know Your Customer processes in compliance with Kenyan regulations.
The agreement also explores the integration of USDT for settlement and liquidity, where legally permissible.
The NSE’s digital transformation has been building for years
The exchange began exploring digital asset Exchange-Traded Products back in August 2024. Two months later, in October 2024, the NSE joined the Hedera Governing Council. Then came the launch of the NSE Innovation Lab in November 2025, a dedicated sandbox for testing new financial technologies.
What this means for investors
The MoU does not outline specific timelines or financial commitments. Regulatory clarity in Kenya around digital asset trading and stablecoin usage remains a work in progress, and Tether’s integration for settlement purposes will face legal hurdles that are far from guaranteed to resolve favorably.