Binance's connections to Kenya crypto board increase monopolization concerns
The fact that a binance lobby group was included in the crypto board to be established within the scope of the new arrangement draft in Kenya led to a concern that competition may be damaged between local initiatives.
The proposed virtual asset service providers (VASP) in Kenya alarmed the crypto initiatives in the country. In the regulatory board, which is planned to be established within the scope of the bill, a special thinking organization called Virtual Asset Chamber of Commerce (VAC), allegedly linked to Binance, led to controversy.
According to the documents seen by The Kenyan Wall Street, it is suggested that all recent crypto arrangement debates have been sponsored by Binance, and that the organization has made an agreement with Binance not to compete with Binance. A sector representative made the following comment:
“All the activities organized by Vac are financed by Binance. Then this organization is taken to the legal regulation committee.
💰 Does Binance make regular payments?
The report mentions a secret agreement that Binance has paid $ 6,000 per month for each country. This increases the concern that the group will shape the regulatory process in Kenya in favor of Binance and exclude local initiatives.
Although Binance does not appear to be a partner on the VAC website, they follow a similar strategy in Rwanda.
Another sector representative used the following statements:
“If an international reputation has a controversial organization and regulatory seats, Kenya can never come out of FATF or EU gray lists.”
🧩 Vac defended himself
VAC Director Basil Ogolla, in response to the criticism of the IMF, Kenya Central Bank and Parliament with the IMF for two years, argued that the confidence of their work and their involvement is natural.
The new regulatory committee will also include Kenya Treasury, Central Bank, Capital Markets Authority, a lawyer and an accountant.
Press organizations trying to reach Binance, the news was prepared for the broadcast yet did not get a response.
🌍 Binance increases its effect on a global scale
Binance not only limited to Kenya, in May, in Kyrgyzstan, crypto infrastructure and Blockchain training signed a agreement with the government. In April, CEO Richard Teng announced that they received consultancy requests for Bitcoin reserve strategy and crypto policies from many governments.
In addition, former CEO Changpeng Zhao was appointed as a consultant to Pakistan’s newly established Crypto Council.
