Nairobi, July 2 -- Virtual assets providers have clashed with the National Treasury over a proposal to keep 30 percent of funds raised from stablecoin issuances in local commercial banks.

The firms want the requirement struck out for foreign-issued stablecoins, which are likely to face a similar rule in their host countries (country of issuance).

The firms have found support from the National Assembly Committee on Delegated Legislation, which sees the rule as a hurdle discouraging international operators from entering the Kenyan market.

Stablecoins are virtual assets designed to or that aim to have their value fixed or pegged relative to one or more reserve assets, including fiat currency, commodities, or other virtual assets, for the ...