The Kenyan government has entered into a partnership with Venom Foundation, a blockchain platform based in Abu Dhabi, to establish a blockchain and Web3 hub in Africa.
This collaboration aims to drive innovation in key sectors of the continent, including finance, supply chain, agriculture, business, and cross-border trade, according to the announcement made on May 10.
The planned blockchain and Web3 hub will serve as a central platform for African technology companies and government entities, fostering knowledge exchange and collaboration among stakeholders. Venom Foundation will provide tools and resources to support Kenya and other African countries in their digital transformation journey.
This includes offering blockchain-based solutions for supply chain management, land registry, voting systems, and asset tokenization.
Moses Kuria, Kenya’s Cabinet Secretary for Investments, Trade, and Industry, emphasized that this partnership underscores the country’s commitment to embracing next-generation technologies.
He highlighted that Kenya and Africa as a whole have become a breeding ground for innovation, with blockchain technology witnessing remarkable growth.
According to data from CV VC, blockchain deals in Africa increased by 429% in 2022, with companies raising $474 million compared to $90 million in 2021. These numbers far surpassed the global funding average, which only experienced a 4% growth.
“Africa is already rich in natural resources and human capital,” Venom Foundation CTO Christopher Louis Tsu said. “By bringing next-generation blockchain technology to the continent, it will empower the people and help not only Kenya but many other African nations to capitalize on their assets and participate in new global markets competitively.”
Venom Foundation and investment manager Iceberg Capital also made headlines in January when they announced a $1 billion fund dedicated to supporting Web3 and blockchain firms.
The investment fund aims to attract technology companies to leverage Venom’s scalable and proof-of-stake-based blockchain solution.
On another note, lawmakers in Kenya have introduced the Finance Bill 2023, which proposes taxing cryptocurrency and non-fungible token (NFT) transfers.
The bill, subject to five rounds of readings, would require registered crypto exchanges and NFT marketplaces to deduct 3% of the transfer value to be paid to the government.
As Africa continues to embrace blockchain technology and forge partnerships for innovation, the establishment of the blockchain and Web3 hub in Kenya marks an important milestone in the continent’s digital transformation journey.
It signifies a commitment to harnessing the potential of blockchain and driving progress in various sectors, ultimately contributing to Africa’s economic growth and technological advancement.