Dorothy Siron
Stephenson Harwood, Hong Kong
dorothy.siron@stephensonharwood.com

Jonathan Benton
Intelligent Sanctuary (iSanctuary), Cambridge
info@isanctuary.io

Henry Chambers
Alvarez and Marsal, Hong Kong
hchambers@alvarezandmarsal.com

Andrew Musangi
Mukite Musangi & Company Advocates, Nakuru
amusangi@ljaassociates.org

Cryptocurrency is increasingly being adopted in Africa and Africa’s rapidly evolving digital asset landscape has opened new doors for innovation, making Africa one of the fastest-growing cryptocurrency markets in the world.^[1]

Why is Africa rapidly adopting crypto?

• crypto transactions are cheaper and more seamless, offering greater privacy in transactions;
• traditional banking in Africa faces enormous challenges, including inadequate infrastructure, high operating costs and stringent regulatory requirements;
• cryptocurrencies offer alternatives by leveraging mobile technology and decentralised networks; and
• crypto offers faster, more secure and cheaper transactions by bypassing traditional banking channels and insulating them from exchange rate fluctuations.

Financial Action Task Force’s grey list and ‘travel rule’

Several African countries have recently exited the Financial Action Task Force (FATF) grey list, including South Africa and Nigeria, but others such as Cameroon remain under increased monitoring. The FATF’s ‘travel rule’ requires crypto exchanges and wallet providers to collect and share customer information to combat money laundering and terrorist financing, a rule that has recently taken effect in South Africa.

With stablecoin adoption driven by genuine financial needs – remittances, savings protection and commerce – rather than speculation, how should African regulators approach enforcement when blanket restrictions would push critical financial activity underground while inadequate oversight enables money laundering?

As stablecoins become an important cross-border payment method across Sub-Saharan Africa, what are the practical challenges forensic accountants could face when tracing suspicious transactions across jurisdictions with inconsistent crypto regulations, and how can regional cooperation improve investigation outcomes?

As stablecoins transition from peer-to-peer transactions to merchant payments and institutional infrastructure, the question will be: what forensic indicators and consumer protection frameworks can help distinguish legitimate financial innovation from fraudulent schemes while building the trust needed for mainstream adoption.