Tether expands Africa push with Nairobi exchange deal

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Tether expands Africa

Highlights

Tether and NSE will explore tokenized securities.
The deal covers blockchain settlement and investor education.
NSE is valued at about $26.4 billion.

According to Tether, the agreement focuses on evaluating blockchain applications for securities trading, investor education, and market infrastructure while supporting the NSE's broader strategy to adopt new financial technologies and deepen participation in Kenya's capital markets.

Focus on tokenization and market infrastructure

The collaboration will examine how distributed ledger technology (DLT) can support the tokenization of financial assets and shorten settlement times on the Nairobi Securities Exchange. The companies plan to assess the use of Tether's Hadron tokenization platform to enable the issuance and trading of tokenized securities and other real-world assets.

The initiative also includes exploring instant settlement mechanisms that could replace the exchange's current multi-stage settlement process. Another area under review is the potential use of USDT as part of a digital settlement infrastructure where permitted under applicable regulations.

In addition, Tether and the NSE plan to design onboarding systems tailored to Kenya's regulatory framework, aiming to improve Anti-Money Laundering (AML) and Know Your Customer (KYC) procedures while supporting secure access to digital investment products.

Expanding investor education

Beyond technology, the agreement places significant emphasis on investor education. The two organizations intend to launch training programs, workshops, and educational initiatives designed for retail investors and brokerage firms listed on the exchange.

The goal is to improve understanding of blockchain technology, tokenized assets, and digital capital markets while encouraging broader participation among Kenyan investors and members of the country's global diaspora.

Founded in 1954, the Nairobi Securities Exchange is one of Africa's oldest exchanges and has a market capitalization of approximately $26.4 billion.

Africa pushes deeper into digital finance

The partnership highlights the growing interest among African financial institutions in integrating blockchain technology into traditional capital markets. Rather than focusing solely on cryptocurrency trading, the agreement centers on practical applications such as tokenized securities, faster settlement, and broader market access.

If implemented, the proposed initiatives could help reduce transaction times, improve operational efficiency, and expand investment opportunities for both domestic and international investors. For Tether, the agreement also represents another step in extending its business beyond stablecoins into institutional blockchain infrastructure and real-world asset tokenization.

We also reported Tether brings USDT back to Bitcoin after years away.

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