NAIROBI – Global cryptocurrency exchange Bitget announced on Tuesday, November 19, 2025, that cumulative trading volume for its US stock-linked perpetual futures surpassed $5 billion (approximately KSh 800 billion), signalling strong retail investor appetite for complex financial products that merge traditional equities with the crypto market. The milestone, however, arrives at a critical juncture for the Kenyan market, coming just weeks after the nation enacted a sweeping new law on November 4, 2025, mandating all virtual asset service providers (VASPs) to be licensed by the Capital Markets Authority (CMA) and the Central Bank of Kenya (CBK).

In a joint public notice issued on Monday, November 18, 2025, the CBK and CMA explicitly stated that no VASP has been licensed to operate under the new Act. The regulators warned that any entity claiming authorization is operating illegally, placing Kenyan users of platforms like Bitget in a precarious position, as they are engaging with services that fall outside the country's new investor protection framework.

Bitget, which has been actively marketing its services in Kenya and sponsored the Kenya Blockchain and Crypto Conference in June 2025, has seen rapid growth in its stock futures product, which launched in July 2025. The volume jumped from $3 billion to $5 billion in just one week, with derivatives linked to tech companies like MicroStrategy, Tesla, and Apple proving most popular.

High-Risk Products in an Unregulated Space

The products driving this volume are USDT-margined perpetual futures—financial derivatives that allow traders to speculate on the price movements of US-listed companies without owning the actual stocks. These instruments offer high leverage, up to 25 times the trader's capital, which can amplify both profits and losses significantly. It is critical for investors to understand that these are not shares; they confer no ownership, voting rights, or dividends.

The surge in derivatives trading occurs against a backdrop of extreme volatility in the broader cryptocurrency market. Bitcoin, the leading digital asset, has seen its value plummet by over a third since its 2025 peak. After reaching nearly $126,000 in early October 2025, its price fell to below $84,000 by Friday, November 21, 2025, wiping out almost $800 billion in market capitalization. Analysts attribute the slide to investor anxiety over a potential bubble in artificial intelligence and technology stocks, coupled with uncertainty over global interest rate policies.

Kenya's New Regulatory Era

For years, Kenya's crypto market operated in a grey area, with the CMA repeatedly warning the public about the risks of dealing with unlicensed online brokers. The new Virtual Asset Service Providers Act 2025, passed by Parliament in October, is designed to end this ambiguity. The law empowers the CMA to oversee crypto exchanges and trading activities, while the CBK will regulate payments and custody. All firms, including those already active in the market, are required to obtain a license, establish a physical office, and adhere to strict anti-money laundering and consumer protection rules.

Bitget's expansion in Kenya is part of its global “Universal Exchange” (UEX) strategy, which aims to provide a single platform for both crypto-native products and traditional financial assets. The company has actively courted the Kenyan market, promoting its peer-to-peer (P2P) platform for KES transactions and launching AI-powered trading tools for local users. However, with the new regulatory framework now in effect, the operations of Bitget and other international exchanges face intense scrutiny. The CMA has stated its licensing framework will be rolled out in the coming months, and until then, Kenyan investors using these platforms do so without the legal protections afforded by the new law. FURTHER INVESTIGATION REQUIRED on the specific compliance timeline for existing operators.