University of the Western Cape
A case for a legal and regulatory framework for cryptocurrency transactions in Kenya
Abstract
dc:description.abstractBackground: Lately, there has been a surge in the popularity of cryptocurrencies, also referred to as digital currencies. The emergence of virtual currencies like Bitcoin and Ethereum has disrupted the market and led to widespread speculation that cryptocurrencies may eventually replace traditional paper currency. The genesis of cryptocurrencies can be traced back to the global financial crisis of 2008. The inaugural cryptocurrency, Bitcoin, was introduced in 2009 by an anonymous entity known as Satoshi Nakamoto. These digital currencies are exchanged using blockchain technology. Notably, cryptocurrencies like Bitcoin function independently of intermediaries such as banks. The underlying blockchain technology operates with a high degree of anonymity, in contrast to banks, which require the disclosure of personal information, thus safeguarding the privacy of users. Consequently, individuals transacting in cryptocurrencies can do so without revealing their identities. Cryptocurrency is a virtual currency that uses cryptography as a security feature to prevent forging.6 One of the main features of cryptocurrencies is that they are not issued by central banks and are fully decentralized. Cryptocurrency is a digital representation of value that is digitally traded and also functions as a medium of exchange, a store of value, and a unit of account. However, some scholars argue that as a unit of account cryptocurrency is unreliable due to high volatility.
Degree
thesis:*- Grantor dc:publisher.institution
- University of the Western Cape
- Year dc:date.issued
- 2024
Author and committee
dc:creator, dc:contributor.*- Author dc:creator
-
- Muthoni, Esther Nduta