Govt to set up blockchain taskforce

The debate around block chain technology has gained currency in Kenya over the last few months.

So intense has the debate been that the government is now throwing its support behind the changing digital trend by setting up a taskforce to assess the benefits and potential risks of the technology.

Blockchain is a technology that allows digital information to be distributed but not copied.

By its design, the technology is resistant to alteration or modification with some countries already applying it in official government business.

Such has the craze been around the technology that President Uhuru Kenyatta has also thrown his support behind blockchain technology, arguing the country could ill afford to be left out of the technology revolution.

“It is true the previous industrial revolutions have passed us by. This time I hope the fourth industrial revolution driven by digital transformation will not leave Africa behind,” President Kenyatta said.

The task force which will be unveiled this morning will guide on what Kenya can do to leverage on blockchain technology.

The task-force will be made up of members, both from the public and private sectors most of whom have interest in blockchain technology.

This latest backing by the president comes only days after the Capital Markets Authority warned the public against investing in digital currencies being issued locally saying they are unregulated.

According to the CMA these digital coins which are created and traded on blockchain technology have not been approved and are therefore speculative meaning unsuspecting investors may lose their money if they trade in them.

The Central Bank of Kenya has also been on record warning against the crypto currencies due to lack of a legal framework in the country.