DCI Seeks Freeze of Binance Accounts in Kenya as Crypto Crackdown Intensifies
Several cryptocurrency users in Kenya have reported being locked out of their accounts on Binance following what is understood to be a formal request by the Directorate of Criminal Investigations (DCI) to freeze selected wallets amid an escalating regulatory crackdown on digital assets.
Affected users claim they are unable to access funds or carry out transactions, raising concerns over due process and transparency in the rapidly evolving crypto regulatory landscape.
According to multiple reports, users who reached out to Binance for clarification were directed to contact the National Police Service for further details, a response that has fuelled frustration among account holders.
The development comes as Kenya tightens oversight of the digital asset sector, with authorities moving to enforce compliance under the newly introduced Virtual Asset Service Providers (VASP) Act of 2025. The law establishes a legal framework for cryptocurrencies, tokens and other digital financial instruments, while the draft Virtual Asset Service Providers Regulations, 2026 outline licensing and operational requirements.
Several users have criticised both Binance and state agencies, accusing them of acting without sufficient disclosure. One affected individual said: “No complainant identified. No formal charges. No timeline given. Funds remain inaccessible. Meanwhile, real life doesn’t pause. Bills are piling up. Debt is growing.”
Online backlash has intensified, with disgruntled users rallying under the hashtag #BinanceUnmasked, demanding clarity on the circumstances surrounding the freezes and the legal basis for the actions taken.
Sources familiar with the matter allege that some of the affected accounts were restricted without the presentation of formal court orders or charges, though this has not been independently verified by authorities.
In separate communication reportedly seen by users, Binance is said to have indicated that the restrictions were applied at the request of the DCI through the National Police Service, further complicating questions around jurisdiction and oversight.
While the Central Bank of Kenya (CBK) and the Capital Markets Authority (CMA) are tasked with supervising aspects of the financial and capital markets sectors, critics argue that the current enforcement approach appears to prioritise surveillance and control over consumer protection.
Neither the DCI nor Binance had issued a comprehensive public statement at the time of publication, leaving affected users in limbo as calls grow for greater transparency, legal clarity and safeguards within Kenya’s emerging crypto regulatory framework.
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