In addition, the bill stipulates that holders of cryptocurrencies are obligated to provide the Capital Markets Authority of Kenya with information regarding "the amount of proceeds from the transaction, any costs related to the transaction, and the amount of any gain or loss on the transaction." This provision would take effect only if the bill were to become a law.

Disclosure of Detailed Transaction Information in Cryptocurrency to the Regulator
According to a report, persons who possess cryptocurrencies would in the future be obliged to pay taxes corresponding with the gains gained, which would be in accordance with a capital markets modification law that is apparently before the parliament in Kenya. Those Kenyans who retain cryptocurrency for a length of time that is longer than one year will be liable to pay a capital gains tax, while those who store cryptocurrency for a period of time that is less than one year would be compelled to pay income tax.

The revised bill proposes to implement levies that target cryptocurrency exchanges and digital wallets in addition to Kenyan crypto holders. Abraham Kirwa, who is a member of parliament (MP) for the Mosop seat, is reportedly the one who is sponsoring the amendment bill, as stated by a report in Business Daily.

In addition to the suggestion of taxation, the bill suggests that individuals who own digital assets should be required to disclose to Kenya's Capital Markets Authority information on the manner in which and the date on which they obtained the cryptocurrency (CMA).

According to reports, the amendment bill states that a person who possesses or trades in digital currency is required to provide the Authority with the following information for tax purposes: the amount of proceeds from the transaction, any costs related to the transaction, and the amount of any gain or loss on the transaction.

Persons Who Deal With Crypto Are Responsible For The Following Responsibilities:
In the meanwhile, the story cites Kirwa as saying that the goal of his bill is to "provide for explicit measures to oversee digital currency transactions in Kenya." The Member of Parliament characterizes another provision of the bill as "responsibilities of people or enterprises trading in digital currencies, [providing] for its taxation, ownership, and [providing] for the encouragement of innovation in this sector." This provision is included in the law as well.

According to earlier reports by Bitcoin.com News, Kenya is one of the largest crypto marketplaces on the African continent and has one of the greatest concentrations of cryptocurrency holders in Africa. In spite of the fact that Kenyans have shown a strong interest in cryptocurrencies, the government of Kenya, led by Governor Patrick Njoroge of the Central Bank of Kenya, has frequently voiced its opposition to the usage of privately produced digital currencies.

However, the bill that was proposed by the Kenyan politician appears to concede that the warnings that were issued by Njoroge and others have not been successful in discouraging Kenyans from using or retaining cryptocurrency. As a result, in addition to the proposals that were discussed above, the bill also seeks to compel individuals who deal with cryptocurrencies to keep records of all activities that are related to transactions involving digital currency and to share those records.

According to reports, the proposed legislation would require individuals who engage in the trading of digital currencies to maintain records of digital currency transactions, including purchases and sales, and to pay taxes on any gains that are made as a result of engaging in such transactions in accordance with the laws that are currently in effect.

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