Crypocurrencies and Block Chain: Critique to Central Bank of Kenya’s Public Notice

Abstract

With the disruption of technologies such as the big data, artificial intelligence, the internet of things, robotics, cryptocurrencies and blockchains, business models in various sectors have been influenced both positively and negatively. The World Economic Forum ‘prophecy’ of businesses and individuals failure to embrace these technologies is slowly coming to pass. Innovation diffusion theory was used to explain why Kenyans are still wondering whether cryptocurrencies and blockchain is hype or a transformational technology that is able to create business opportunity or not. The purpose was to critique the Central Bank of Kenya’s cryptocurrencies and blockchains public notice that was issued in an attempt to provide benefits and challenges of these technologies. Qualitative, secondary data was used based on narrative analysis specifically thematic analysis applied. The findings showed a trade-off between these technologies. The conclusion was that these technologies are transformational and probably will be adopted be as legal tender issued by the central banks. The contribution of this article is largely for academic purposes as well as to the Central Bank of Kenya, to spur them to research, learn and venture into ways of utilizing these technologies.