Binance Freezes Kenyan Accounts After DCI Request

Kenyan traders say Binance froze their accounts and locked funds for more than two months after a request from the Directorate of Criminal Investigations. Affected users report no charges, no court order and no timeline for when access will be restored.

Several account holders say they received emails from Binance stating the freezes were made on behalf of the DCI and the National Police Service. When customers sought additional details, Binance directed them to contact the requesting agency, preventing withdrawals or transfers while personal bills and debts accumulated.

One trader wrote on social media: “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.”

Some users have asked how the DCI identified specific Binance accounts. A portion of affected users and others online have used the hashtag #BinanceUnmasked to request explanations and to discuss potential boycotts.

Binance reports it cooperates with law enforcement worldwide. The exchange says it handled more than 71,000 law enforcement requests in 2025 and assisted in the seizure of over $752 million in illicit crypto assets. Binance states it freezes accounts flagged in investigations into fraud, terrorism financing or money laundering and works with international networks such as the Beacon Network.

Traders and some legal observers report that the compliance process can leave ordinary investors in limbo, with prolonged account locks, limited communication from the platform and instructions to seek information from the requesting agency rather than from the exchange.

Kenya has introduced the VASP Act of 2025 and VASP Regulations 2026 to regulate exchanges, wallets and stablecoin issuers. The rules assign oversight responsibilities to the Central Bank of Kenya and the Capital Markets Authority, require know-your-customer, anti-money-laundering and counter-terrorism financing controls, and direct platforms to report suspicious activity to the Financial Reporting Centre and to cooperate with the DCI in investigations.

The government reports losses from crypto fraud of $43.3 million so far this year. Traders and consumer advocates note that, in the current cases, no formal complaints or court orders tied to the DCI requests have been made public and that the DCI has not released details or provided a timeframe for resolution, according to those with frozen accounts.

Affected account holders are calling for clearer procedures and faster dispute-resolution channels so investigations can proceed without leaving customers without access to their funds for extended periods.