US-based digital payments company Hurupay has stopped processing cross-border money transfers and cryptocurrencies in the Kenyan market amid increased anti-money-laundering checks.
The tech company has notified Kenyan users that its US dollar-backed services are no longer available in the country, denying local freelancers and businesses access to overseas client payments, as well as payments from friends and family members abroad.
Hurupay provides individuals and businesses with virtual US dollar, euro and sterling bank accounts that can be used to receive payments easily, send money globally, or convert funds into cryptocurrencies such as stablecoins.
The withdrawal of services in Kenya comes months after global payments giant PayPal froze funds belonging to an unknown number of Kenyans and permanently banned other users for failing to prove their employment and residence.
Kenya remains on the list of countries at high risk of money laundering and terrorist financing, with the Financial Action Task Force (FATF) placing the country on its "grey list."
"We would like to inform you that Hurupay no longer supports USD banking services for customers in Kenya," an email from the firm to a Kenyan user seen by the Business Daily reads.
"As a result, any payments sent to your SSB bank account will be rejected and automatically refunded to the sender."
Hurupay did not disclose the reasons for the decision. The Business Daily reached out to the Delaware-incorporated fintech firm for comment.
Besides Kenya, the firm has also removed Nigeria from the list of African countries it serves.
It remains active in Uganda, Tanzania, Rwanda, South Africa, Ghana, Egypt, Cameroon, Zambia, Seychelles, Malawi and Senegal.
Founded in 2023 by Kenyans Philip Mburu, Allan Okoth and James Mugambi, Hurupay is incorporated in the US state of Delaware.
The platform has gained popularity among Kenyan freelancers, consultants and businesses because it allows them to receive payments from overseas clients and transfer the funds to local bank accounts or M-Pesa wallets.
These users prefer internet-based money transfer platforms over traditional bank transfers mainly because they offer multi-currency accounts that bypass interbank networks such as SWIFT, which can be slow and carry high intermediary bank fees.
Hurupay allows local workers and traders to receive stablecoins, a type of cryptocurrency backed by assets considered reliable, such as the US dollar.
Those who receive stablecoins can have the tech firm convert them into cash deposited into their bank accounts or mobile money accounts.
They can also keep the stablecoins in Hurupay vaults and earn an annual return of eight percent.
Although Hurupay does not disclose its transaction volumes in Kenya, it said in March that it had processed more than $50 million (Sh6.5 billion) in payments across Africa since January 2025.
However, cryptocurrencies and digital payments have been exploited for criminal activities due to features such as pseudonymity and borderless transfers, which make them harder for traditional financial institutions and law enforcement agencies to detect.
This has prompted global financial institutions to subject transactions originating from the country to heightened scrutiny.
The global payments giant PayPal recently froze funds in an unknown number of Kenyan accounts and permanently shut others after demanding additional documentation, including employment contracts, bank statements and proof of residence, as part of enhanced anti-money-laundering checks.
Users who fail to provide the documents have been blocked from transferring their funds to other users or withdrawing them for up to 180 days, while accounts that remain non-compliant beyond that period risk permanent closure.
PayPal is one of the world's largest digital payments firms, handling payments worth $464 billion (Sh59.9 trillion) between January and March 2026 alone. In Kenya, the platform is also common among freelancers and online workers who receive payments from clients abroad, as well as users who shop online and do not want to share their credit card or bank details.
PayPal has said potential signs of fraud include unusually large transactions and a spike in activity, such as a sudden burst of transactions in a previously quiet account.
The affected Kenyan users can still access account information, including transaction details and balances, but are unable to send or receive payments.
"Before you can withdraw or transfer any remaining funds from your account, we need to hold them for 180 days to cover things like chargebacks or other financial liabilities," PayPal informed the affected users in an email.
Similarly, the UK-based money transfer platform Wise has also barred some Kenyan users from sending and receiving money. Wise has notified them that it will shut their accounts in the coming months without giving specific reasons for the move.
The company is currently under investigation in Europe over allegations that it failed to adequately identify customers and verify their activities amid suspicions that criminals used the platform for money laundering.
