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Kenyan startup Tando lets M-Pesa users send bitcoin via Lightning

Tando links M-Pesa and Bitcoin for seamless, utility-focused payments across Africa.

  • Kenyan startup Tando enables 40 million M-Pesa users to send and receive Bitcoin without a separate wallet.
  • The service leverages the Lightning Network and phone numbers, creating a seamless translation layer between Bitcoin and local currency.
  • This innovation is part of a broader “spend not sell” movement in Africa, focusing on Bitcoin’s utility as everyday money.
  • Projects like Tando demonstrate that Africans are pioneering practical Bitcoin adoption based on local needs and existing infrastructure.

In May 2024, Kenya-based payments company Tando announced a groundbreaking service integrating Bitcoin with the ubiquitous M-Pesa mobile money rail. Consequently, over 40 million Kenyans can now transact in Bitcoin as easily as they do in shillings, using just their phone numbers.

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Founded by Jason and Sabina Waithira Gitau, Tando began by solving how locals could spend Bitcoin directly. However, users still needed a separate Bitcoin wallet, which the team solved by linking M-Pesa numbers to lightning addresses. This novel approach allows any compatible wallet to send Bitcoin directly to a Kenyan phone number, claimed by the recipient for a fee.

The technique is reminiscent of South Africa’s Machankura, which uses USSD codes for offline Lightning payments. Meanwhile, this fuels Africa’s “spend not sell” movement, prioritizing Bitcoin’s utility over speculation. As Gitau stated at the Oslo Freedom Forum, people can test Tando with less than a dollar, without fees or KYC.

Consequently, living entirely on Bitcoin in Kenya is now a promoted African reality. This evidence shows Africans will build pioneering solutions where there is a clear need, using available technology.

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