Chainalysis Reveals MENA’s Growing Crypto Economy
Chainalysis, the blockchain data analytics platform, has released its latest report on the Middle East and North Africa (MENA) region. According to the report, MENA is now the sixth largest crypto economy globally, with an estimated on-chain value of $389.8 billion. The region accounted for 7.2% of the global transaction volume between July 2022 and June 2023. Turkey, Morocco, and Iran are the top three countries in terms of crypto economies within MENA.
Crypto Trends in MENA
The report highlights that transaction volumes in MENA follow similar patterns to other regions in terms of size and platform type. However, there are variations among countries. The United Arab Emirates (UAE) stands out for its significant use of decentralized finance (DeFi) protocols, while Turkey shows a preference for centralized exchanges.
The UAE’s Innovative Blockchain Ecosystem
The UAE has been at the forefront of embracing blockchain technology. It introduced its first blockchain strategy in 2016 and has since established regulations that promote innovation and protect consumers. The creation of the Virtual Asset Regulatory Authority (VARA) and additional federal regulations have further solidified the UAE’s position as a global hub for cryptocurrencies.
Turkey’s Growing Crypto Adoption
Turkey ranks fourth globally in terms of raw crypto transaction volume, behind only the US, India, and the UK. The country’s wide adoption of cryptocurrencies can be attributed to factors such as its macroeconomic environment and young population’s interest in innovation and technology. The significant increase in inflation and depreciation of the Turkish lira have also contributed to the growing interest in cryptocurrencies as an alternative investment.
Hot Take: MENA’s Crypto Economy Thrives with Dubai and Turkey Leading the Way
MENA’s crypto economy is on the rise, with Dubai and Turkey playing significant roles. Dubai’s innovative regulations and focus on blockchain technology have made it a global hub for cryptocurrencies. The UAE’s Virtual Asset Regulatory Authority has attracted many crypto players to the region, leading to increased adoption of DeFi protocols. On the other hand, Turkey has seen widespread adoption of cryptocurrencies as people seek alternatives to preserve value amid economic challenges. The country’s young population and interest in technology have contributed to its position as a global crypto hub. As MENA continues to embrace crypto, its economy is set to thrive.
By
By
By
By
By