MENA received $338b value in crypto as the 7th-largest market

The Middle East and North Africa region has become the seventh largest cryptocurrency market, with adoption increasing at both retail and institutional levels.

According to a Chainalysis report, MENA received $338.7 billion worth of cryptocurrencies between July 2023 and June 2024, ranking seventh. This accounted for 7.5% of the global on-chain value.

1/ MENA is the 7th largest crypto market we cover in 2024, generating ~$338.7B in on-chain value. Turkey (#11) and Morocco (#27) top our adoption index, generating $137B and $12.7B respectively. pic.twitter.com/uKfFJMsLrF

— Chainalysis (@chainalysis) September 25, 2024

Turkey leads the region with $137 billion in on-chain value, followed by Morocco with $12.7 billion. The two are the only countries on Chainalysis’ global crypto adoption index.

The report stated that 93 percent of the transactions in the region were worth more than $10,000 and that these transactions were driven by professional and institutional movements.

According to Chainalysis, the United Arab Emirates has witnessed impressive growth in retail and institutional on-chain value thanks to its favorable regulatory environment.

Last month, Tether, the issuer of the largest stablecoin USDT, announced that it would be launching a dirham-pegged stablecoin in the UAE that would be backed by the country’s liquid reserves.

The stablecoin issuer has joined forces with crypto infrastructure company Fuze to inform and raise awareness of both individuals and large institutions in Turkey and the Middle East about cryptocurrencies.

According to data from Chainalysis, Saudi Arabia’s cryptocurrency market has emerged as the region’s fastest-growing digital asset economy, recording a 154% year-on-year growth during the said time period.

According to the report, most on-chain activity in MENA occurred on decentralized exchanges, with 32.4% and 30.9% of on-chain movements in the UAE and Saudi Arabia, respectively, occurring on decentralized exchanges.

It is important to note that Saudi Arabia and Qatar still do not have a functional regulatory framework for crypto companies, and this could be the primary reason behind the use of DEX.

Saudi Arabia’s Ministry of Investment invested $250 million in the Hedera blockchain in February in an effort to boost web3 development in the country.