MENA Crypto Volumes Grew Fastest Between July 2021 and June 2022 — Turkey Cements Position as Region’s Largest Market – Emerging Markets Bitcoin News

Of the $566 billion in cryptocurrency transaction volume for the Middle East and North Africa (MENA) region between July 2021 and June 2022, nearly 40% went to Turkey, which claimed its place as the region’s largest cryptocurrency market, according to the latest Chainalysis data. In Afghanistan, the Taliban takeover has seen the value of cryptocurrencies sent into the country plummet to less than $80,000 a month from a peak of $68 million.

Turkey is consolidating its position as the largest crypto market in the MENA region

According to the latest Chainalysis data, the volume of cryptocurrency transactions by users from the Middle East and North Africa (MENA) grew by 48% to $566 billion between July 2021 and June 2022. The data shows that this growth rate is the fastest of any of the eight regions studied.

As detailed in Chainalysis’ latest blog, inflation-stricken Turkey remained the MENA region’s largest cryptocurrency market after its citizens “received $192 billion from July 2021 to June 2022,” accounting for almost 40% of the entire region. Although Turkey has cemented its position as the MENA region’s top crypto market, the 10.5% annual growth in crypto transaction volume means the country ranks last among the six countries surveyed.

In Egypt, whose currency – the pound – is said to be overvalued, year-on-year (YoY) growth in cryptocurrency transaction volume was over 221.7% during the period. Regarding the growing usage in Egypt, the Chainalysis blog explained:

Egypt’s position at the intersection of growing crypto remittances and heightened inflationary pressures explains why it’s the fastest growing crypto market in all of MENA this year. Between July 2021 and June 2022, the transaction volume in Egypt tripled compared to the previous year.

The Kingdom of Saudi Arabia is the MENA country with the second highest (194.8%) YoY growth in its cryptocurrency transaction volume. In third place is crisis-hit Lebanon with 120.9% yoy growth, closely followed by Morocco at 120.8%.

Effects of the Taliban takeover

In Afghanistan, which used to be a leader in MENA crypto adoption, the Taliban takeover in August 2021 has led to a sharp drop in the country’s onchain activity, the report said. Of the $68 million received by Afghan residents “in the average month” before the Taliban takeover, the country has seen an average volume of less than $80,000 per month since November 2021.

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Terence Zimwara

Terence Zimwara is an award-winning Zimbabwean journalist, author and writer. He has written extensively on the economic woes of some African countries and how digital currencies can provide an escape route for Africans.