The Middle East and North Africa (MENA) have adopted cryptocurrency at a staggering rate, according to a new report by Chainalysis, with the MENA region as a whole accounting for 9.2% of global crypto transactions over the last year.

According to the research, although the MENA region is one of the smallest crypto markets, cryptocurrency growth of over $550 billion happened between July 2021 and June 2022, with three of the world’s “Top 30” countries coming from the MENA zone:

• Turkey (12/30)
• Egypt (14/30)
• Morocco (24/30)

In the case of both Egypt and Turkey, unstable and rapidly devaluing fiat currencies have strengthened the appeal of crypto. Turkey made $192 billion in transactions, making it the region’s biggest player, though at a growth rate of 10.5%, the country’s crypto market didn’t expand as quickly as others.

So, which countries seem to be adopting crypto at breakneck speeds? Chainalysis found that Egypt was the MENA region’s fastest-growing, with transaction volumes leaping by over 220%. Saudi Arabia saw similar progress, with volumes increasing by 195%.

“Digital currencies are being used in Egypt as a way to preserve savings. Using cryptocurrencies to hedge against currency devaluation is appealing,” says Kim Grauer, Director of Research, Chainalysis.

Also Read: 3 Best Cold Storage Wallets For Crypto In 2023

In other significant news, unlike many countries, Egypt’s national bank has enthusiastically embraced crypto. It is currently in the process of building a crypto-based remittance corridor between Egypt and the UAE, as many Egyptians are based there for work.

One of the reasons crypto is surging in the MENA is down to demographics: Populations in MENA countries are young, and growth is being fueled by a class of tech-savvy early adopters with high disposable incomes. Overall though, it’s clear that with financial institutions and retail adopting the technology at a rapid pace, the future looks bright for cryptocurrency in North Africa and the Middle East.