The Middle East and North Africa’s annual on-chain crypto transaction volume increased from approximately $100 billion in 2022 to an estimated $350 billion during 2025–2026, according to a Bitcoin Policy Institute report published on Sept. 4.
Summary
- MENA annual on-chain transaction volume rose from about $100 billion in 2022 to estimated $350 billion.
- Turkey remains the region’s largest crypto market, with annual transaction volume approaching $200 billion, researchers estimate.
- Saudi Arabia recorded 154% year-over-year growth, while Qatar followed with a 120% increase, according to Chainalysis.
- The UAE processed approximately $150 billion in crypto transactions during 2025, the policy report estimates overall.
- Currency depreciation and conflict have increased demand for Bitcoin and dollar-backed stablecoins across vulnerable economies.
The Bitcoin Policy Institute’s report argues that MENA has become one of the fastest-growing digital asset regions. It attributes that expansion to inflation, currency depreciation, government-backed technology programs and greater institutional participation.
However, the $350 billion figure is an institute estimate covering the 2025–2026 period rather than a confirmed total for one completed calendar year. The report does not provide a single underlying dataset or detailed methodology showing how it calculated the regional increase from $100 billion.
The findings describe two distinct adoption patterns. Residents in economies affected by inflation, capital restrictions, sanctions or conflict have used Bitcoin and dollar-backed stablecoins to preserve value or transfer funds. Gulf countries, meanwhile, have attracted exchanges, institutional trading companies and tokenization platforms through regulated financial centers.
The distinction matters because transaction volume does not measure investment gains, unique users or money entering the region. On-chain estimates can include transfers between exchange-controlled wallets and repeated movements of the same assets.
Turkey remains the largest market by transaction value
Turkey received nearly $200 billion in annual crypto transaction volume, according to the institute. That makes it the largest market in the wider MENA region by the report’s measure.
Demand in Turkey has developed alongside prolonged inflation and weakness in the Turkish lira. Stablecoins can give residents digital exposure to the U.S. dollar, although they introduce issuer, platform and regulatory risks absent from physical currency.
Egypt, Lebanon and Iran show a similar but more constrained adoption pattern, according to the report. It says peer-to-peer Bitcoin trading in Egypt increased by more than 300% following successive devaluations of the Egyptian pound. The paper does not identify the complete dataset or measured period behind that percentage, so the figure should be treated as its estimate.
Conflict has also produced mixed market behavior. Bitcoin initially fell with other risk assets after the Israel–Iran confrontation escalated in June 2025. The institute said the total crypto market lost about 3.7%, while Bitcoin declined around 2.3% and Ether fell 7.5%.
Investors later shifted some capital from smaller tokens into Bitcoin, pushing Bitcoin’s market dominance to 64.8%, according to the paper. This pattern supports the claim that traders used Bitcoin defensively relative to altcoins, but it does not establish that Bitcoin consistently behaved like a traditional safe-haven asset. Crypto.news previously reported that renewed U.S.–Iran tensions pushed Bitcoin lower during a later episode, showing that geopolitical stress can still produce broad risk reduction.
Saudi Arabia and Qatar lead reported growth rates
Saudi Arabia recorded the region’s fastest growth at 154% year over year, followed by Qatar at 120%, the institute said. Those percentages originate from a Chainalysis regional study published in September 2024 rather than newly measured 2026 growth.
The dates are important. The percentages describe an earlier measurement period and should not be presented as current 2026 growth rates without newer comparable data. The Bitcoin Policy Institute reused them to explain the Gulf’s longer-term momentum.
Chainalysis connected Saudi Arabia’s growth with interest in blockchain systems, financial technology, gaming and central bank digital currency research. The country’s young population and high smartphone use also provide a large potential market for digital financial products.
Saudi Arabia has increasingly focused on blockchain applications beyond cryptocurrency trading. In related coverage, the kingdom began developing tokenization projects for energy and real estate as part of its Vision 2030 diversification program.
Qatar’s measured growth followed the introduction of a digital asset framework through the Qatar Financial Centre. The framework established rules for tokenized assets and related infrastructure. It did not legalize every form of cryptocurrency activity across the country.
The UAE builds a regulated institutional market
The Bitcoin Policy Institute estimates that the UAE processed approximately $150 billion in crypto transactions during 2025. It describes the market as institutionally oriented, with Bitcoin accounting for 38% of activity, Ether representing 22% and dollar-backed stablecoins making up 30%.
These percentages are report estimates rather than official transaction figures from a UAE regulator. Public blockchain data can identify asset movements but cannot always determine whether a user, company or controlling entity is located in the UAE.
The UAE has nevertheless established several formal regulatory routes. Dubai’s Virtual Assets Regulatory Authority oversees eligible crypto activities outside the Dubai International Financial Centre. Abu Dhabi Global Market operates a separate financial-services framework, while the Central Bank of the UAE regulates payment-token services.
Dubai expanded its institutional market during 2026. Crypto.news reported that Flowdesk secured a full broker-dealer license for services aimed at qualified and institutional investors.
Kraken also received preliminary approval covering broker-dealer and investment activities. Its proposed offering includes UAE dirham funding and institutional services, although the exchange had not announced a final launch date when its Dubai approval was disclosed.
Stablecoin infrastructure is developing alongside exchange licensing. A regulated conversion framework launched between dirham-backed AE Coin and dollar-backed USDU, creating an institutional settlement route that connects UAE dirham and dollar stablecoins.
Bahrain adds rules for regulated stablecoin issuers
Bahrain has taken a separate regulatory path. The Central Bank of Bahrain introduced its Stablecoin Issuance and Offering Module in July 2025, according to an official statement.
The module applies to regulated stablecoin offering services conducted in or from Bahrain. It sets requirements covering reserves, redemption, governance, disclosures and supervision.
Bahrain has also supported regulated digital asset infrastructure through licensed financial institutions. Singapore Gulf Bank, backed by Bahrain’s sovereign wealth fund and Whampoa Group, partnered with Fireblocks to expand crypto custody and stablecoin services.
The Bitcoin Policy Institute expects regulated Gulf markets and adoption in economically constrained countries to continue developing along separate tracks. That is a forecast, not a confirmed outcome. Future growth will depend on regulation, banking access, market conditions and whether institutions move pilot projects into commercial use.
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