Middle East Crypto Activity Soars Amid Conflict and Currency Pressure
Middle East crypto activity has surged due to conflict, inflation, and currency pressure, according to the Bitcoin Policy Institute. The institute estimates that blockchain transaction value across the Middle East and North Africa will reach $350 billion by 2025-2026, a significant increase from about $100 billion in 2022.
The Iran conflict has driven more regional capital towards digital assets instead of out of the region, as investors sought ways to preserve value and move money during disruption. Bitcoin's share of the crypto market rose to a one-month high of 64.8% as investors moved away from riskier cryptocurrencies.
Currency weakness in Egypt, Turkey, Lebanon, and Iran has increased demand for Bitcoin and U.S.-dollar pegged stablecoins. Chainalysis tracked about $10.3 million leaving Iranian crypto exchanges between February 28 and March 2 after U.S.-Israeli airstrikes.