TLDR
- Turkey recorded $200B in crypto transactions in 2025, leading the MENA region.
- Altcoin trading in Turkey rose from $50M to $240M in mid-2025.
- Stablecoin trading in Turkey dropped to $70M as altcoin interest surged.
- Institutional crypto activity grew in Turkey while retail participation fell.
Turkey has become the largest crypto market in the Middle East and North Africa (MENA), reaching $200 billion in annual transactions. However, this growth is not based on long-term adoption. Chainalysis reports that the surge is mainly driven by speculative trading, especially in altcoins. While institutional investors continue to be active, retail participation has declined due to ongoing economic pressures and reduced household access to capital.
Altcoin Trading Replaces Stablecoin Preference
Recent Chainalysis data shows a shift in Turkey’s crypto trading patterns. Traders are now more focused on altcoins rather than stablecoins. In mid-2025, Turkey’s 31-day moving average for altcoin trading reached $240 million, a sharp increase from $50 million in late 2024.
Meanwhile, stablecoin trading dropped sharply. The average trading volume for stablecoins fell from over $200 million to just $70 million during the same period. This change points to a move away from safer assets and toward riskier, high-yield tokens.
Chainalysis stated that this shift may be linked to regional economic challenges. “The timing of this altcoin surge coincides with broader regional economic pressures,” the firm said, suggesting that investors are searching for higher returns in an unstable environment.
Institutional Activity Dominates as Retail Slows
The report also found that Turkey’s crypto activity is now led by institutional players. These large transactions have grown while smaller retail trades have dropped. Chainalysis explained that this trend shows how inflation and currency instability have made crypto more attractive to wealthier investors.
However, everyday citizens may not be able to keep up. Retail participation in Turkey has decreased, which may show that fewer people can afford to invest. “Turkey’s economic challenges may be reducing the capacity of everyday Turkish citizens to participate,” the report said.
This change stands in contrast to countries like the United Arab Emirates, where crypto is starting to serve practical functions like payments, instead of being just an investment tool.
Turkey Leads MENA But Regional Growth Trails Behind
Turkey is now far ahead of other MENA countries in crypto volume. It recorded $200 billion in activity over 12 months, while the UAE came in second with $53 billion. Other nations in the region, including Egypt, Jordan, and Saudi Arabia, recorded much lower volumes.
Even with Turkey’s high trading numbers, MENA is growing more slowly than other regions. Chainalysis reported that MENA saw a 33% year-over-year increase in crypto use. This growth is below Asia-Pacific’s 69% and Latin America’s 63%. Other regions, like Sub-Saharan Africa and North America, also saw stronger growth rates of over 50%.
Turkey’s numbers have helped raise MENA’s overall position in the global crypto space. Still, the region continues to lag when compared to markets in Asia and Latin America, where crypto is growing faster and often used for both investment and real-world applications.
Economic Struggles Fuel Risk-Driven Trading
Turkey’s high inflation and currency instability appear to be strong reasons behind the crypto market’s current structure. Many institutional players may be using crypto as a way to store value or hedge against the weakening Turkish lira.
However, the increase in altcoin trading suggests a higher appetite for risk. Chainalysis described the trend as “desperate yield-seeking behavior,” pointing to the possibility that many are turning to volatile assets in search of fast returns.
While this may offer temporary gains for some, it also raises concerns about long-term stability in the market. As more traders shift to high-risk altcoins, the market becomes more exposed to sudden changes in prices and investor sentiment.
