The Middle East and North Africa (MENA) now accounts for nearly 20% of the global workforce in blockchain gaming. This is the largest local change in the industry's history.
Blockchain Game Alliance State of the Industry Report 2025, released at the Global Blockchain Show Abu Dhabi on December 10, 2025, shows a significant change in terms of where the talent is located. MENA increased from just 0.5% in 2021 to 19.8% in 2025—the fastest increase since measurements began.
Rapid growth is changing the region's demographic composition
The fifth annual BGA report shows that the blockchain gaming industry is changing rapidly. Markets in the West are declining, but other regions are investing more in digital infrastructure and clearer regulations.
The survey received 506 valid responses in 2025, fewer than 623 in 2024. Fewer from the West participated due to declining markets there. But new regions are growing quickly: Africa now has 5.5% of professionals and Latin America has 11.9%. This shows that dominance is shifting from Asia and Europe.
Women's participation reached a record level of 22.7%, up from 17.3% in 2024. Most are between 25 and 44 years old. Young people are driving growth in MENA and Africa. For example, 40% of African respondents are under 25 years old.
Professionals now believe that clear regulations are the most important for the future of blockchain games. A full 64.4% believe that laws and regulations will develop the industry positively. This shows that more see legitimacy as something that requires clear laws.
MENA has quickly introduced new regulations. The United Arab Emirates, Bahrain, and Morocco are testing or regulating stablecoin systems. This makes the region a leader in payment innovation. Oman, for example, has seen a 700% increase in digital payments in one year. Digital wallets are now used for 74% of payments. This strengthens the blockchain economy thanks to modern financial systems.
The launch of high-quality games is the second most important driver at 29.5%. This shows that more want to move away from speculative investments. Sustainable, revenue-driven business models rank third at 27.5%. Stablecoins are supported by 27.3% as important for cross-border payments and in-game purchases.
Game studios are now focusing on the product after a significant downturn in the market. Funding for blockchain games fell from over 10 billion USD in 2022 to 293 million USD in 2025. Studios are now focusing on real revenue, not speculation around tokens. Membership in guilds dropped from 20.7% in 2022 to 7.9% in 2025, as unsustainable models disappeared.
Fraud, lack of funding, and AI pose significant threats.
The industry still faces significant problems. Fraud remains the biggest threat, according to 36.0% of respondents. Cheating and scams make it difficult to attract more regular players, especially those who dislike risks.
The lack of funding is the next major issue, according to 32.6%. The capital shortage has led to 80 to 93% of all startups shutting down since 2021. Large venture capital firms have stopped investing in new companies. Studios now need to demonstrate that they are profitable and sustainable.
Artificial intelligence is both an opportunity and a risk. 46% believe that AI drives growth in marketing or content. However, 38.9% are concerned about AI-based fraud and the risk of losing creativity, as well as that the content becomes dull and too similar.
Digital infrastructure strengthens MENA's competitiveness.
MENA's growth is not just about new regulations. Those living in the region are accustomed to digital solutions, have a good grasp of economics, and are willing to take risks. This is important for blockchain solutions to take off. Nearly 45% of MENA traders test with demo accounts first, which shows that many want to learn about economics. MENA customers have good results and the highest risk tolerance in the world.
Modern payment systems also play a significant role. Several countries have implemented systems for direct and automated payments and mobile platforms. These reduce costs and allow money to be sent more quickly across borders—this is important for the blockchain gaming economy.
Large studios have understood this. BGA's survey received responses from staff at Ubisoft, Square Enix, Cointelegraph, Polygon Labs, DMCC Dubai, and leading banks from the region. Traditional gaming companies and blockchain firms are approaching each other. As publishers explore Web3, they are adopting new technologies without abandoning proven business models.
Globally, stablecoins were used to manage payments amounting to 27.6 trillion USD in 2024. MENA is leading in the development of payment services. Their focus on regulations, infrastructure, and knowledge provides strong conditions as blockchain games become more common.
The industry is navigating through a downturn towards recovery in 2026.
Web3 token prices have fallen by 90–95% from previous peaks. Studios are now moving away from token-driven models and prefer regular revenue with blockchain elements. Even though many projects have failed, those that remain have a better foundation. Studios with strong rights and sustainable economies are gaining investors' interest after two tough years without much new capital.
MENA's success will come as the sector matures. Developers are now benefiting from stable regulations, numerous revenue sources, and support from investors and government funds.
As we approach 2026, the industry wonders if new qualitative games can deliver what has been missing. MENA's infrastructure, talent, and regulations give them advantages. But great success requires people to play the games for fun—not just to make money. Next year will show if MENA succeeds in becoming the growth engine for blockchain games.
