Yemeni citizens are increasingly using decentralized finance (DeFi) protocols to bank themselves amid US sanctions aimed at the Houthi group, which they have deemed a terrorist organization.
In the past, internet infrastructure challenges and low financial literacy among the war-torn population contributed to relatively limited crypto adoption, according to an April 17 report from blockchain intelligence firm TRM Labs.
“However, there are signs of growing interest and usage driven primarily by necessity rather than speculation,” the blockchain intelligence firm said.
“For those who use cryptocurrencies in Yemen, the ability to bypass the disruption in local financial services offers a modicum of financial resilience, especially as banks can be difficult to access or are simply inoperable due to the ongoing conflict.”
Yemen has been in a civil war between the government and the Houthi group since September 2014. The US has also frequently sanctioned financial