The cyber criminals in UAE will face five years in jail and AED 1 million fine over cryptocurrency scams.
Individuals found guilty of promoting cryptocurrency scams online will be dealt with in a tough manner as part of measures to protect the public from financial fraud.
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This forms part of sweeping legal reforms announced by President Sheikh Khalifa last month and the new legislation will broaden the country’s current cyber crime laws to “cover the advertisement of rogue cryptocurrency schemes which are not recognised by UAE authorities.”
Dr Hassan Elhais, of Al Rowaad Advocates said under article 48, posting misleading ads or inaccurate data online about a certain product will be punishable with jail and/or a fine between AED 20,000 and AED 500,000.
The penalty applies to “members of the public who promote cryptocurrencies unrecognized by authorities in the country.”
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Dr Elhais said that previous laws banned promoting cryptocurrencies but didn’t penalize it and “the amendments introduced punishments against the offense, which is a first for the UAE.”
UAE seeks to protect public as the cyber criminals have sought to exploit the growing “popularity of cryptocurrencies around the world for their own gain” and the “digital money, which does not have a physical form like coins or notes, but is instead virtual” and can be stored in a digital wallet. (AW)
