UAE Imposes Jail Time for Crypto Scam Promoters
The act of transferring cryptocurrency that is not registered could lead to a jail term in the UAE beginning next year.
The perpetrators of scams involving cryptocurrency could get as long as five years prison beginning in January According to a report published by The National. They may also be hit with fines up to one million Dirhams ($272,261).
This move is intended to increase online security after the cryptocurrency saw a massive increase this year, making it an attractive target for criminals who are looking to profit from retailer investors.
New rules penalize the use of unlicensed cryptocurrency according to attorney Dr. Hassan Elhais. In addition to crypto, the new rules are also applicable to those who promote fake businesses.
The month of July was when Abu Dhabi police warned people against falling for quick-money scams that use cryptocurrencies.
Legal changes are sweeping through the air.
The new law on cybercrime in the UAE is set to take effect January. 2. In addition, it imposes severe punishments for publishing and spreading false information. In the event of an emergency, spreading rumors could lead to a two-year prison term.
In the new law, offenders may also be punished with jail time in the event of impersonating someone else with a fake profile. Discrimination against someone can be viewed as a retaliation.
The law on cybercrime is part of the biggest legal overhaul that has ever been implemented in the UAE that comprises more than forty laws. The aim of the law is to increase individual freedoms through decriminalizing extramarital relations, enhancing women’s rights, and lessening the effects on Sharia law on foreign nationals. The law reform is anticipated to modernize the country where laws are often an issue in the West and draw new investors.