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UAE authority issues warning about Dubai Coin

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The Dubai government spokesperson said the emirate doesn’t have its own digital currency. So, the organizers behind the Dubai Coin project are scammers.

“The website promoting the coin is an elaborate phishing campaign that is designed to steal personal information from its visitors”, – the message says.

The warning came after the publication of a press release on behalf of the Arabian Chain Technology company about the alleged creation of “Dubai’s own digital currency” Dubai Coin (DBIX). The company said in a statement that “you can use DubaiCoin in the near future to pay for a range of goods and services both in-store and online. Instead of the traditional currencies that are provided by banks. The circulation of the new digital currency will be controlled both by the city itself and by authorized brokers”. The creators of DubaiCoin explained that they inspired to create the coin by the example of Venezuela and China, which were among the first countries in the world to launch their own digital currencies.

However, the country’s authorities indicated that Dubai Coin is not at all an official digital currency, as it was said in a fake statement.

Is Arabian Chain Technology behind Dubai Coin?

At the time of writing, fake material is not available. Although Arabian Chain Technology appears to be indeed registered in the UAE to conduct blockchain activities.

According to its saved version of May 24, “authorized bodies” will exercise control over the coin. The authors of the press release claimed that the “starting price” of DBIX on the project’s website is $ 0.17.

“Dubai Coin has never been approved by any official body,” the government’s press office said.

At the time of writing, the project site is also down. Judging by the saved version, the organizers suggested that users fill out a form with an email address and phone number, ostensibly to contact the manager.

On May 26, 2021, the DBIX price exceeded $ 1.5. After a statement from the authorities, it collapsed to below $ 0.2. Popular market data aggregators have removed the coin from their lists.

Blockchain company Arabian Chain Technology said it didn’t publish a press release on Dubai Coin. Calling the site “fake and fraudulent”.

How many people managed to give money to fraudsters and whether there were any at all is unknown. The volume of trades in DBIX for the last 24 hours amounted to about $ 600,000.

As a high-tech region, Dubai has no shortage of disruptive and promising projects. Unfortunately, it is not always possible to distinguish the doubtful from the progressive.

Recall that in May, the Office of the Comptroller of Monetary Circulation within the US Treasury warned of fraudsters who, on behalf of the department, are trying to gain access to citizens’ Bitcoin wallets.

Real CBDC

At this stage, many countries are developing CBDC, which gives scammers the opportunity to speculate on this news.

As for the real CBDCs, note that in the case of Venezuela, the experiment with the implementation of CBDC was rather a failure. Since the country’s economy received a serious blow after the introduction of digital Petro. Despite the fact that the country’s government is trying in every possible way to popularize its own digital currency, the Venezuelans claim that there is nothing good in using Petro.

The country’s entrepreneurs complain that the use of CBDC seriously harms business. And the following scenario is possible: half of the entrepreneurs will leave the market due to complete ruin.

But the digital yuan has gained wide popularity in China. Already today, Chinese companies have begun to accept CBDC as a means of payment.

According to experts, China is doing everything possible to create a real alternative to the US dollar.

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