UAE Cyber Security Council Warns Residents of Cryptocurrency Frauds

The Cyber Security Council of the UAE government has issued a warning to the residents on how cryptocurrency fraud is risky since it crosses boarders and users should be vigilant. Dr. Mohammed Hamad Al Kuwaiti, Cybersecurity Council Chairman pointed out that cryptocurrency fraud is not only a monetary loss but threatens personal privacy and shatters the basic trust required to be in the crypto-coin market.

Pointing to the worrying trend of fraud in digital currency, Al Kuwaiti talked about ongoing efforts to regulate this risk. The chairman assured of the council’s determination to strengthen cybersecurity measures that would help reduce these threats and protect the financial system from modern digital challenges.

Investors were also warned to be careful of attractive but unattainable profit promises. Al Kuwaiti detailed the usual phony tactics such as disguised emails or text messages, hacking into applications or websites, and false assurances of guaranteed profits.

For greater security purposes they recommended that individuals and companies should adopt secure practices like use of strong passwords, two-factor authentications and familiarizing oneself with common fraudulent patterns. Investing in platforms or companies by verifying their legitimacy was also encouraged.

It is worth noting that alarming data from CoinPedia and PYMNTS networks showed approximately $2.38 billion stolen over the 11 months until November 2023, thus representing a considerable security risk to digital assets. Ethereum was the most vulnerable network, responsible for approximately 38% of all attacks in the cryptocurrency sphere.

The warning by the UAE Cyber Security Council highlights that cryptocurrency scams pose a range of risks and therefore there should be a concerted effort between citizens to address this emerging threat in the digital financial realm.