Ponzi Schemes and Pyramid Scams Proliferate in UAE

According to Foresight News, Bloomberg reports that experts have observed a significant rise in Ponzi schemes and pyramid scams disguised as entrepreneurial ventures in the United Arab Emirates over the past decade. Public records and interactions with individuals involved reveal that numerous people accused by U.S. and international authorities of orchestrating such schemes reside in Dubai. These include individuals linked to cryptocurrency scams like HyperVerse, OneCoin, and Onpassive. The prevalence of these fraudulent activities in the UAE has raised concerns among financial regulators and law enforcement agencies. The schemes often promise high returns on investments, luring unsuspecting investors into a cycle of deceit. The involvement of high-profile projects such as OneCoin, which has been widely criticized and investigated globally, highlights the scale and sophistication of these operations. Authorities are increasingly focusing on tracking and prosecuting those responsible for these scams. The international nature of these schemes poses challenges, as perpetrators often operate across borders, complicating legal proceedings. Efforts are underway to enhance cooperation between countries to effectively tackle these fraudulent activities and protect investors from falling victim to such scams. The situation underscores the need for increased awareness and vigilance among potential investors. Financial experts advise conducting thorough research and due diligence before investing in any venture, especially those promising unusually high returns. As the UAE continues to attract entrepreneurs and investors, ensuring a secure and transparent financial environment remains a priority for the authorities.