Dubai has become a hotbed for crypto scams, with Ponzi and pyramid schemes disguised as legitimate startups. These scams deceive investors into handing over money for digital currencies that may be altered or never created. OneCoin, operated from Dubai by Ruja Ignatova, was one of the largest fraud schemes ever perpetrated. Other scams include HyperVerse, a traditional Ponzi scheme that defrauded investors worldwide for nearly $2 billion. Sam Lee, co-founder of HyperVerse, denied the accusations and claimed he was merely a "tech provider," but US authorities disagreed. Dubai's permissive crypto rules have attracted scammers, and the country has been placed on the Financial Action Task Force's "gray list" for failing to combat illicit funds. While efforts have been made to enhance regulation, Dubai continues to prioritize economic interests.



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