What laws apply to crypto fraud?
The Federal Decree-Law No. 34 of 2021 (Cybercrimes Law) covers the most common routes. Article 40 punishes illegally seizing property, a benefit or a document through fraud techniques or false identity through the information network, with imprisonment of at least one year and/or a fine of AED 250,000 to AED 1,000,000.
Article 41 punishes calling for or promoting electronic currency or managing a fictitious portfolio or company to raise funds from the public without a licence.
What about fake websites and accounts?
Article 11 punishes creating a fake website, account or email and attributing it falsely to a natural or legal person, with imprisonment and/or a fine of AED 50,000 to AED 200,000.
Using the fake account in a way that is offensive to the affected person carries imprisonment of at least two years. Attributing it to a government entity carries imprisonment of up to five years and a fine of AED 200,000 to AED 2,000,000.
What if I am accused of involvement?
The usual question is knowledge. Moving funds for a scam, lending an account or recruiting investors can lead to allegations even if you did not run it.
Account statements, wallet records, chat logs and the identity of the counterparties are the key evidence.
Is owning or trading crypto the offence?
Not under the articles above. They concern fraud, false identity and fundraising from the public without a licence, not ownership of an asset.
Licensing rules for virtual asset businesses are separate and not covered in this guide. Where funds are alleged to be proceeds of crime, the anti-money laundering law applies, so take advice before moving any digital assets that are under investigation.
What should I do first?
Do not move or hide wallets or accounts
That can be read as concealment.
Export your transaction and chat records
With dates and counterparties.
Report scams you are a victim of promptly
Evidence fades quickly.
Call us before speaking to any authority
Your role must be clear.
Call us on +971 50 653 1334 or message us on WhatsApp. We answer at any hour.
Frequently asked questions
What is the penalty for internet fraud?
Imprisonment of at least one year and/or a fine of AED 250,000 to AED 1,000,000 (Article 40, Cybercrimes Law).
Is creating a fake website a crime?
Yes. Article 11 provides imprisonment and/or a fine of AED 50,000 to AED 200,000.
Is promoting electronic currency to raise funds illegal?
Without a licence, yes (Article 41).
Is owning crypto the offence?
Not under these articles. They concern fraud, false identity and unlicensed fundraising from the public.
Related guides
Financial Crime overview
The main points, the process and your first steps.
Read the overviewInvestment Fraud
What the law says about raising money from the public without a licence, fictitious investment portfolios and schemes that pay old investors with new money.
Read the guideCard & Banking Fraud
Cloning cards, using cards without authority, phishing and obtaining loans by deception.
Read the guideSources
Source: Federal Decree-Law No. 34 of 2021 (Countering Rumours and Cybercrimes), official English text on the UAE Legislation portal, checked 9 October 2026. The portal lists the law as active and last updated on 4 April 2024, with one amendment. The Arabic text prevails over translations.
This page is general information, not legal advice.