Saudi Arabia’s Finance Ministry Warns Investors Against Scammers Posing as Government

There is a new crypto-related scam in Saudi Arabia and the local authorities are already warning the investors against them. The Finance Ministry of the country has recently warned the local investors against a group of scammers that are using the official symbol of the government to promote their own tokens.

This group is affirming that they are related to government projects when the truth is that they are not linked to them at all. The two projects, named SmartRiyal and CryptoRiyal, are fraudulent cryptos, the ministry affirmed.

According to the government, the promoters of the scam are claiming that the goal of the project is to finance NEOM, known as a smart city that is being constructed. This is a lie and the government has affirmed that it will pursue legal action against the company for using its symbols and name.

Assad Rizq, a local crypto expert, has told the Arabian media that the assets do not really exist. They are fake and even their white papers are copied from other companies. The idea is to hype the projects to pump the prices and sell tokens. The uncautious investors are afraid to miss out on this opportunity and end up falling into the trap.

He affirmed that the scam is so successful because it targets people that do not understand the market very well and that don’t do enough research. Without understanding the rules of the country and its regulations, it is harder to spot the scams.

In related news, the local government is creating its crypto, which is a partnership with the United Arab Emirates (UAE). The asset will be used to diminish the costs of cross-border transactions.