MeleCoin cryptocurrency firm not registered, don't deal with it: Dubai authority

MeleCoin cryptocurrency firm not registered, dont deal with it: Dubai authority

Dubai - The company claims to be registered in the Dubai International Financial Centre.



By Staff Report

Published: Mon 14 Oct 2019, 5:29 PM

Last updated: Tue 15 Oct 2019, 10:23 AM

The Dubai Financial Services Authority (DFSA) has alerted the financial services community and members of the public about MeleCoin, which falsely claims to be located in the Dubai International Financial Centre.

On its website, MeleCoin has invited people to purchase "virtual currency" or "tokens" online which may be used in a number of electronic platforms and offers other cryptocurrency related products and services.

DFSA said it uses the name MeleCoin which is similar to that of a genuine DIFC incorporated firm called Melicoin Investments Limited, a firm which does not offer any of the products or services advertised on the MeleCoin website.

The company claims to be located at 'Unit 505 - Floor 5 - Lepery House' in DIFC but this address is fictitious as there is no building called "Lepery House" in the DIFC.

"The DFSA informs you that MeleCoin is not and has never been licensed or authorised by the DFSA; and/or incorporated or registered by the DIFC Registrar of Companies," it said in an advisory on Monday.

The DFSA advised consumers to use caution if engaging with MeleCoin, and warns against sending money to MeleCoin.

In September 2017 the DFSA issued a general investor statement in relation to cryptocurrencies, highlighting risk associated with these products and noting that the DFSA does not regulate these types of product offerings. The DFSA's statement can be found here.

waheedabbas@khaleejtimes.com

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