Cryptocurrency, where no central bank prints notes and anyone can mine the currency using powerful computers, are either the next best thing or yet another mania.
The top cryptocurrencies in the world are Bitcoin, Ethereum, Tether, Binance Coin, and Cardano.
However, the plethora of the cryptocurrencies in circulation did not have any from the Arab world. This changed yesterday when Dubai launched its and the Arab world’s first cryptocurrency – aptly named DubaiCoin.
DubaiCoin, like all other cryptocurrencies, is based on a public blockchain and opened for the first time at $0.17.
Also read: Jeff Bezos will officially step down as CEO of Amazon in July
Since, DubaiCoin is based on a public blockchain, thus anyone including can mine the coins and earn money in this way.
The price at the time of writing of DubaiCoin is $1.13 and this a whopping 1,114% profit in about 24 hours.
The Media Office of Dubai refuted any claims in the media that this currency will be the official currency of Dubai, claiming that Dubai does not currently have any official cryptocurrency.
DubaiCoin is launched by a company based in the United Arab Emirates (UAE) Arabianchain Technology claimed that this is the first cryptocurrency of the Arab world.
The company claims that this currency will be able to pay for “a range of goods and services both in-store and online, with the clear intention for the coin to be used in place of traditional bank-backed currencies. Circulation of the new digital currency will be controlled by both the city itself and authorized brokers.”
The UAE is known to be a safe haven for crypto investors.
Investors in the cryprocurrency DubaiCoin are confused about the claim that the city of Dubai will regulate the price of the cryptocurrency.
Also read: Easing Online Life: No more passwords and password stress
DubaiCoin is new and other than the name Dubai in its name, the currency has very little going for it when compared to the pioneer Bitcoin.
Public participation measured via market capitalisation is the most in BitCoin and thus it is recommended that if someone wants to invest in cryptocurrency then they stick to something popular like Bitcoin.
Then again, investments in financial markets are risky and often times in case of complex products like foreign exchange, more than the original investment can be lost.
If someone wants to invest in a fungible and fixed-supply store of value, then they may invest in gold.
Also read: H-1B Visas: Back to pre-Trump as Biden removes restrictive rules
The reader is cautioned to a similar Ponzi scheme in the recent time OneCoin and reminded that any information on this page is not any investment advice and is for education purposes only.