Answer:
Bumpy form of transportation in desert cultures.
I can 'fly' underwater and have eight arms. What am I?
It is a cat but not a kitty, You'll never catch on in a city. Its fangs are huge and so its claws, A death machine with paws and jaws. In its own way a royal fellow, Striped with black and clothed in yellow
When it was young, it had a tail. When it grew up, it had knees
It can be in a hat, Or out of the bag. If you see it you'll be smitten, 'Cause it's fluffy like a mitten.
I am the fountain from which no one can drink. For many I am considered a necessary link. Like gold to all I am sought for, but my continued death brings wealth for all to want more.