Toncoin ($TON) experienced significant price volatility over the weekend after The Open Network falsely claimed that residency in the UAE could be obtained through cryptocurrency staking, prompting immediate denial from three government agencies.
The native cryptocurrency of The Open Network surged 10% on Sunday, reaching $3.03, after the foundation announced the day before that staking $100,000 worth of Toncoin for three years could apply for the UAE golden visa program. However, after the UAE news agency released a joint statement from three UAE regulatory agencies, the token price fell 6% from its 24-hour high, with the statement clearly denying the claims.
The statement from the TON Foundation promises to provide a more attractive alternative to the traditional golden visa route, requiring only a $100,000 stake in TON for three years, plus a one-time processing fee of $35,000. The program claims that a 10-year golden visa can be obtained within seven weeks, with family members included for free, and that the applicant is expected to earn 3-4% annualized returns during the staking period while retaining full control of their cryptocurrency.
The TON Foundation states that the traditional UAE golden visa route typically requires an investment of around $540,000 in real estate or fixed deposits, which is non-refundable and tied to illiquid investments, with processing times ranging from three to six months.
The Federal Authority for Identity, Citizenship, Customs and Port Security of the UAE clarifies that golden visas are issued according to an officially approved framework, excluding digital currency investors. Eligible categories remain limited to real estate investors, entrepreneurs, exceptional talents, scientists and professionals, outstanding students and graduates, humanitarian pioneers, and frontline workers.
The Securities and Commodities Authority of the UAE reiterates its commitment to following international standards in regulating the financial sector, stating that investments in digital currencies are subject to specific regulations and are unrelated to the eligibility for a golden visa. The authority urges investors to obtain information from credible official channels to avoid misinformation or fraud.
The Virtual Assets Regulatory Authority (VARA) of Dubai explicitly denies any claims that Dubai virtual asset investors can obtain a golden visa and points out that TON has not obtained VARA’s approval or regulation. The authority emphasizes that companies obtaining VARA approval must strictly comply with the visa procedures stipulated by the Dubai government and relevant federal agencies.
Although the UAE positions itself as a cryptocurrency-friendly jurisdiction through VARA's comprehensive regulatory framework, attracting numerous virtual asset service providers, its golden visa program still maintains strict traditional investment standards.
Former Binance CEO Zhao Changpeng questioned the legitimacy of the TON statement on social media, reflecting widespread skepticism in the industry about the authenticity of the program. Despite the official denials, TON's golden visa application page remains active on its website.
Is this true? If it is, that would be amazing.
But the information I have received is contradictory.
Some people say: This is just to charge you $35,000, and then transfer your application to an intermediary who usually only charges $1,000.
Various UAE agencies jointly urge the public and investors to remain cautious, refer to official websites for accurate information, and warn against participating in unverified advertisements or offers circulating online. For detailed information about golden visa requirements, authorities direct applicants to visit the official ICP website.
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