After the United Arab Emirates clarified, the coin (TON) fell by 6 percent. The explanation dismissed the allegations that staking the token would qualify one for the country’s golden visa program.
This drop occurred not long after UAE officials stated that there was no relationship between cryptocurrency investment and obtaining a golden visa.
UAE Authorities Deny Crypto-Based Visa Eligibility
On Monday, a joint statement was issued with several UAE regulatory authorities, such as the Federal Authority for Identity, Citizenship, Customs and Port Security, the Securities and Commodities Authority, and the Virtual Assets Regulatory Authority.
They ascertained that possession of digital assets is not a requirement for granting golden visas. The agencies pointed out that cryptocurrencies are regulated independently and are outside the domain of residency-by-investment schemes.
They encouraged the prospective investors to use only legitimate sources of government information to be reflected as authentic and legitimate.
Surge Followed by Sharp Decline
Just after the Open Network asserted that staking the token worth 100,000 can earn applicants access to a golden visa lasting 10 years, the price of TON soared by 10 percent to reach 3.03. The platform also mentioned that users would have to undergo a processing fee of 35,000 dollars.
The news resulted in a massive buzz, but it became huge with the announcement by Telegram CEO Pavel Durov re-sharing the news of crypto-influencer Ash Crypto. However, after the UAE denial, TON slipped to the price of 2.84, having lost 6 percent of the 24-hour maximum.
Community Reaction and CZ’s Comments
Binance founder (ex-CEO) Changpeng Zhao (CZ) was unsure that TON was legit. He observed that the platform may be charging 35,000 dollars to hand over the applications to the agents, who typically charge about 1,000 dollars.
According to CZ, he supports Durov but feels that official cooperation with the government should be in place, and an official announcement should be made about such a program. He said that he did not check the offer and pointed out that the original post did not contain exact information.
Other online users were also not convinced about the validity of the partnership, citing the previous case of publicly refuted alleged collusion between Elon Musk and X.
In 2019, the UAE launched the golden visa to invite talents, investors, and entrepreneurs. The present necessities are AED 2 million or AED 250,000 yearly in the form of business contributions and investments in real properties. Other types of people who can obtain it are experienced professionals, scientists, retirees, and students, provided certain conditions are met. Under no circumstances is it possible to access the visa using cryptocurrency staking.
The post TON Falls 6% After UAE Denies Golden Visa Link first appeared on Coinfea.
