Toncoin plummets as UAE denies "Golden Visa" claim for stakers
Toncoin (TON) has dropped sharply by 5% to $2.79 in the past 24 hours after the United Arab Emirates (#UAE ) dismissed claims that staking this cryptocurrency could help obtain the country's "Golden Visa."
Developments and Reactions
On Sunday, TON Foundation CEO Max Crown tweeted that staking $100,000 worth of Toncoin for three years along with a processing fee of $35,000 could help users obtain a visa. This information was later shared by Pavel Durov, the founder of Telegram. Immediately, TON surged to $3, its highest level since June 20, before falling back on Monday morning.
Alexandr Kerya, Product Director at CEX.IO, expressed concern over the way the announcement was made, arguing that a simple tweet does not meet the standards for such significant news.
On Monday, the UAE issued a joint statement "denying reports circulating on several websites and social media platforms that the UAE grants golden visas to digital currency investors."
Authorities also stated that the company $TON "is neither licensed by VARA nor regulated" and "urged the public and investors to exercise caution, referring to official government websites" for accurate information.
Many prominent figures in the crypto industry, including former Binance CEO Changpeng Zhao, have also spoken out, advising users to "trust but verify" and look forward to official cooperation from the government.