TON Offers UAE Golden Visa for $100,000 Stake, Binance Founder Cautions

The Open Network (TON), a blockchain platform backed by Telegram, has recently introduced an offer that promises a 10-year UAE Golden Visa to individuals who stake at least $100,000 worth of Toncoin (TON) for three years. This offer includes additional benefits such as an estimated 3 to 4 percent annual yield on staked TON and visa coverage for immediate family members. The process is claimed to be completed in under seven weeks, managed by UAE-based partners.

However, the legitimacy of this offer has been questioned by Changpeng Zhao (CZ), the founder of Binance. CZ expressed skepticism, noting that Golden Visas typically cost around $1,000 through agents, making the $35,000 processing fee unusually high. He also highlighted the lack of official statements from UAE authorities such as the Virtual Assets Regulatory Authority (VARA) and the Abu Dhabi Global Market (ADGM), which are necessary for regulating staking activities. CZ's caution stems from the absence of any official government press release or update supporting the Ton Foundation's claims.

CZ's doubts were further fueled by the lack of official government websites or announcements confirming the staking program for the Golden Visa. He acknowledged that if the offer is genuine, it would be an attractive proposition. However, until there is concrete evidence from the UAE government, CZ remains cautious. He indicated that if the reports are true, he would consider implementing a similar BNB staking option for visa seekers, leveraging Binance's extensive links to the UAE. Binance has already obtained regulatory approval from Dubai’s VARA and Abu Dhabi’s ADGM, positioning the exchange favorably within the region.

Despite the skepticism, the Ton token has seen a surge in value, rising by 6% in the last day and trading at $2.90. This rally has been driven by the excitement surrounding the potential Golden Visa offer, with the token's market capitalization reaching $7.17 billion. The daily trading volume for Ton has also hit a record high, reflecting the heightened interest in the cryptocurrency. However, without official confirmation from the UAE government, the sustainability of this rally remains uncertain.

UAE regulators have denied offering Golden Visas to crypto investors, clarifying that such visas are limited to approved categories like real estate investors, scientists, and top graduates. They urged the public to avoid unverified offers of getting a UAE crypto visa and only deal with licensed crypto entities, stating no official backing exists for TON’s program. This denial further complicates the legitimacy of the Ton Foundation's offer, highlighting the need for transparency and regulatory clarity in the cryptocurrency space.

CZ's skepticism underscores the importance of regulatory compliance and verifiable information in the cryptocurrency industry. As the sector continues to grow, it is essential for projects and foundations to adhere to regulatory standards to build trust with investors and stakeholders. The Ton Foundation's offer, while potentially groundbreaking, requires further validation to be considered legitimate. Until then, the cryptocurrency community will continue to monitor developments closely, awaiting official confirmation from the UAE government.