CZ Questions TON Foundation's UAE Golden Visa Offer

Changpeng Zhao, the former CEO of Binance, has publicly questioned the legitimacy of The Open Network (TON) Foundation's offer of UAE golden visas in exchange for staking $100,000 worth of TON tokens. This move comes amidst growing backlash and scrutiny from various quarters. The controversy has sparked a wave of reactions within the crypto community, with many expressing skepticism and concern over the authenticity of the offer.

The TON Foundation had initially announced that individuals staking $100,000 in TON tokens would be eligible for UAE golden visas, which grant residency and various benefits. This announcement generated significant interest and increased demand for TON tokens. However, the offer was met with immediate criticism, with many questioning the legitimacy and regulatory compliance of such a scheme. Changpeng Zhao's public questioning of the offer added fuel to the fire, as his influence and credibility within the crypto community lent weight to the growing skepticism.

CZ responded directly on X, stating, “Is this real?” and expressed confusion over conflicting information. He stressed the lack of any official UAE government website mentioning Toncoin-based visa offers. “It would be awesome IF it is true,” he added, but warned that no official agency has backed the program so far. Moreover, TON has not retracted the claim despite the rising criticism. The promotional webpage remains active, raising further credibility concerns. Many community members have labeled the move misleading and harmful to TON’s reputation. Some argue it damages trust in crypto-residency efforts.

The UAE has positioned itself as a crypto innovation hub. It recently launched a Machine Economy Free Zone, backed by peaq blockchain, aiming to tokenize AI and robotics revenues. Additionally, Dubai rolled out the region’s first regulated tokenized real estate project, signaling its ambition to lead in DeFi and Web3. Hence, TON’s unverified offer appears out of sync with the Emirates’ usual regulatory precision. This has led observers to call for clear guidance from UAE authorities. Transparent communication from official channels is vital for protecting investors and maintaining trust in the ecosystem.

The controversy surrounding TON's golden visa offer has highlighted the challenges and risks associated with crypto-based residency programs. While such initiatives can attract significant interest and investment, they also raise concerns about regulatory compliance, transparency, and the potential for misinformation. The backlash against TON's offer serves as a cautionary tale for other projects considering similar schemes, underscoring the importance of adhering to regulatory guidelines and maintaining transparency with stakeholders.

Strict control is required when high-stakes investments, such as Golden Visas, are linked to erratic cryptocurrency assets. Such plans, in the absence of government support, may cause misunderstandings and unexpected outcomes. Before investing money, investors should use caution, check their sources, and wait for official authorization. The crypto community's reaction to the controversy has been mixed, with some expressing support for TON's innovative approach to residency, while others have criticized the lack of regulatory clarity and transparency. The incident has sparked a broader conversation about the role of cryptocurrencies in residency and immigration programs, and the need for clear regulatory frameworks to govern such initiatives. As the crypto industry continues to evolve, it will be crucial for projects to navigate these challenges carefully, ensuring that they prioritize regulatory compliance and transparency in their operations.