UAE authorities have strongly rejected allegations made by The Open Network (TON). Specifically, they wanted to explain that they do not have a golden visa program for cryptocurrency investors. TON promoted a particularly juicy bait for investors looking for a 10-year golden visa. To become eligible, applicants had to stake $100,000 USD equivalent of TON tokens for three years and submit a $35,000 application processing fee. The UAE's Federal Authority for Identity, Citizenship, Customs and Port Security (ICP), the Securities and Commodities Authority (SCA), and the Virtual Assets Regulatory Authority (VARA) have jointly denied any affiliation with this program, causing TON's token price to plunge 6%.

The UAE’s golden visa program provides foreign nationals the opportunity to live, work, and study in the country for extended periods. These work and residency visas usually range in duration from five to 10 years. The UAE authorities went on to explain the eligibility criteria for long-term residency. Investors are required to make public investments of at least 2 million UAE dirham ($544,000), a significant shift from what TON had proposed.

Official Denial from UAE Authorities

To clear up the confusion found all over social media, UAE authorities have released a joint statement to set the record straight about the golden visa program. As such, this claim below shuts down and refutes the claims TON has put forth. Indeed, it helps underscore the necessary caveat that the UAE government does not approve or endorse these sentiments.

Dubai’s VARA has made a significant announcement. Their message to local and foreign crypto investors is to be cautious and only deal with licensed and regulated entities in the UAE. This warning is in direct response to TON’s unverified offer. Its goal is to help keep investors from falling prey to the next great scam or fraudulent scheme.

The three agencies have come together to educate the public. They encourage everyone to avoid fraudulent TON-related offers that are circulating online. They have helped to build the habit of checking trustworthy official sources first in order not to be misled by misinformation.

TON's Program Details and Market Reaction

TON’s alleged golden visa program conditions applicants to stake $100,000 worth of TON for three years. In addition, they need to pay a non-refundable processing fee of $35,000. The company’s website reportedly created the impression that applicants had to bring “$35k + $100k” to the table for the program.

After the UAE authorities denied the report, TON’s value plunged 32%. The news caused the asset to tank almost 6% in a matter of hours. Image source Coin Market Cap It is currently around $2.83. This price drop reflects the market's reaction to the uncertainty surrounding TON's claims and the potential impact on investor confidence.

Others aren’t convinced by the $35,000 processing fee for TON’s program. They think this fee to be too high and it possibly only covers sending the application to an agent who would in general charge an average of $1,000. This speculation only serves to deepen concerns over the good faith and transparency of TON’s offering.

Community Response and CZ's Stance

The crypto community is abuzz with skepticism, worry, and fear. For this reason, they are over-responding to the backlash surrounding TON’s golden visa allegations. Changpeng Zhao (CZ), the head honcho of Binance, seemed to endorse the entire move by retweeting our post announcing TON.

"I like to trust but verify." - CZ

CZ's cautious approach underscores the importance of due diligence and verifying information before making investment decisions, particularly in the rapidly evolving cryptocurrency landscape.