UAE authorities deny the Golden Visa acquisition program using Toncoin = report

## "Cryptocurrency investors are excluded"

The Emirates News Agency (WAM), a state-run news agency operated by the government of the United Arab Emirates (UAE), denied on the 7th that the staking program of the cryptocurrency Toncoin (TON) allows for obtaining a UAE Golden Visa.

According to a joint statement from the Federal Authority for Identity, Citizenship, Customs & Port Security (ICP), the Securities and Commodities Authority (SCA), and the Virtual Assets Regulatory Authority (VARA) in the UAE, the Golden Visa is issued based on a specific framework, but virtual currency investors are not included.

ICP explained that the qualifications for the Golden Visa are limited to "real estate investors, entrepreneurs, individuals with outstanding talents, scientists and specialists, excellent students and graduates, pioneers in humanitarian aid, and frontline workers."

In addition, VARA points out that the program announced by TON is not subject to approval or regulation by the authorities.

The authorities urged individuals to refer to the government's official website for accurate information regarding visa acquisition requirements and to act with caution. They also warned against engaging with advertisements or offers that are not officially verified and circulating online.

What is staking?

A mechanism that allows users to contribute to the management of a specific blockchain network by holding the corresponding coin and earning rewards in return. Strictly speaking, it is not enough to simply hold the coin; it must also be deposited on the network. This can be likened to depositing fiat currency in a bank account and receiving interest after a certain period. Furthermore, staking can be performed with coins that adopt the PoS (Proof of Stake) consensus algorithm.

After the announcement of the visa program, the price of Toncoin temporarily surged by more than 10% from about $2.7 to reach $3, but at the time of writing this article, it is trading at around $2.8.

Toncoin is a virtual currency originating from the messaging service Telegram, and it has grown against the backdrop of the expansion of the tap-to-earn gaming sector.

Initial announcement

Open Network (TON) announced on the 5th that it will offer a golden visa valid for 10 years in the UAE to those who stake Toncoin worth $100,000 (approximately 14.5 million yen) for three years and pay an additional fee of $35,000 (approximately 5.1 million yen).

It is stated that the Golden Visa can be obtained within 7 weeks from the submission of documents to the visa office, and that partner companies based in the UAE will handle the issuance of the visa and the confirmation of residency qualifications.

It was also stated that there is no longer a need to meet the traditional criteria for real estate purchases or income, and candidates will be selected through a rigorous screening process. Family members of applicants, such as spouses, children, and parents, can also obtain the same 10-year visa without additional costs.

Additionally, the 100,000 dollar Toncoin will completely become the property of the applicant, with the possibility of unlocking after 3 years, and it was also advertised that an estimated annual interest of 3-4% can be earned over the 3 years.

Emirates News Agency has denied such programs, but TON has not provided an explanation on this matter at this time. Therefore, the effectiveness of the program remains unclear.

The UAE is known as a country that is active in the field of cryptocurrency, and last October, it announced that it would exempt taxes on the transfer and conversion of cryptocurrencies.