Golden Visa Hype Backfires: Toncoin Price Sees Sharp Drop After UAE Clarification
After UAE officials explicitly denied rumors that staking the cryptocurrency may earn investors a Golden Visa, the price of toncoin fell by 4.58%. The correction comes after a brief spike in the price of Toncoin earlier when the project’s official website started a promotion giving anyone who staked at least $100,000 worth of TON the opportunity to receive a UAE Golden Visa.
When important regulatory agencies in the United Arab Emirates rejected any connection to Toncoin’s Golden Visa, investor trust swiftly declined. A lot of investors began to question the Ton Foundation‘s assertions. They rushed to sell their interests because they were concerned that the advertisements would mislead consumers without official sanction.
UAE Regulators Deny Toncoin’s Golden Visa Claims in Joint Statement
On July 6, a unified statement was released. Reports that investing in Toncoin could result in eligibility for the UAE‘s Golden Visa program were refuted by the country’s three regulatory bodies:
- The Virtual Assets Regulatory Authority (VARA)
- The Securities and Commodities Authority (SCA)
- The Federal Authority for Identity, Citizenship, Customs, and Port Security (ICP)
According to the ICP, Golden Visas are only granted by particular regulations that highlight fields such as entrepreneurship, science, technology, real estate, and humanitarian activity. Additionally, digital assets are subject to separate regulations that are unrelated to the Golden Visa system, according to both the SCA and VARA. Additionally, VARA pointed out that TON has no office-issued license or regulations, and any association with the visa program is not permissible.
Binance’s CZ Slams TON’s Golden Visa Offer: “Where’s the Official Announcement?”
The creator of Binance, Changpeng Zhao, famously questioned the validity of the Ton Foundation’s offer. In their announcement, CZ brought attention to contradicting information. He also asked why the initiative was not accompanied by an official government news announcement.
The public was warned by authorities not to rely on unconfirmed online offerings and to use official government websites for correct information. This criticism has caused investors to question the campaign’s validity, which has caused the price of Toncoin to drop.
For more up-to-date crypto news, you can follow Crypto Data Space.
