The Open Network (TON), a blockchain project originally developed by Telegram, is under scrutiny after announcing a crypto-based pathway to long-term residency in the United Arab Emirates, a claim that was quickly challenged by UAE authorities.
On Saturday, the TON Foundation unveiled what it called a “revolutionary” route to the UAE’s coveted 10-year Golden Visa, offering eligibility to individuals who stake $100,000 worth of Toncoin (TON) for three years and pay a $35,000 one-time fee. According to the project’s promotional materials, the visa process would be managed by local partners and completed in under seven weeks, extending to family members at no additional cost beyond standard government fees.
But less than 24 hours later, Emirates News Agency published a joint statement from three major UAE regulators—the Federal Authority for Identity, Citizenship, Customs and Port Security (ICP), the Securities and Commodities Authority (SCA), and the Virtual Assets Regulatory Authority (VARA)—refuting the legitimacy of the offer.
“Digital currency investments are governed by specific regulations and are unrelated to Golden Visa eligibility,” the statement read, urging the public to rely on official government channels to avoid misinformation or potential fraud.
The regulators further clarified that TON is not licensed or regulated by VARA, contradicting any implication that the program operates under formal government oversight.
TON’s offering presented an unusually affordable route into the UAE’s Golden Visa scheme, which traditionally requires minimum investments of $540,000 in sectors like real estate or fixed deposits. In comparison, the TON pathway proposed a fivefold lower entry threshold, making it potentially attractive to high-net-worth crypto holders.
TON’s website claims that participants maintain full control of their funds via decentralized smart contracts, with staking rewards projected at 3–4% APY. However, regulatory pushback has cast significant doubt on whether this offer aligns with the UAE’s official immigration and investment policies.
Still, the announcement triggered a market reaction. Toncoin surged over 10% following the news, trading at around $2.98, though it remains significantly down from its highs earlier this year.
Community Divided
The crypto community has responded with a mix of enthusiasm and skepticism. Telegram CEO Pavel Durov reshared the announcement, while others questioned its validity.
“Third-party provider is using TON as a proxy… they could’ve used FARTCOIN instead,” Sigil Fund partner Joe HedgeHog quipped on X, highlighting concerns over the lack of official backing and suggesting that the token itself was incidental to the process.
Meanwhile, CoinGecko co-founder Bobby Ong described the low entry point as a potentially strategic move: “It will certainly get the attention of whales,” he posted.
While the TON Foundation insists that its program is compliant and supported by UAE-based partners, the stark denial from federal regulators leaves its future uncertain. As of now, the offer stands in a legal grey zone, and crypto investors are urged to proceed with extreme caution.
