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Crypto Insight
10 hours ago
- Business
- Crypto Insight
Golden visas are shrinking for crypto investors
Governments globally are rethinking so-called 'golden visa' programs that allow wealthy investors, including crypto executives, to secure residency or citizenship. Golden visa programs let applicants secure citizenship after investing a sum, often in the hundreds of thousands of dollars, in a local investment fund or real estate. While this can stimulate local economic development and attract talent from around the globe, some jurisdictions are rethinking the strategy. In May, Malta's golden passport program was ruled illegal by an EU court. The EU Commission said that Malta's Exceptional Investor Naturalisation (MEIN) program was commercializing European citizenship. Cyprus and Bulgaria ended their golden visa programs in 2021 and 2022, respectively. Global citizenship in the form of multiple passports may be attractive for crypto investors, especially as different countries implement more friendly tax and regulatory regimes for crypto. But getting that second or even third passport is becoming more difficult. Golden visa programs get stricter as crypto investors seek citizenship Golden visa regimes have often been touted as a solid way for countries to boost economic development. Alessandro Palombo, co-founder and CEO of Bitizenship — an advisory firm working with Portugal's golden visa program — told Cointelegraph, 'It's a mutually beneficial exchange: Countries gain investment and growth, while investors secure residency rights, enhanced mobility and, in some cases, a path to citizenship.' When US President Donald Trump unveiled his plan for a 'Trump Gold Card,' granting 'green card privileges plus,' he said that the program would bring wealthy people to the US who would be 'spending a lot of money, paying a lot of taxes, employing a lot of people.' This can be particularly true for smaller countries with limited opportunities for economic development. But critics and observers have flagged the potential for these programs to be abused. In the aforementioned case of Bulgaria, members of the European Parliament raised concerns that the program created an incentive for corruption and money laundering. According to Al Jazeera, the program's main beneficiaries were from China, Russia and the Middle East. The sudden entrance of rich investors and high earners can also lead to economic problems for residents. On April 3, Spain canceled its golden visa over concerns about skyrocketing housing costs locals couldn't afford. The path to citizenship through Spain's golden visa program was an investment in the real estate market, and lawmakers believed that the program was contributing to the crisis. The golden visa program in Portugal, which has long been touted as the premier crypto hub of Europe, is also getting stricter. Palombo said, 'Portugal is moving toward more restrictive policies, including tightening residency and citizenship eligibility.' Whether it comes from security and money laundering concerns, particularly after the beginning of the Russia-Ukraine war, or due to the economic problems of suddenly injecting a large amount of wealthy investors into a community, gold visa options are winding down. Why golden visa programs appeal to crypto investors Golden visa programs can be particularly enticing for wealthy globe-trotting crypto investors as they provide the benefits of residence, and often citizenship, of a country while imposing next to no residency requirements. In some cases, applicants are required to spend as little as five days per year in a country while still receiving the benefits of citizenship. Furthermore, some golden visa programs have integrated crypto directly into their investment schemes. In Portugal, the Bitcoin Eco Golden Visa lets investors get exposure to Bitcoin and local companies through an investment fund while getting the benefits of the Portuguese golden visa scheme. El Salvador, the first country to recognize Bitcoin as legal tender, also passed a law in 2023 granting citizenship to anyone who invests $1 million in Bitcoin or Tether's USDt. In Italy, Bitizenship is launching a golden visa route that would allow investors to get a route to Italian residency by investing 250,000 euros in a local Bitcoin startup. There is clearly appetite for crypto-related visa programs, particularly in countries with existing crypto-friendly regimes. Hype about a possible new crypto-related golden visa program led to a publicity nightmare earlier this month when the TON Foundation made a premature announcement of a golden visa regime it's reportedly developing for the UAE. The TON Foundation, the organization behind the network started by encrypted messenger Telegram, announced in early July that investors could secure a '10-year Golden Visa with a one-time $35,000 processing fee' in addition to staking $100,000 on The Open Network blockchain for three years. The UAE's Federal Authority for Identity, Citizenship, Customs and Port Security, the Securities and Commodities Authority and the Virtual Assets Regulatory Authority issued a joint statement denying the announcement. TON later clarified that the announcement was premature and that it was working independently with a 'licensed partner' to develop the scheme, with final approval ultimately resting with UAE regulators. Options for investment may be expanding within existing golden visa regimes, like the Bitcoin Eco Golden Visa in Portugal or the crypto startup option in Italy. However, overall, the trend is moving toward fewer and stricter regulations around such visa schemes. Since 2020, at least nine countries have scrapped their golden visa programs: the UK, Ireland, the Netherlands, Spain, Bulgaria, Cyprus, Montenegro, Moldova and Malta. Palombo said, 'What's possible today may become legally impossible within months or weeks. This pattern is accelerating. Golden visas, once abundant, are fast becoming scarce.' Source:
CNA
16 hours ago
- Business
- CNA
Commentary: EU-China ties will shape strategic room for Southeast Asia
SINGAPORE: European leaders met Chinese President Xi Jinping and Premier Li Qiang in Beijing on Thursday (July 24) at the EU-China summit, marking 50 years of diplomatic ties. In the era of Trump 2.0, China and the EU could have been a perfect match – at least in theory. They have a significant economic relationship and a mutual commitment to the multilateral trading system. According to 2024 data, they are each other's second-biggest trading partners, with bilateral trade exceeding US$760 billion. In April, Beijing and Brussels agreed that United States President Donald Trump's tariffs hurt international commerce, and committed to resolving their differences to 'jointly safeguard the normal functioning of global trade'. While these circumstances create a conducive setting for alignment, underlying frictions in security and trade had impeded summit preparations and strained their ties. In June, Brussels refused to hold a flagship economic meeting that usually serves a key role in summit preparations. Furthermore, China shortened the summit from two days to one, removing the Friday business meeting from the agenda. Against this backdrop, expectations of the summit were already low. The atmosphere at the meetings was reportedly tense. Mr Xi argued that the EU and China are at a 'critical juncture in history' and had to 'make the right strategic choices' to advance international stability. EU Commission President Ursula von der Leyen noted that relations have reached an 'inflection point' and need 'real solutions' to advance. How both sides manage these issues and the trajectory of their relationship after the summit present both challenges and opportunities for Southeast Asia. TENSIONS OVER UKRAINE AND SOUTH CHINA SEA In the realm of security, one key challenge of EU-China ties is their divergent perspective on the conflict in Ukraine. While China officially denies that it aids Russia's military‑industrial base, the EU considers China a 'key enabler' of Moscow's war effort in Ukraine. Multiple rounds of EU sanctions on Russia have included Chinese entities for their purported support to the Russian war machine. The latest package blacklisted Chinese banks for the first time, with two regional banks allegedly helping Russia to bypass economic sanctions. At the summit, European Council President Antonio Costa called on China to leverage its influence on Russia to help end the war. At the same time, some of the EU's activities in Asia trigger security concerns in China. In June, EU High Representative for Foreign Affairs and Security Policy Kaja Kallas visited the Philippines – a South China Sea disputant – and Brussels agreed to establish a dialogue on security and defense with Manila. During the visit, Ms Kallas reiterated the EU's commitment to 'addressing common concerns in the South China Sea'. Subsequently, the Chinese embassy to the Philippines told the European Union to refrain from stirring trouble in the South China Sea, and advised Manila against dragging external forces into the dispute. DISAGREEMENTS OVER TRADE On the trade front, one of the EU's chief concerns is the Chinese government's subsidies that lead to the inflow of cheap products into Europe. This has led the EU to put defensive trade measures in place that subsequently triggered retaliation from Beijing, in a counterproductive spiral. Last October, the EU imposed definitive anti-subsidy duties on battery electric vehicles imported to the bloc from China. In addition, the EU imposed provisional anti-dumping duties on hardwood plywood imports from China, and is currently conducting an anti‑dumping investigation into tire imports. Beijing also imposed trade measures on Brussels. It unleashed anti-dumping duties on brandy imported to China from the EU, while exempting some of the biggest producers. Moreover, China has an ongoing anti-subsidy probe into dairy products and an anti‑dumping investigation into pork imports from the EU. At the summit, Brussels called on Beijing to end these measures, which remains a sticking point in their relationship. Apart from long-standing concerns about product dumping, the EU is also worried about China's restrictions on rare earth exports, given its high dependence on those materials. Beijing's export controls since April have delayed rare earth supplies to Europe and disrupted industrial production across the continent. Even though Beijing fast-tracked related administrative processes, the EU emphasised the negative impact of restrictions at the summit and is pushing for a closure of export controls altogether – something that China seems unwilling to do. The summit confirmed that what Beijing regards as interdependence and interconnectivity is a source of geoeconomic vulnerability in the eyes of Brussels. EU-CHINA TIES HAVE SIGNIFICANCE FOR SOUTHEAST ASIA This top-level EU-China meeting and the subsequent development of their relationship carry significant implications for Southeast Asian nations, which were among the hardest hit by Mr Trump's initial tariff salvo until recent deals. A protracted stalemate could lead China to view the EU's increasing courtship of Southeast Asia with heightened suspicion, making it more difficult for the region to deepen ties with Europe without straining relations with Beijing. Further restrictions on European imports from China could exacerbate the already significant flow of cheap Chinese goods to the region. In addition, the EU could increase scrutiny on its imports from Southeast Asia, as Chinese businesses could reroute their Europe-bound imports to traverse through the region to dodge tariffs. If Beijing and Brussels manage to reduce key trade tensions at a later point, pressure would ease on the global trading system, already under strain from Washington's unilateral and protectionist policies. As US tariffs push Southeast Asian nations to scale back links with China, strengthening trade relations with the EU – ASEAN's third-largest trading partner – could provide an alternative source of growth and stability. Ultimately, the trajectory of EU-China relations after the summit will not only shape their economic and security ties but also influence Southeast Asia's strategic room for manoeuvre in a rapidly shifting global landscape.
Business Recorder
a day ago
- Business
- Business Recorder
Xi says China, EU must deepen trust but bloc chief urges ‘real solutions'
BEIJING: Chinese President Xi Jinping said China and the EU must deepen trust in a turbulent world but the bloc's chiefs called for 'real solutions' to move past an inflection point as they met in Beijing on Thursday. China's leadership has sought to draw the European Union closer as it positions itself as a more reliable partner than the United States and a bedrock of stability in a troubled world. But the EU has made clear there are deep divisions over trade, fears that cheap, subsidised Chinese goods could overwhelm European markets, and Beijing's tacit support for Russia's war against Ukraine. Though nominally intended to celebrate 50 years of diplomatic ties, the long list of grievances set the stage for a contentious summit. Welcoming EU Commission head Ursula von der Leyen and European Council chief Antonio Costa at Beijing's ornate Great Hall of the People, Xi said 'the more severe and complex the international situation is, the more important it is for China and the EU to strengthen communication, increase mutual trust and deepen cooperation'. In the context of that turmoil, Xi said, Chinese and European leaders must 'make correct strategic choices'. 'The challenges facing Europe at present do not come from China,' he added. 'There are no fundamental conflicts of interest or geopolitical contradictions between China and the EU,' the Chinese leader said. EU's von der Leyen hopes to 'advance and rebalance' China ties at summit In response, von der Leyen said 'it is vital for China and Europe to acknowledge our respective concerns and come forward with real solutions'. Ties had reached an 'inflection point', she warned. Costa also stressed to the Chinese leader that the bloc wanted to see 'concrete progress on issues related to trade and the economy, and we both want our relationship to be… mutually beneficial'. In a separate meeting on Thursday, Chinese Premier Li Qiang told the two EU leaders that 'close cooperation' was a 'natural choice' for the two major economies. 'As long as both China and the EU earnestly uphold free trade, the international economy and trade will stay dynamic', he said. Brussels had acknowledged the talks between its top bosses and Chinese leaders would be tense. 'We know that we don't see eye to eye with China on many issues,' a senior EU official told AFP last week. 'But we believe that it is essential to have this kind of very direct and open and constructive conversation sitting at the table at the highest level.' 'Not naive' China and the EU also vowed to 'step up' efforts to address climate change. The warming planet has historically been an area of convergence between Brussels and Beijing, with both sides signalling a willingness to cooperate on combating climate change. Chinese and European leaders agreed on enhancing bilateral cooperation in areas such as the energy transition and committed to accelerating global renewable energy deployment, a joint statement said. Also on the agenda for the EU is the yawning trade deficit with China that stood at around $360 billion last year and which von der Leyen has described as 'unsustainable'. Beijing has dismissed those concerns, insisting that Brussels must 'rebalance its mentality', not its economic ties with China. Von der Leyen has called for 'important steps' such as increased market access for European firms in China and reducing Chinese export controls, such as those on strategically crucial rare earths. If EU concerns were not addressed, 'our industry and citizens will demand that we defend our interests', she said in Thursday's talks with Qiang. The EU has imposed hefty tariffs on electric vehicles imported from China, arguing that Beijing's subsidies unfairly undercut European competitors. China has rebuffed that claim and announced what were widely seen as retaliatory probes into imported European pork, brandy and dairy products. A second key source of friction is the war in Ukraine – Brussels says China's deepening political and economic relations with Russia since the 2022 invasion represent tacit support for Moscow that has helped its economy weather sweeping Western sanctions. Meeting Xi on Thursday, Costa urged China to 'use its influence' to help end Russia's 'war of aggression'. Last week, the bloc adopted a new package of sanctions on Russia – including on two Chinese banks, leading Beijing's commerce minister to issue 'solemn representations' to his EU counterpart. 'This is a core issue for Europe,' the senior EU official said. 'We're not naive. We're not asking China to cut relations, but to step up the customs and financial controls.'
Business Times
a day ago
- Business
- Business Times
Xi says China, EU must deepen trust but bloc chief urges ‘real solutions'
[BEIJING] Chinese President Xi Jinping said China and the EU must deepen trust in a turbulent world but the bloc's chiefs called for 'real solutions' to move past an inflection point as they met in Beijing on Thursday (Jul 24). China's leadership has sought to draw the European Union closer as it positions itself as a more reliable partner than the US and a bedrock of stability in a troubled world. But the EU has made clear there are deep divisions over trade, fears that cheap, subsidised Chinese goods could overwhelm European markets, and Beijing's tacit support for Russia's war against Ukraine. Though nominally intended to celebrate 50 years of diplomatic ties, the long list of grievances set the stage for a contentious summit. Welcoming EU Commission head Ursula von der Leyen and European Council chief Antonio Costa at Beijing's ornate Great Hall of the People, Xi said 'the more severe and complex the international situation is, the more important it is for China and the EU to strengthen communication, increase mutual trust and deepen cooperation'. In the context of that turmoil, Xi said, Chinese and European leaders must 'make correct strategic choices'. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up 'The challenges facing Europe at present do not come from China,' he added. 'There are no fundamental conflicts of interest or geopolitical contradictions between China and the EU,' the Chinese leader said. In response, von der Leyen said 'it is vital for China and Europe to acknowledge our respective concerns and come forward with real solutions'. Ties had reached an 'inflection point', she warned. Costa also stressed to the Chinese leader that the bloc wanted to see 'concrete progress on issues related to trade and the economy, and we both want our relationship to be... mutually beneficial'. In a separate meeting on Thursday, Chinese Premier Li Qiang told the two EU leaders that 'close cooperation' was a 'natural choice' for the two major economies. 'As long as both China and the EU earnestly uphold free trade, the international economy and trade will stay dynamic', he said. Brussels had acknowledged the talks between its top bosses and Chinese leaders would be tense. 'We know that we don't see eye to eye with China on many issues,' a senior EU official told AFP last week. 'But we believe that it is essential to have this kind of very direct and open and constructive conversation sitting at the table at the highest level.' 'Not naive' China and the EU also vowed to 'step up' efforts to address climate change. The warming planet has historically been an area of convergence between Brussels and Beijing, with both sides signalling a willingness to cooperate on combating climate change. Chinese and European leaders agreed on enhancing bilateral cooperation in areas such as the energy transition and committed to accelerating global renewable energy deployment, a joint statement said. Also on the agenda for the EU is the yawning trade deficit with China that stood at around US$360 billion last year and which von der Leyen has described as 'unsustainable'. Beijing has dismissed those concerns, insisting that Brussels must 'rebalance its mentality', not its economic ties with China. Von der Leyen has called for 'important steps' such as increased market access for European firms in China and reducing Chinese export controls, such as those on strategically crucial rare earths. If EU concerns were not addressed, 'our industry and citizens will demand that we defend our interests', she said in Thursday's talks with Qiang. The EU has imposed hefty tariffs on electric vehicles imported from China, arguing that Beijing's subsidies unfairly undercut European competitors. China has rebuffed that claim and announced what were widely seen as retaliatory probes into imported European pork, brandy and dairy products. A second key source of friction is the war in Ukraine – Brussels says China's deepening political and economic relations with Russia since the 2022 invasion represent tacit support for Moscow that has helped its economy weather sweeping Western sanctions. Meeting Xi on Thursday, Costa urged China to 'use its influence' to help end Russia's 'war of aggression'. Last week, the bloc adopted a new package of sanctions on Russia – including on two Chinese banks, leading Beijing's commerce minister to issue 'solemn representations' to his EU counterpart. 'This is a core issue for Europe,' the senior EU official said. 'We're not naive. We're not asking China to cut relations, but to step up the customs and financial controls.' AFP
Local Spain
a day ago
- Business
- Local Spain
'Disproportionate': European tourism chiefs blast ETIAS fee hike
Travel News Associations representing airlines and the European tourism industry have spoken out against the EU Commission's proposal to increase the fee for the ETIAS travel authorisation scheme from the original €7 fee to €20. Please, login for more More #Travel News #European Union See Also
