Trump’s $5 Million “Gold Card” Visa: A Replacement for EB-5?

U.S. President Donald Trump has proposed a new “Gold Card” visa initiative. This new program would offer a pathway to U.S. citizenship for foreign nationals willing to invest $5 million, and would effectively replace the EB-5 program established in 1990. The primary motivation behind the Gold Card proposal seems to be reducing the deficit. President Trump asserts that “we will be able to sell 1 million” of these cards. He says the visa could be available “for sale” in two weeks and he contends that he has the authority to create the program without the approval of Congress because he “is not doing citizenship”, he is “doing the card” [04’37”]. At the same time, he stated that the card would serve as a path to citizenship. I don’t know how you can create a path to citizenship if you are only “doing the card.” He did not elaborate on what “doing the card” means.

The EB-5 program was designed to stimulate the U.S. economy through job creation and capital investment by foreign investors. It requires a minimum investment of about $1 million in a U.S. business that would create at least ten jobs. About 8,000 people obtained investor visas in the 12-month period ending Sept. 30, 2022. The Congressional Research Service reported in 2021 that EB-5 visas pose risks of fraud, including verification that funds were obtained legally. President Trump’s commerce secretary refers to the EB-5 program as “non-sense.” If the EB-5 visa program has posed risks, how would these risks be avoided by the Gold Card initiative? The Gold Card would cost five times as much as the EB-5 visa, if you will.  It doesn’t take more than an ounce of common sense to see that an increase in the investment threshold would also be accompanied by heightened risks of fraud and money laundering. 

While the Gold Card proposal aims to generate revenue and reduce the deficit, its legality and implementation remain highly questionable. If the EB-5 program raised concerns about fraud and financial transparency, a program with a fivefold investment requirement could pose even greater risks. Trump’s conflicting statements about whether the Gold Card offers a path to citizenship only add to the uncertainty. As details continue to emerge, it remains to be seen whether this initiative will gain traction or face legal and political roadblocks.