The $5 million Trump Card faces legal challenges, limited market

A version of this article first appeared in CNBC’s Inside Wealth newsletter with Robert Frank, a weekly guide to the high-net-worth investor and consumer. Sign up to receive future editions, straight to your inbox.

President Donald Trump’s $5 million Trump Card has attracted strong interest from the overseas wealthy, but it faces legal challenges and questions about the potential market size, according to immigration attorneys.

Trump launched the website in June for his new immigration plan, first called “the Gold Card” and then renamed “the Trump Card.” A brief questionnaire asked interested parties for their name, email, region and whether the Trump Card would be for “self,” “family,” “spouse” or “other,” as well as whether the application came from a business or individual.

Commerce Secretary Howard Lutnick told the Financial Times that 70,000 people had already signed up and that the card would be made from real gold. In March he said the potential market for the cards was 37 million. He said selling 200,000 cards would net $1 trillion for the Treasury and help pay down the federal debt.

The Trump Card has energized the burgeoning market for investment or “golden” visas, which allow the wealthy to buy residency or citizenship in another country in exchange for a six-figure or seven-figure investment. A record 142,000 millionaires will move to another country this year, according to Henley & Partners, driven by rising political turmoil and unrest. The U.K. is expected to lose a net 16,500 millionaires due to a change in its tax program, according to Henley. The UAE, the biggest gainer, is set to add a net 9,800 millionaires while the U.S. is expected to gain a net 7,500. 

The Trump Card would also arrive as many countries once favored by the wealthy — including Spain, Portugal and Italy — are tightening their investment-visa programs amid populist opposition and political backlash.  

Yet in interviews with immigration attorneys, advisors to the wealthy and political staffers involved in the program, they said the Trump Card faces fundamental legal and tax obstacles. What’s more, even if it’s approved and eventually offered, the number of buyers is likely to be a fraction of what the White House has suggested and could taper off after an initial burst of buyers.

“Each week there is something else announced that’s putting the steps in place to eventually get there,” said Dominic Volek, group head of private clients at Henley & Partners, which advises the wealthy on visas and passports. “But there are still a lot of question marks in terms of how successful it will be at the end of the day.”

The latest question centers on demand. While Lutnick touted the 70,000 sign-ups as proof of potential sales, anyone can sign up on the website requesting more information, regardless of their net worth. Immigration attorneys, family offices, bankers, wealth managers and all manner of advisors to the global wealthy said they signed up to stay informed on the Trump Card for their potential clients.

“I submitted two registrations so I can have access to more details when it becomes available,” said Theda Fisher, partner at Withers Bergman LLP, who advises wealthy clients.

The population of people outside the U.S. worth $30 million or more – a reasonable cut-off for those willing to spend $5 million on a visa — is around 276,000, according to the latest numbers from data firm Altrata.

Immigration attorneys said the largest demand is likely to come from China and the Middle East. China has around 46,000 ultra-high-net-worth individuals (those worth $30 million or more), Altrata said, while the Middle East has around 19,000. U.S. trade tensions with China and restrictions by the Chinese government on capital flight could limit the number of wealthy Chinese who buy a Trump Card, attorneys said.

Volek, who applauded the program in concept, estimated that demand for the Trump Card will be around 2,000 a year.

“I think a couple thousand a year is achievable,” he said.

By country, he said demand will likely mirror that of the current EB-5 program, the longtime U.S. visa regime that gives applicants residency and a pathway to citizenship for about $1 million. China dominates the EB-5 program, with mainland Chinese investors accounting for up to two-thirds of the 8,354 EB-5 visas issued in 2023, according to State Department data. Other countries in the common EB-5 applicant pool include Vietnam, India, Taiwan and South Africa.

Other golden-visa advisors said they’re seeing interest mainly from Mexico, the U.K., Russia and Brazil. The White House hasn’t said whether the $5 million card covers a family or just an individual, which could also impact demand.

Companies could emerge as major buyers of the Trump Card as they seek tech talent from around the world. Trump said that Apple, for instance, would buy “a lot” of Trump Cards, according to reports. (Apple declined comment).

Ultimately, demand will all depend on the specific terms of the Trump Card, which are already causing controversy. Trump and Lutnick have said the Trump Card would replace the EB-5, which is supported with heavy lobbying and bipartisan backers in Congress. The EB-5 program, which ties investments to job creation in under-employment areas, was reauthorized until 2027, so any changes or termination would need congressional approval.

“The EB-5 program was created by Congress, and only Congress may abolish it,” said the American Immigrant Investor Alliance, which seeks to increase the number of available EB-5 visas.

Screening and vetting remain another open question. After the U.S. discovered that Russians sanctioned after the Ukraine invasion had used its popular non-domicile program (similar to the Trump Card), it dramatically scaled back the program. It’s unclear whether the Trump administration, which has been battling China over trade, would allow unfettered access to Chinese nationals who apply. The administration also hasn’t commented on how it plans to screen for ties to terrorism, organized crime, money-laundering or foreign intelligence agencies.

The biggest hurdle for the Trump Card, however, involves taxes. The U.S. is one of the few countries in the world that taxes worldwide income, meaning American citizens and permanent residents have to pay federal income taxes on income earned outside the U.S. The only way wealthy foreigners would buy a Trump Card is if they’re exempted from worldwide income taxes – giving Trump Card holders a massive tax benefit not available to U.S. citizens.

While Trump confirmed that Trump Card holders would be exempt from overseas income, he said in a Truth Social post that “wealthy people will be coming into our country by buying this card” and be “paying a lot of taxes,” since they would still pay state and federal taxes on U.S.-sourced income.

Changing the tax code for Trump Card holders will require congressional approval as well as approval from the IRS, according to tax experts. So far, there is no legislation in the Big Beautiful Bill or other bills addressing the change.

The unprecedented tax exemption could also lead to loopholes. Wealthy Americans, for instance, who have dual-citizenship in another country could renounce their U.S. citizenship, buy a Trump Card and regain access to the U.S. free of global-income taxes.

The administration has also yet to provide information about whether Trump Card holders would be exempt from estate and gift taxes — which are typically more important and more costly than income taxes for the ultra-wealthy.

“There are many questions we have, including how various tax positions will be treated, the duration of the ability to exempt taxation of global income, estate tax implications, and who will be included in a one donation,” Fisher said. “For this reason, we have asked most of our clients not to register and take a wait and see approach. Unless this program really makes sense from a long-term tax and estate perspective, many high-net-worth individuals will not apply.”