What is proof of funds (PoF)?
Proof of funds (PoF) is a document showing that a named person or company currently has access to a specific amount of money — a bank statement or letter, a broker report, or a settlement confirmation from a licensed OTC desk. It proves the money exists today, not where it came from.
What proof of funds shows, and what it does not
Proof of funds is a snapshot: a stated balance, on a stated date, in the payer's name. Source of funds (SoF) answers a different question — how the balance was earned — with contracts, salary records or exchange statements. A bank statement showing AED 2,000,000 is proof of funds; the sale agreement or trading history behind it is source of funds. Large UAE transactions often need both.
Who asks for it in the UAE
Banks supervised by the Central Bank of the UAE may ask before a large first deposit, alongside KYC. Developers ask before reserving a unit. Golden Visa applicants must evidence their category's investment threshold, per the U.ae eligibility page. A VARA-licensed desk asks when its AML review needs to confirm the client can fund the trade; on unusually large tickets that becomes enhanced due diligence. Any provider asking should itself be checkable in a register — IWGT's details are in the licence section.
How long a proof-of-funds document stays current
There is no UAE-wide rule fixing an expiry. Each recipient — bank, developer, visa office or desk — sets its own freshness window, because the document describes one moment. Ask how recent it must be, and request it close to the date of use. The full list a desk needs before a sale is in the how-to on what documents you need to sell USDT in the UAE.
Illustrative example
A client sells 500,000 USDT through a licensed desk and must show a developer that an off-plan deposit is available. The desk settles the AED to the client's own-name account by UAEFTS and issues a written settlement confirmation — amount, date, receiving account. Paired with a current bank statement, that is the proof-of-funds package: the confirmation proves the trade, the statement proves today's balance. The exchange records behind the USDT stay in a separate source-of-funds file.
Related terms
- UBO — the person behind a company's proof of funds.
- Escrow — where a proven deposit goes next in a property deal.
FAQ
Is proof of funds the same as source of funds?
No. Proof of funds shows the money is available now; source of funds shows where it came from. UAE banks often ask for both on large transactions.
Can a crypto wallet balance count as proof of funds?
On its own, rarely. A balance screenshot proves nothing about who controls the address; a signed message or a settlement confirmation from a licensed desk carries more weight.
Can IWGT provide proof of funds after a trade?
IWGT settles every trade to the client's own-name account and confirms it in writing — amount, date and account — to pass on to a bank, developer or visa office.
Get a settlement confirmation you can use as proof of funds
IWGT settles every USDT-to-AED trade to your own-name account and confirms it in writing, ready to pass to a bank, developer or visa office.
SOURCES
- VARA public register — licence check, accessed 21 September 2026.
- Central Bank of the UAE rulebook — AML/CFT guidelines for financial institutions, accessed 21 September 2026.
- U.ae — Golden Visa eligibility overview, accessed 21 September 2026.
- IWGT settlement-confirmation practice — onboarding section, September 2026.
This guide is informational and is not legal, tax or investment advice, nor an invitation to buy or sell any virtual asset. Rules and figures are as of September 2026 — re-check the sources before acting. Virtual assets may lose their value in full or in part and are subject to extreme volatility.