structured through offshore subsidiaries on behalf of parent companies have been successful in cases where currency exchange restrictions make direct funding impractical. While such strategies require careful legal analysis and thorough documentation, they reflect USCIS’ s willingness to recognize legitimate business structures that achieve compliance through alternative mechanisms.
Home Equity Loans Home equity loans from established banks continue to receive minimal scrutiny during both the I-526E adjudication and consular interview processes. This
pattern extends to micro-credit companies and other legitimate lending institutions, suggesting that USCIS views bankoriginated funding as inherently more credible than private arrangements.
Pre-RIA adjudications frequently included questions about loan repayment capacity and long-term financial sustainability. While practitioners continue to address these issues proactively in initial submissions, such inquiries have become notably less common.
Currency Exchange Patterns The widely used $ 50,000-perintermediary approach, often referred to as " ant migration," continues to receive broad acceptance from USCIS when properly documented over appropriate timeframes. This method requires careful planning and comprehensive recordkeeping but provides a reliable pathway for compliant fund transfer.
Single intermediary currency exchanges, which faced significant scrutiny and frequent denials in the pre-RIA era, have largely disappeared from successful case strategies. That said, single intermediary transactions conducted through a licensed currency exchange agency have seen some successes, though they remain a cautionary tale. This landscape may shift if
The post-RIA adjudication environment presents opportunities and challenges for EB-5 industry participants
the legal principles discussed in Zhou v. McAleenan are affirmed by a federal appeals court, potentially providing a solid pathway for the revival of this method in the future.
STRATEGIC IMPLICATIONS FOR INDUSTRY STAKEHOLDERS The post-RIA adjudication environment presents opportunities and challenges for EB-5 industry participants. Projects can approach Chinese investors with greater confidence in achievable approval rates when proper documentation strategies are employed. Service providers should focus on preparing comprehensive initial packages rather than presuming higher
RFE rates, while maintaining awareness of the specific challenges that Chinese investors continue to face.
For potential investors, the data suggests that source of funds documentation, while requiring careful attention to detail, need not present an insurmountable barrier to EB-5 participation. Success depends primarily on understanding USCIS expectations and developing strategies that address known scrutiny patterns rather than attempting to achieve perfect historical records.
The consistent approval rates and manageable RFE frequencies indicate that the EB-5 program remains accessible to Chinese investors who approach the process with appropriate professional guidance and realistic expectations about documentation requirements.
A MEASURED OPTIMISM The post-RIA adjudication experience demonstrates that regulatory reform need not necessarily translate into practical barriers for qualified investors. While Chinese investors must continue to navigate specific challenges related to their unique financial and regulatory environment, the fundamental accessibility of the EB-5 program appears intact.
USCIS ' s practical approach to source of funds adjudication suggests a mature understanding of the evidentiary realities facing international investors. The agency ' s willingness to accept reasonable explanations supported by available evidence, rather than demanding impossible documentation standards, reflects a pragmatic approach to regulatory enforcement that serves both program integrity and investor accessibility.
For industry stakeholders, these trends suggest that the EB-5 program continues to offer viable pathways for Chinese investment when approached with proper planning and professional guidance. The key is less about producing flawless documentation and more about anticipating adjudication patterns, addressing common areas of scrutiny, and leveraging areas where USCIS has shown consistent acceptance.
F. OLIVER YANG
Oliver Yang heads the immigration department at Reid & Wise LLC, specializing in U. S. immigration law for individuals, investors, and businesses. His expertise includes both investmentbased and employment-based immigration, with a focus on the EB-5 process and various visa categories such as E-2, L-1 / EB-1C, and H-1B.
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