The Sui Foundation has denied allegations of insiders selling $400 million worth of SUI tokens during a recent price surge. The foundation responded to rumors by stating that no insiders, employees, founders, or investors of the Foundation or Mysten Labs have sold such a large amount of tokens individually or combined. They also clarified that insiders have not engaged in preemptive selling or violated token lockups and circulating supply schedules. The foundation pointed to an infrastructure partner as the likely source of the token sales, ensuring that all token lockups are enforced by qualified custodians.
The price of SUI surged by over 108% in the past 30 days, reaching an all-time high of $2.35 on October 13. With a market cap of approximately $6.18 billion, SUI currently ranks as the 21st-largest cryptocurrency. The allegations arose after a pseudonymous crypto analyst claimed that insiders had offloaded $400 million worth of SUI tokens during the price rally. The analyst shared data suggesting increased activity from wallets linked to the Sui Foundation’s initial coin offering in 2023.
Adeniyi Abiodun, co-founder of Mysten Labs, credited the surge in SUI’s value to the migration of web3 projects to the Sui blockchain, particularly in the gaming sector. Developers have found better performance and lower costs on the Sui network compared to other chains facing scalability issues. Circle CEO Jeremy Allaire announced the expansion of the USDC stablecoin to the Sui network last month. Sui, launched in 2023, is designed for Web3 applications with a focus on simplifying decentralized application development through parallel transaction execution. The Move programming language is used for building Sui, offering advanced scalability and security for DeFi solutions.
Mysten Labs, the developer behind the Sui blockchain, plans to release a handheld gaming device called SuiPlay0X1 in the first half of 2025. Preorders for the device, priced at $599, began on September 3. The SuiPlay0X1 will support traditional PC games and titles built on the Sui blockchain, marking a significant integration of blockchain technology into the gaming industry. Overall, the Sui Foundation’s denial of insider token sales, the surge in SUI’s value attributed to increasing adoption in the gaming sector, and the expansion of USDC stablecoin to the Sui network highlight the platform’s growing popularity and potential in the crypto ecosystem.
