By Jake Koch-Gallup
Compiled by: TechFlow
Key Insights
Sui launched the Mysticeti consensus mechanism, which reduced consensus latency by 80%, shortening it to 390 milliseconds when processing 100,000 transactions per second, greatly improving efficiency.
Sui has completed integration with Circle’s USDC and plans to introduce Circle’s Cross-Chain Transfer Protocol (CCTP). This cooperation has driven Sui’s market value to increase by 139% month-on-month to $4.8 billion, and its market value ranking has risen to 21st.
On May 30, 2024, Sui's active addresses reached a historical peak of 2.2 million. On that day, 9.3% of the token circulation was unlocked, and the newly unlocked tokens flooded into the market, driving a surge in trading and transfer activities.
Sui’s DeFi total locked value (TVL) has grown 42% to $1 billion over the past two quarters. This growth was partly due to the launch of new features and ecosystem funds by DeFi protocols such as NAVI, Scallop, and Cetus, while the price of SUI also rose 117.1% between the second and third quarters.
Projects built on Sui raised a total of $16.3 million in Q2 and Q3 2024, up 41.7% from the previous two quarters. Projects that received funding include Ambrus Studio, XOCIETY, and RECRD.
Introduction
Sui (SUI ) is a Delegated Proof of Stake (DPoS) layer-one blockchain designed for high scalability and low-latency transactions with the goal of achieving mass user adoption. Sui's core development team, Mysten Labs, was founded in 2021 by Evan Cheng, Sam Blackshear, Adeniyi Abiodun, Kostas Chalkias, and George Danezis. These founders previously led Meta's blockchain projects Diem and Novi, and have experience working at top institutions such as Apple, Alan Turing Institute, Microsoft, R3, and Oracle. Mysten Labs raised a total of $336 million in financing in 2021 and 2022, and raised approximately $49 million in several public token sales in 2023 (KuCoin, OKX, Bybit, and BitForex). Sui launched its mainnet in May 2023.
Sui's technical architecture is full of innovations, including an object-centric data model, the Mysticeti consensus mechanism, the Sui storage fund, and the Sui Move programming language. Sui Move was developed by Sam Blackshear, co-founder of Mysten Labs, based on the Move language he developed in Novi. Compared with other Web3 programming languages, Sui Move provides greater flexibility and security. Unlike Solidity, which relies on sequential transaction processing, Sui Move's object-centric data model enables parallel transaction processing, thereby improving efficiency. In addition, 5 of the OWASP Top 10 vulnerabilities are impossible in Move, and another 3 vulnerabilities have been partially mitigated.
Several other protocols and products designed to improve user onboarding and experience have been released on Sui, including Sponsored Transactions, which allows gas fees to be extracted from end users; zkLogin, which enables Sui users to transact using OAuth credentials; Sui Bridge, a native bridge for cross-chain interoperability; and Sui Kiosk, a decentralized system for business applications. The development of the Sui ecosystem is led by the Sui Foundation, with Mysten Labs being an initial contributor to the development of the Sui blockchain protocol. For a complete primer on Sui, see our coverage report.
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Key Metrics
Financial Analysis
In the first quarter of 2024, the cryptocurrency market as a whole grew by 63.6%. However, the market entered a cooling phase in the second quarter, with an overall decline of 16.4%. SUI performed in line with the overall trend, with its circulating market value falling by 15.7% month-on-month in the second quarter. However, by September 2024, SUI broke this downward trend, with its circulating market value surging by 133.3% in a month. This growth was mainly due to the integration with USDC and CCTP and the launch of Grayscale Sui Trust. As of the end of the third quarter of 2024, SUI's circulating market value reached US$4.8 billion, a month-on-month increase of 139.4%, rising to 21st in the crypto market capitalization ranking. Although the token unlocking in May 2024 released 10.19% of the total supply, which put downward pressure on prices for a time, the price gradually kept pace with the market value growth afterwards.
The fees of the Sui network are mainly composed of gas fees generated by transactions, including computational costs and non-refundable storage fees. These fees are ultimately distributed to network validators. Sui's total fees in the second quarter reached $1.1 million (about 1 million SUI), a record high, due to a surge in trading activity after the token unlock in May 2024. As market activity gradually weakened in the early stage of unlocking, fees in the third quarter fell 31.8% month-on-month to $750,400 (about 789,900 SUI).
The total supply of SUI is fixed at 10 billion, of which 1 billion is reserved for staking rewards. As of the end of the third quarter of 2024, the annualized inflation rate of SUI is 0.44% relative to the remaining 9 billion tokens. This rate will decrease by 10% every three months until all staking reward tokens are distributed.
In addition, token unlocking is also a major source of inflationary pressure. As of the end of the third quarter of 2024, 26.8% of the total supply of SUI has been allocated, an increase of 10.3% from the second quarter and 117.9% from the first quarter.
The following are the main unlocking events:
May 3, 2024:
Ecosystem: Unlock 147.5 million SUI (worth approximately $262.6 million) for community reserves.
Public Sale: Unlocked 34.6 million SUI (valued at approximately $61.6 million) for the Community Access Program.
Total: 182.1 million SUI unlocked (worth approximately $324.1 million as of September 30, 2024), accounting for 2.02% of the total unlocked amount and 1.82% of the total supply.
May 30, 2024:
Team: Unlock 109.4 million SUI (worth approximately $194.7 million) to reward early contributors.
Investors: 496 million SUI (worth approximately $882.8 million) unlocked for Series A investors; 231.9 million SUI (worth approximately $412.7 million) unlocked for Series B investors.
Total: 837.2 million SUI unlocked (worth approximately $1.49 billion as of September 30, 2024), accounting for 9.30% of the total unlocked amount and 8.37% of the total supply.
Through these unlocking events, the circulating supply of SUI increases significantly, further driving changes in market trading activity.
In Q2 and Q3 2024, a total of 1.45 billion SUI tokens (worth approximately $2.58 billion as of September 30, 2024) were unlocked, accounting for 14.5% of the total supply. As of the end of Q3 2024, 78.8% of the stakeable supply had been staked, a decrease of 2.3% from the previous quarter. It is important to note that even locked tokens can participate in staking and receive liquidity staking rewards. Therefore, SUI's stakeable supply is based on the total supply, not the circulating supply. Due to the high staking rate, SUI's annualized effective yield is slightly below zero, at -0.31%.
Network analysis
Usage
Activity on the Sui network (measured by daily transaction volume and daily active addresses) picked up significantly after a major token unlock event in May 2024. In the second quarter of 2024, average daily transaction volume increased 385% quarter-on-quarter to 7.1 million transactions; but fell 53.6% to 3.3 million transactions in the third quarter. The number of daily active addresses increased by 2126% sequentially in the second quarter to 490,600, and continued to increase by 31.6% in the third quarter, reaching 645,500.
In the past two quarters, Sui's daily transaction volume peaked at 37.5 million on May 4, 2024, mainly due to the following reasons:
SPAM Sui app incentive mechanism: The app encourages users to send a large number of transactions on the Sui network by rewarding them with SPAM tokens. During the peak transaction volume, 82.7% of the transactions came from SPAM Sui users.
Token unlock boost: The first token unlock event on May 3, 2024, led to a large number of users transferring and trading newly unlocked tokens, further stimulating trading activity.
The number of active addresses peaked around the second SUI token unlock on May 30, 2024, with 2.16 million active addresses on that day. Subsequently, in September 2024, with the launch of Grayscale Sui Trust and the announcement of USDC and CCTP integration, the number of active addresses rebounded again.
Despite a significant increase in transaction volume, Sui's average transaction fees fell 59.7% in the second quarter. Fees picked up in the third quarter, up 62.9% quarter-on-quarter, but the average transaction fee remained at 0.0026 SUI (approximately $0.0024), making millions of transactions per day still very affordable. In addition to extremely low gas fees, Sui also supports waiving gas fees for users through sponsored transactions. For example, through infrastructure provider Shinami's Gas Station API, in the first year of Sui's mainnet launch, monthly transaction sponsorship peaked at 41 million; and through Shinami's node service, the coverage rate of sponsored transactions reached a maximum of 87% .
In addition, in the previous quarters, the Quest activities launched by Mysten Labs (Quest 1, Quest 2 and Quest 3), as well as the release of products such as DeepBook and zkLogin, also made important contributions to the growth of Sui network's transaction volume and the number of active addresses.
Security and decentralization
The total number of SUI staked has been declining from a high of 8.3 billion in Q1 2024 (83% of the total stakeable supply). It decreased by 2.7% in Q2 and further decreased by 2.3% in Q3 to 7.9 billion. However, the total staked value in USD showed a different trend, increasing by 112% month-on-month to $14 billion, due to the increase in SUI price. This makes Sui the third largest blockchain network by staked market value.
Since the Sui network went live, the number of active validators has remained largely stable, increasing slightly from 104 to 108. Since the Sui Foundation and Mysten Labs hold a large number of SUI tokens on behalf of the ecosystem, they are able to distribute stake more evenly among validators, thereby increasing the decentralization of the network. As of the end of the third quarter of 2024, Sui's Nakamoto coefficient was 16, which is higher than the median of many proof-of-stake networks. This shows that Sui has a high level of security in terms of decentralization.
Upgrades and Roadmap
The Sui network undergoes frequent protocol upgrades. Starting with Sui protocol version 41 in the second quarter of 2024, it has been upgraded to version 59 by the end of the third quarter. Here are some important new features:
Native Randomness: Through threshold cryptography and distributed key generation (DKG) technology, it provides unpredictable, uncontrollable and fast random number generation function, improving the fairness and security of the network.
Elliptic Curve Operations: Elliptic curve operations are introduced in the Move programming language to support more powerful cryptographic functions, thereby enhancing the security of decentralized applications.
Programmable Transaction Blocks (PTBs): The upgraded PTBs only allow TransferObjects or MergeCoins operations to be executed after commands involving randomness to ensure the consistency of transaction logic.
In early 2024, Sui announced a consensus upgrade to expand its Narwhal-Bullshark consensus algorithm. The Mysticeti consensus mechanism will be launched on the mainnet in August 2024, significantly optimizing performance. At 100,000 transactions per second (TPS), consensus latency is reduced by 80% to 390 milliseconds, while reducing validator CPU requirements. The researchers tested the performance of Mysticeti with 50 validator nodes: at 100,000 transactions per second, the consensus latency was 400 milliseconds; at 200,000 transactions per second, the latency was 500 milliseconds; and at 400,000 transactions per second, the latency is 1 second.
Mysticeti also optimizes transaction processing by distinguishing between "owned objects" and "shared objects". This design reduces the need for communication between validators while maximizing the utilization efficiency of network bandwidth, thereby improving overall transaction processing capabilities.
With these upgrades, Sui not only improves network performance, but also further consolidates its advantages in decentralization and security.
In July 2024, Sui launched the indexing framework, a flexible data ingestion framework that provides developers with customized on-chain data access services. Through this framework, developers can collect raw on-chain data and derived data sets to create tailored data streams for specific applications, improving the flexibility and efficiency of data processing.
In the same month, Sui announced integration with Amazon Web Services (AWS) blockchain node operators. This collaboration makes it easier for developers to deploy and manage Sui full nodes in the AWS cloud environment, while taking advantage of the high availability, scalability, and reliability provided by AWS to improve the stability of node operation.
September 2024 Update
Sui announced plans to integrate Circle’s native USDC stablecoin and the Cross-Chain Transfer Protocol (CCTP). On October 8, 2024, native USDC was officially launched on Sui, making Sui the first Move-based blockchain to support native USDC. In the future, the integration of CCTP will enable secure, permissionless cross-chain transfers of USDC between multiple blockchains, including Arbitrum, Base, Ethereum, and Solana.
In addition, Sui Bridge was launched on the mainnet on the last day of the third quarter, providing important native functions for cross-chain interoperability. At launch, Sui Bridge supports asset transfers between Sui and Ethereum, and will gradually expand to support more tokens, assets, and blockchains in the future. During the testnet phase, Sui Bridge attracted 24,000 independent Ethereum addresses through an incentive program and completed more than 184,000 transactions.
Sui plans to work with more protocols, fully integrate Circle's CCTP, and continuously upgrade its network. The network's launch is scheduled months in advance. In addition, Sui plans to unify exclusive objects for Mysticeti in the fourth quarter of 2024 to further optimize network performance.
Ecosystem Overview
Decentralized Finance (DeFi)
Sui’s decentralized finance ecosystem has experienced significant growth over the past two quarters. Its total value locked (TVL) grew from $592 million in the second quarter to $1 billion at the end of the third quarter, crossing the $1 billion mark for the first time. When liquidity staking and double counting are included in the statistics, Sui’s DeFi TVL grew 82.5% quarter-over-quarter, reaching $1.26 billion at the end of Q3. However, TVL denominated in SUI fell from 723 million to 555 million, suggesting that TVL’s dollar growth was primarily driven by rising SUI token prices. During this period, the SUI token price increased by 117.1%, from $0.82 to $1.78. Looking at the longer term, Sui’s TVL (measured in SUI) increased by 50.8% from Q1 to Q3, reflecting the inherent expansion of the DeFi ecosystem.
As of the third quarter of 2024, lending protocol NAVI became Sui's highest TVL protocol with a TVL of $374.7 million, accounting for 29.8% of the market share. In April 2024, NAVI launched the NAVI X Ecosystem Fund, allocating 10 million NAVX tokens to support innovation and development of the DeFi ecosystem. In August, NAVI launched NAVI Pro, which provides a more user-friendly interface, advanced DeFi strategies, and higher yields. In addition, NAVI launched the LST leverage strategy, which uses liquidity staking tokens to improve capital efficiency.
The lending protocol Scallop had a TVL of $168.8 million at the end of the third quarter, with a market share of 13.4%. In July, Scallop launched Wrapped sCoins to increase the visibility and utility of the Sui wallet and platform. In addition, in the third quarter, Scallop's historical lending volume exceeded $80 billion.
Suilend, a lending protocol, had a TVL of $168.5 million at the end of the third quarter, with a market share of 13.4%. Suilend was developed by the Solend team and marks Solend's first attempt outside the Solana ecosystem. Suilend launched a points campaign to reward user deposits, distributing 10 million points per day, which are recorded as non-transferable tokens on the Sui blockchain.
Sui's average daily decentralized exchange (DEX) trading volume has gradually declined from a high of $73.2 million in the first quarter of 2024, falling 0.8% in the second quarter and further falling 32.9% in the third quarter to $48.7 million. Among them, Cetus and DeepBook ranked first with average daily trading volumes of $34.6 million and $16.4 million, respectively. Other outstanding DEXs include Turbos ($7.5 million), KriyaDEX ($862,500) and FlowX Finance ($623,300).
Cetus, Sui’s leading decentralized exchange, ended the third quarter with a TVL of $169.3 million and a market share of 13.5%. In the second quarter, Cetus had more than 1.2 million users and a total trading volume of more than $8.8 billion. It launched the Cetus limit order feature and announced a partnership with the Sui Foundation to launch the Cetus Aquarium incubator program. In the third quarter, Cetus launched Cetus Plus, a new exchange aggregator on the Sui network that enhances the DeFi experience with improved order hopping, split functionality, and faster exchange response. Cetus also beta-launched Cetus DCA to provide users with a dollar-cost averaging strategy.
As of the end of the third quarter, Sui's native liquidity layer DeepBook had a cumulative trading volume of more than $500 billion. DeepBook has been integrated into numerous protocols, including Cetus, Kriya, FlowX, and Hop Aggregator. Its V2 is used by 740,000 wallets in 100 million transaction blocks. DeepBook V3 was released on October 14, 2024, introducing dynamic transaction fees, improved gas efficiency, flash loans, cross-pool shared liquidity, and DEEP tokens. As of October 31, DeepBook V3 had a TVL of $22.58 million and a cumulative trading volume of $89.23 million. The DEEP token was launched at a price of $0.0176 and a circulating supply of 2.5 billion (25% of the total supply). As of October 31, its price has risen by 204.6% to $0.0536. Active traders (market makers) can stake deeply in various pools to receive lower taker fees, market maker rebates, and participate in governance. The launch of DEEP has boosted activity in Sui's DeFi ecosystem, with Cetus facilitating an average of $17.3 million in DEEP trading volume per day. As new tokens are launched, Sui's DeFi trading infrastructure is expected to evolve as the utility of these assets continues to expand.
Bluefin, the leading Perps protocol on Sui, ended the third quarter with a TVL of $17.2 million. In July 2024, Bluefin announced the launch of its governance token BLUE after receiving a grant from Flow Traders.
Other notable DeFi protocols on Sui include Aftermath Finance, a DEX aggregator, liquidity staking, and liquidity mining protocol; Haedal, a one-click liquidity staking platform; and AlphaFi, a yield aggregator.
Other DeFi-related activities in Q2 2024 and Q3 2024 include the launch of Fordefi’s institutional-grade MPC DeFi wallet, Netki’s compliance oracle, First Digital’s stablecoin FDUSD, and Agora’s AUSD stablecoin.
consumer
game
In the second and third quarters of 2024, the Sui network continued to expand beyond DeFi, making significant progress in consumer applications such as games, NFTs, and DePINs.
At the September 2024 Korea Blockchain Week, Sui announced SuiPlay0X1, a handheld gaming device that supports blockchain-native and traditional games. SuiPlay0X1 will be released in early 2025 and will use PlaytronOS, a Linux-based optimized gaming operating system that supports multiple game stores including Steam, Epic Games Store, and GOG.com. It will have Sui's zkLogin and Sui Kiosk SDK built in, allowing asset ownership to be directly connected to the device's account system. Pre-orders start at $599 and accept payment in SUI, SOL, or ETH.
SWAYE is a Web3 gaming platform on Sui that launched its first game in May 2024. OG Battlefront is an arcade-style Telegram game that aims to use account abstraction, Telegram's API, and artificial intelligence to create "Web3's most accessible game."
DARKTIMES, a blockchain-based Nordic fighting game backed by Animoca Brands and built by Animoca’s Blowfish Studios, previewed its pre-alpha gameplay at Korea Blockchain Week. It launched the TIMES token in September 2024 and plans to launch alpha testing in November 2024.
XOCIETY is a popular shooter with RPG elements developed by NDUS Interactive, scheduled to launch in Early Access in November or December 2024. It is built on Unreal Engine 5, features PvP and PvE gameplay, and utilizes Sui’s dynamic NFTs to enable in-game asset ownership.
Sui has partnered with ONE Champions, the world’s largest martial arts organization, to incorporate its technology into ONE Fight Arena, a Web3-enabled mobile game developed by Animoca’s Notre Game and scheduled to launch in Q1 2025.
NFTs
Since launch, total NFT trading volume has reached 13.3 million SUI, up 16.7% from Q1 2024. Markets leading in trading volume include Clutchy (5.7 million SUI), TradePort (2.5 million SUI), and BlueMove (2.2 million SUI). The top NFT series by volume include Fuddies (3.6 million SUI), SuiFrens: Bullsharks (1.9 million SUI), SuiFrens: Capys (1.4 million SUI), Prime Machin (735,000 SUI), DeSuiLabs (698,000 SUI), Gommies (539,000 SUI), Egg (392,000 SUI), and DSL Legacy (329,000 SUI).
Sui Generis is a rebranded incarnation of the Tombheads NFT auction house, which migrated from the Sonic blockchain earlier this year and launched on Sui in April 2024. Sui Kiosk is used to enforce royalties, restrict trades, and create soul-bound NFTs. The team is also working with Aftermath Finance to develop fragmented NFTs for its S1 Collection.
Artfi is an art investment platform that allows individuals to purchase shares in art by fragmenting high-end artworks into 10,000 individually numbered NFT shares. Artfi initially ran on the Polygon blockchain and transitioned to Sui at the end of May 2024. Artfi launched the ARTFI token on June 17, 2024 to pay NFT market transaction fees and reward stakers.
On the other hand, multi-chain NFT marketplace and aggregator Hyperspace announced that it will cease operations on the Solana and Sui Layer-1 blockchains on September 17, 2024. During its operation, Hyperspace's total NFT trading volume on Sui reached 1.7 million SUI.
Other Use Cases
BytePlus, a subsidiary of TikTok’s parent company ByteDance, took its first steps into blockchain by partnering with Sui in April 2024. BytePlus will work with Mysten Labs to adapt its recommendation solutions, augmented reality products, and other services to the Sui blockchain.
Manufacturing innovator 3DOS announced in September 2024 that it would integrate its global 3D printing network with the Sui blockchain. This integration will enable users, 3D printers, and manufacturers to connect peer-to-peer on a global scale, with 3DOS aiming to build the world’s largest distributed 3D printing network.
AI startup Atoma Network announced that it has integrated its inference network with Sui to provide AI service support for developers. These services include automatic code generation, workflow automation, and risk analysis of DeFi protocols, helping developers to use AI technology more efficiently in blockchain applications.
Institutional Interest
Sui attracted increasing institutional attention in the second and third quarters of 2024. Grayscale launched the Grayscale Sui Trust, a Sui investment product designed for accredited investors, in September 2024. In response to this news, the price of the SUI token rose by 89% by the end of the third quarter.
In June 2024, Copper, a UK-based digital asset custody service provider, partnered with Sui to gradually expand its custody capabilities. This partnership was implemented in phases and included custody support for SUI and native Sui tokens, as well as future staking support and DeFi connections.
Zero Hash is a cryptocurrency and stablecoin platform that integrated with Sui in July 2024. This enables businesses to embed Sui technology to transfer value between fiat currencies, cryptocurrencies, and stablecoins. Institutional Zero Hash clients, including Stripe, Shift4, and Franklin Templeton, can use SUI tokens in their operations.
Infrastructure
Mysten Labs announced the June 2024 release of Walrus, a Sui-powered decentralized blob storage network for blockchain applications and autonomous agents. Walrus aims to provide cost-effective and highly resilient data storage. Mysten Labs launched a developer preview in July and currently stores more than 22 TB of data. From August to October, they held a virtual development network hackathon called Breaking the Ice, which brought together more than 200 developers building applications on Walrus. The well-known Web3 media Decrypt announced in September that 100% of its content library would be stored on Walrus.
Mysten Labs released the Walrus white paper in September and planned the following development phases:
Walrus will become an independent decentralized network and launch its native utility token WAL.
Walrus will operate on a delegated proof-of-stake mechanism powered by WAL tokens, with storage nodes responsible for network operations.
An independent Walrus Foundation will be established to drive the network’s technological development and ecosystem expansion.
In May 2024, Mysten Labs introduced enhancements to the Sui social login primitive zkLogin, adding multi-signature recovery and support for Apple accounts. These updates provide users with more account recovery options and allow iOS apps to easily support Sui wallet creation. zkLogin enables users to create Sui addresses using social logins from Google, Facebook, or Apple without having to handle sensitive cryptographic material.
In June 2024, Sui Name Service (SuiNS) introduced subnames and a new naming standard. The shift from the .sui suffix to the @ prefix allows users to bridge Web2 and Web3 more seamlessly, and subnames can create hierarchical identities (e.g., @gia creates games@gia). This update was accompanied by an improved website and user experience. In August 2024, SuiNS announced its transition to decentralization with the planned launch of the SuiNS governance token. The NS token has not yet been launched and an official launch date has not yet been announced. Potential future initiatives include shorter name registrations, NFT avatar generators, dynamic widgets, auction systems, and legal on-ramps.
Sui is working with Google Cloud to enhance the security, scalability, and AI capabilities of Web3 applications. Key initiatives of this collaboration include integrating Sui blockchain data into BigQuery public datasets for analysis, using Google Cloud's generative AI platform Vertex AI to assist Web3 developers with debugging and code generation, and creating AI-based code auditing tools to ensure security. The collaboration also leverages Google Cloud's infrastructure for scalability and integrates zkLogin to bridge traditional and decentralized applications.
Development and Growth
In the second quarter of 2024, three Sui-based projects announced rounds of funding. These rounds raised a total of $15.3 million, up 33.6% from $11.5 million in the first quarter. In the third quarter, venture capital investment cooled, with only two projects announcing funding totaling $1 million. Projects that raised in the past two quarters include Ambrus Studio, XOCIETY, and RECRD, with the SUI Foundation participating as an investor.
Sui Basecamp (April 2024): The Sui community’s largest event took place in Paris, attracting more than 1,100 participants from 65 countries. Over two days, the event hosted 44 sessions with more than 100 speakers, focusing on the development of Sui in the gaming and DeFi sectors. Attendees participated in panel discussions, networking events, and hands-on workshops, gaining insights into the future of the Sui network.
Sui Foundation Grants (March/April 2024): 10 projects received funding to accelerate Sui’s development, with 8 projects focused on enhancing the developer experience through better tooling, such as new integrated development environments (IDEs) and zero-knowledge proof technology. Notable winners include Alphaday, Birdeye, Spark Payments, and SWAYE.
DeFi Incubators (May 2024): Sui decentralized exchanges Cetus and Aftermath Finance launched new incubators with an initial $2 million donation from the Sui Foundation to support early-stage projects. These incubators aim to foster innovation by providing resources, mentorship, and financial support to emerging teams in the DeFi space.
SUI Academic Research Award (June 2024): 19 proposals were accepted from universities including UC Berkeley, Yale, NYU, EPFL, etc. These proposals focus on blockchain technology, smart contract programming, and Sui-based products. The Sui Foundation has invested an additional $1 million to further fund research, covering topics such as zero-knowledge proofs and consensus protocols.
Sui Overflow Hackathon (March-June 2024): Sui’s first global hackathon received over 350 project submissions from 79 countries, producing 32 winners. Top projects included Pandora Finance (consumer), Hop Aggregator (DeFi), and AresRPG (gaming).
Sui Foundation Grants (May/June/July 2024): 10 projects received funding, covering areas such as advanced analytics, DeFi, and game development. Recipients include Belong.net, Gamifly, Goldsky, Var Meta’s Unity SDK for Sui, and Verichains’ Sui Move Decompiler.
RFP Funding (July 2024): The first recipients of Sui’s Request for Proposal (RFP) program have been announced. Selected projects include Byzantion Inc.’s minting infrastructure, HashCase’s loyalty platform, and Arden Lab Inc.’s consumer engagement platform.
Sui Builder House: Singapore (September 2024): This one-day event in Singapore brought together over 600 participants from across communities and industries. It included major announcements, networking, and discussions on the future of the Sui ecosystem.
Summarize
Over the past half year, Sui has launched a number of important upgrades and expanded its ecosystem. By introducing the Mysticeti consensus mechanism, Sui reduced the network's consensus latency by 80%, achieving a latency performance of 390 milliseconds under a high load of 100,000 TPS. At the same time, Sui's cross-chain capabilities have also been significantly enhanced, with the launch of Sui Bridge and the integration of Circle's native USDC stable currency. It also plans to support Circle's CCTP function in the future. These technological advancements have helped Sui’s DeFi ecosystem grow steadily, with its total locked volume (TVL) increasing by 42% to $1 billion, driven by the rise in SUI token prices and new additions to DeFi protocols such as NAVI, Scallop and Cetus. Function. On May 30, 2024, the number of active addresses on the Sui network reached a historical peak of 2.16 million, coinciding with the token unlocking event that day.
Institutional interest in Sui continues to grow. For example, Grayscale has launched an investment trust product focused on Sui, and Sui's partnerships with companies such as Copper and Zero Hash have further consolidated its position in the institutional market. In the second and third quarters of 2024, Sui-based projects raised a total of $16.3 million in funding, an increase of 41.7% over the previous two quarters. In addition, Sui continues to expand its technical capabilities and ecological scale through cooperation with Google Cloud and the launch of infrastructure projects such as Walrus. In the future, Sui plans to cooperate with more protocols to fully integrate Circle's CCTP, while continuously optimizing its network performance to provide stronger support for developers and users.
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