SUI has recently performed well, entering the top 20 in market capitalization.

Recently, the SUI token has experienced a surge, successfully entering the top 20 in market capitalization. This increase is primarily driven by several factors: the unlocking of SUI tokens, the launch of the cross-chain bridge mainnet, and the unprecedented popularity of meme tokens.

Overview

Sui is a permissionless Layer 1 blockchain based on PoS consensus, designed to provide instant settlement and high throughput, supporting numerous latency-sensitive decentralized applications. The project was founded by former members of the Facebook Libra/Diem team and has garnered attention and funding support from the capital markets.

Market Performance

Since 2024, SUI has performed impressively:

• Significant increase in market capitalization: 120% quarter-on-quarter growth in Q4 2023, and another 176% increase in Q1 2024.
• Price reaches an all-time high: reached a historical high of $2.18 on March 27, 2024
• Current price: ~$1.92 ( as of October 3, 2024 )
• Recent increase: Up over 100% in the past three months

Sui Ecosystem Projects

After the Sui mainnet was launched, the ecosystem expanded rapidly, attracting numerous developers and projects.

DeFi projects

Currently, there are 5 protocols with a TVL exceeding 100 million USD:

• Cetus: A DEX platform with a TVL of $180 million
• DeepBook: The first order book DEX for SUI
• Navi: The largest lending platform by TVL, managing $410 million in assets.
• Scallop: Lending Protocol, managing $170 million in assets
• Suilend: The first project on Sui is Solend.

wallet solution

• OKX Wallet: Supports multi-chain functionality, integrates SUI
• Sui Wallet: one of the most widely used wallets in the ecosystem
• Suiet: An open-source self-custody wallet built on Sui

game project

• SuiPlay0x1: a lightweight handheld gaming device, over 2000 units sold.
• DARKTIMES: A battle royale game on Sui, supported by Animoca.

Meme token

The meme tokens on Sui reference the successful cases of the Solana ecosystem, combining the aquatic characteristics of Sui.

• $Hippo: market capitalization of 129 million USD, committed to donating a portion of profits to wildlife conservation organizations
• $BLUB: market capitalization 50.52 million USD, image similar to "pepe in the water"
• $FUD: market capitalization of 36.21 million USD, airdrop to the Sui NFT community in December 2023, no team reserved share.

Team Background

Mysten Labs was founded by former executives from Meta( Facebook)'s Novi Research and the chief architect of the Diem blockchain and Move language.

• Evan Cheng: Co-founder and CEO, former Engineering Director at Facebook
• Sam Blackshear: Chief Technology Officer, primary designer of Move language
• George Danezis: Chief Scientist, Cambridge PhD, UCL Professor
• Avery Ching: CTO, former senior engineer at Facebook

Token Economics

Total supply: 10 billion SUI

Main allocation:

• 52.2% will be unlocked after 2030
• 10.6% for community reserves
• 9.5% for staking rewards
• 14.1% allocated to Series A and Series B investors
• 6.1% allocated to early contributors

Key Events of 2024

1. Network Upgrade: The mainnet has been upgraded to version V1.34.2, and the protocol has been upgraded to version 60.

2. New platforms and tools:

   • Hydropower Plan: 8-Week Virtual Accelerator Program
   • Enoki Platform: A solution platform for enterprises

3. Circle's native USDC lands on the Sui network

4. Sui Bridge launches mainnet, connecting Ethereum and SUI

5. Grayscale launched the SUI trust fund, AUM exceeded 2.5 million USD.

6. Community Activities:

   • Sui Builder House Singapore Station
   • Sui Connect New York Station

Technical Advantages

1. Object-oriented account model: Increases flexibility and parallel processing capability

2. Native randomness: providing a reliable random source for applications such as games and NFTs.

3. Native Zero-Knowledge Proofs: Enhancing Privacy Protection and Identity Verification

Prospects and Challenges

Advantages:

• Excellent Technology: The Move language offers higher security and scalability.
• Strong team: Featuring top talent from Facebook and Novi Research
• Market Heat: Gained widespread attention and capital support

Challenge:

• Intense competition: facing competition from other L1 projects
• Meme sustainability: Currently, the scale of Meme projects is relatively small.
• Lack of breakout applications: No disruptive applications similar to the Solana ecosystem have emerged yet.
• Transparency Issues: There are questions regarding token economics and project transparency.

Overall, SUI has long-term development potential due to its innovative technology and strong team. However, investors still need to closely monitor its ecological development progress and assess the associated risks.