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Boasting a 1300% increase in its price, the SUI token is one of the most talked about crypto assets of 2024.
Sui (SUI) is a layer-1 blockchain that aims to onboard the next billion users in Web3. The blockchain claims to be a ‘Scalable infrastructure that’s fast, secure, and affordable’
Table of Contents
In this article, we’ll learn what is SUI, the history of the SUI blockchain, how it works, and the price history of the SUI token.
What is Sui?
The Sui (SUI) blockchain is a platform designed to emphasize scalability for its decentralized applications (dApps) and shorten the time it takes for smart contracts to execute.
SUI offers several architectural ideas to boost its speed and scalability without compromising the blockchain’s security, setting it apart from other blockchains like Ethereum, Solana, and Polkadot. These consist of the Move smart contract programming language, parallel transaction processing, and the Sui consensus motor.
Validators can stake the SUI cryptocurrency, the platform’s native cryptocurrency, to verify transactions using Sui’s delegated proof of stake (dPoS) network. Additionally, SUI connects the platform by serving as a means of trade, executing bespoke programs, and rewarding users who contribute to its advancement.
Now that we know what is SUI used for, let’s discuss its history and background.
History and Background
In August 2022, Sui debuted its incentive-based testnet, and its mainnet became active on May 3, 2023.
Mysten Labs, which is headed by a number of former top officials from Meta’s now-defunct Novi digital wallet initiative, is developing the blockchain.
In September 2022, Mysten Labs secured $300 million in a Series B fundraising round to create the blockchain. Well-known venture investors including Circle, Binance Labs, Lightspeed Venture Partners, a16z, and NCSoft support the business.
The Sui Foundation, on the other hand, is a stand-alone entity that aids the community and its initiatives. Its goal is to accelerate the worldwide adoption of the Sui blockchain in order to enroll the next billion people in Web3.
How does SUI work?
SUI has a distinct consensus and transaction processing technique than other blockchains. Conventional blockchain validators add transactions to the blockchain in a sequential manner, which limits the blockchain’s scalability and makes it difficult to accelerate the incremental additions known as vertical scaling.
SUI eliminates the need for every transaction to be verified by every node in the network since many transactions are inherently unrelated to one another. Rather than confirming the full chain, it merely looks at the pertinent piece of data.
Furthermore, it uses an object-centric paradigm, which centers the chain data storage around things rather than accounts, to do this effectively. Instead of needing to arrange every transaction as in the conventional blockchain paradigm, SUI nodes can validate uncorrelated transaction flows independently and separately because of this innovative kind of data storage.
The whole transaction broadcasting and validation process starts with a sender broadcasting the transaction to all validators. Following this, validators verify the transaction for validity, analyze the stake of the validators, and send their weighted votes based on the stake. After gathering a Byzantine-resistant majority, the sender broadcasts the outcome to validators in the form of a certificate.
SUI is likely able to achieve transaction rates of more than 100,000 transactions per second as a result.
Price History of SUI
The SUI cryptocurrency registered its all-time low on Oct. 19, 2023, at $0.3643, and since then the token has experienced an increase of 1000%, registering an all-time high of $5.35 on Jan 06, 2025. At the time of writing, the SUI token is trading at $3.76, with a market cap of $11.32 billion and a 24-hour trading volume of $921.68 million.
Looking at the chart of the SUI token we can see a formation of higher highs and higher lows which is a sign of a bullish continuation. For long-term buyers, it may be a good time to wait for the 0.5 and 0.618 fibs, also known as the golden fib zone, as it is also correlated with a major support zone of the SUI token.
It should be noted that this price analysis can be wrong as the crypto market is also heavily dependent on fundamental factors and you should do research before investing in this token.
Who created SUI?
MystenLabs, a business started by Evan Cheng, Adeniyi Abiodun, Sam Blackshear, George Danezis, and Kostas Chalkias, is responsible for developing Sui. In addition to the now-defunct Facebook wallet program Novi, the founders comprised a group of executives and architects that spearheaded the creation of the Diem blockchain and stablecoin payment system.
Is SUI secure?
The SUI blockchain does claim to be secure with a variety of security features including fault tolerance, native object ownership, Sui Guardians, third-party audits, security issue reporting form, and the use of Move programming language, all of which adds to the security of this layer-1 blockchain.
Is SUI legal/legit?
Yes, the SUI token is legal and legitimate in any country where cryptocurrencies are allowed. To avoid any legal hassles in the future, it is advisable to do your research before investing in this token or any crypto asset as per your country of residence.
What makes SUI unique?
SUI claims to offer high scalability, an object-centric data storage model, and parallel transaction processing. It also claims to have the ability to process over 100,000 transactions per second which makes it one of the fastest blockchains on which many decentralized applications can be built and operated seamlessly.
How many SUI coins are there?
The SUI token has a total supply of 10 billion tokens, of which 3 billion are in circulation. The max supply is also set to 10 billion which means that the SUI team cannot mint any tokens over the 10 billion mark. As the team releases more supply into the market, the price of the token may be affected, hence it is advisable to do research before investing in this token.
This article first appeared at crypto.news
