What is SUI (SUI)?
What is SUI (SUI)?
SUI (SUI) is a relatively new Layer 1 blockchain designed to deliver high scalability, fast transaction speeds, and low costs. Built to meet the complex technical needs of Web3 applications, SUI aims to benefit both users and developers who want to build modern, efficient solutions.
Founders
The SUI blockchain was developed by Mysten Labs, a team founded in 2021 and composed of experts with deep blockchain experience, including former key members of Facebook’s Libra/Diem project.SUI’s principal objective is to create a high-performance, user-friendly blockchain environment that improves the user experience versus traditional solutions. It aims to:- Optimize transactions thanks to low latency (~400 ms on average), making it one of the fastest platforms on the market.
- Increase scalability through a flexible infrastructure that can support over 297,000 transactions per second (TPS).
- Simplify usage for everyday users and developers by offering a friendly interface and efficient development environment.
- Enhance security of digital assets through on-chain storage with dynamic options that evolve with user needs.
Key aspects
Impressive speed: SUI achieves extremely fast transaction finality, with ~400 ms average latency.Parallel transaction processing: This distinctive capability lets Sui reach very high throughput and low latency, ideal for apps that require rapid responsiveness.High scalability: With 297,000+ TPS and the ability to scale as demand grows, SUI is among the most scalable options available.Growing ecosystem: The platform supports numerous projects, including those in gaming, finance, and e-commerce.Efficient programming with the Move language: Developers benefit from Move, which enables less code with greater safety, reducing the risk of errors.Object-centric data model: Everything in SUI is treated as an “object,” enabling flexible management and parallel execution of transactions.User flexibility: From simple authentication and using apps with online credentials to functional digital-asset management, SUI keeps blockchain accessible even for newcomers.
Consensus, governance, and security in the SUI ecosystem
Consensus, governance, and security in the SUI ecosystem
SUI is engineered to be a high-performance, secure, and scalable blockchain. It achieves these goals through innovations in its consensus mechanism, governance structure, and security practices.
Consensus mechanism: Narwhal & Bullshark
SUI uses a hybrid consensus mechanism called Narwhal and Bullshark, optimized for parallel transaction execution. This departs from traditional linear consensus (e.g., Bitcoin or pre-Merge Ethereum) to maximize throughput and minimize latency.Main components:Narwhal (mempool):- Acts as a distributed mempool ensuring data availability and propagating user transactions to validators.
- Handles initial ordering and ensures transactions remain available even if some validators go offline.
- Separates data availability from ordering, enabling exceptionally high throughput.
- A delegated Proof-of-Stake (DPoS) model lets SUI holders delegate stake to validators, strengthening network security and operation.
- Finalizes the ordering of blocks produced by Narwhal.
- A BFT-style algorithm that tolerates some faulty or malicious nodes without compromising integrity.
- Does not require all transactions to pass through a single global consensus. Independent transactions (that don’t touch the same state “objects”) can execute almost instantly; only shared-object transactions require global ordering.
- Together with Sui’s object-centric model, this enables true parallel execution.
- Horizontal scalability: add more validators to increase capacity and throughput.
- Low latency: simple transactions (no shared objects) can finalize in milliseconds.
- High TPS: potential for tens or even hundreds of thousands of TPS.
- Byzantine fault tolerance: the network remains safe and live even with malicious actors.
SUI network governance
SUI’s governance model allows SUI token holders to actively influence the network’s direction and evolution.Key elements:- SUI token holders: SUI is the governance token; holders vote on protocol improvements, distributing decision-making across the community.
- Validators: They run nodes, process transactions, and maintain chain integrity. Selected by stake and delegations, validators propose and implement changes, acting as a community-elected council.
- Sui Improvement Proposals (SIPs): Any community member can submit proposals (features, parameter changes, fixes) for discussion and on-chain voting.
- Storage Fund: A portion of fees compensates validators for long-term on-chain data storage; parameters can be community-adjusted.
- Epoch cycles: SUI operates in fixed epochs (typically 24 hours). Validator sets are re-evaluated and updated at each epoch’s end.
- Decentralization: avoid centralized control and distribute power.
- Transparency: proposals and votes are publicly visible on-chain.
- Efficiency: enable the network to evolve quickly with ecosystem needs.
SUI network security
SUI’s security is multi-layered, combining guarantees at the language level, consensus architecture, and economic incentives.- a) Language-level security (Move):
- Move language: A smart-contract language designed for safe digital-asset management.
- Resource types: Data can’t be accidentally duplicated or dropped, preventing common vulnerabilities.
- Static checks: The Move compiler performs rigorous static checks to catch errors and vulnerabilities before deployment.
- Modularity: Clearer, more auditable code with fewer errors.
- b) Consensus-level security (Narwhal & Bullshark):
- Byzantine fault tolerance (BFT): Bullshark preserves correctness and finality even if up to one-third of validators are faulty or malicious.
- Delegated Proof-of-Stake (DPoS): Validators must stake SUI (and receive delegations). Misbehavior can be penalized by slashing part of their stake.
- c) Economic security:
- SUI tokenomics: Transaction fees reward validators and fund storage. Holders are incentivized to stake, strengthening security and earning rewards (fees plus programmed inflation).
- Continuous monitoring: The ecosystem encourages regular audits and active network monitoring.
- d) Data security (object-centric model): Each asset is a unique “object,” so transactions touching different objects can execute in parallel, reducing risk. Contracts explicitly define object access rights, limiting unauthorized access.
What functions does SUI perform
What functions does SUI perform
Below are the key components and primary project types in the Sui ecosystem:
Decentralized finance (DeFi)
Sui’s DeFi ecosystem is growing rapidly due to its speed and low fees. Examples include:Decentralized exchanges (DEXs):- Cetus Protocol: A major DEX offering liquidity pools and token swaps, focused on low slippage and minimal fees.
- DeepBook: An order-book DEX built specifically for Sui, boasting ultra-fast settlement and improved transparency.
- Turbos Finance: A non-custodial decentralized marketplace that aggregates liquidity and helps discover market trends.
- Suilend: A decentralized platform where users can deposit assets and earn interest.
- NAVI Protocol: A suite of DeFi services including lending/borrowing, isolated liquidity pools, and leveraged yield farming.
- Scallop: A lending and borrowing protocol.
- Haedal Protocol: Stake SUI while maintaining liquidity via liquid-staking derivatives (sSUI), which can be reused in DeFi for extra yield.
- SpringSui: Another liquid-staking protocol for SUI.
Gaming and NFTs (non-fungible tokens)
Thanks to speed and high throughput, SUI is attractive for blockchain gaming and NFTs.Games:- SUI 8192: A 100% on-chain, open-source puzzle (similar to 2048) that showcases Sui’s gaming capabilities.
- Blockus: An all-in-one Web3 game-development platform designed to simplify and accelerate game creation.
Infrastructure and developer tooling
Wallets:- Sui Wallet: The official Sui wallet.
- Suiet: A popular, easy-to-use wallet.
- Ethos Wallet: A wallet provider that has also built games on Sui.
- Wormhole: An interoperability protocol for transferring value and data between Sui and other chains.
- Axelar: A Web3 Proof-of-Stake network enabling cross-chain communication.
- zkLogin: Enables Web3 wallet creation using social IDs (Google, Facebook, Twitch), dramatically simplifying onboarding.
- Sponsored transactions: Reduce barriers for new users by allowing dApps or third parties to pay gas fees.
- Bitcoin Secured Network (BSN) via Babylon Protocol: Lets Bitcoin holders help secure Sui without transferring or losing custody of their BTC.
How much does SUI cost. SUI price history
How much does SUI cost. SUI price history
Phase 1: Launch and initial consolidation (May – Oct 2023)
- Launch (May 2023): SUI debuted around $1.40 before a quick correction.
- Initial decline during a bearish market: Over the following months, amid broader crypto bearishness and skepticism toward new L1s, SUI fell to roughly $0.37 by October 2023.
- Stabilization: From late 2023 into early 2024, SUI began stabilizing and entering accumulation.
- Renewed interest: Likely boosted by rising developer activity, strategic partnerships, and protocol upgrades, investor confidence improved and price gradually recovered.
- Significant growth: Through 2024, SUI broke above $2.00 and later surpassed $5.00, driven by DeFi/NFT adoption, ecosystem expansion, and friendlier market conditions.
- ATH: In early 2025, SUI set a new all-time high around $5.35.
- Post-ATH correction: After the ATH, profit-taking led to a ~60% drawdown toward $1.93.
- Rebound and consolidation: SUI then rebounded 40%+ off recent lows. In May 2025, price fluctuated, showing consolidation near key supports like $3.20.
- Current snapshot (June 2025): SUI trades roughly around $3.40 (volatile). The market watches token unlocks (e.g., 44M SUI on June 1, 2025) and catalysts like the upcoming SuiPlay 0X1 gaming device. Analysts note resistance at $3.65 and $4.117, with strong support near $3.00–$3.05.
- Launch (May 2023): ~$1.40
- All-time low (Oct 2023): ~$0.37
- All-time high (Jan 2025): ~$5.35
- Recent price (June 10, 2025): ~$3.19–$3.40 (subject to change)
Factors that influenced SUI’s value. Challenges and controversies
Factors that influenced SUI’s value. Challenges and controversies
Over time, SUI has faced several challenges and controversies that sparked debate in the crypto community and influenced the token’s value. The main points are: