No Insider Dump: Sui Denies $400 Million Token Sell-Off Claims
Sui, the layer-1 blockchain that’s been making waves, is pushing back hard against some serious accusations. On Monday, the blockchain platform denied claims that insiders cashed in big—allegedly unloading $400 million worth of SUI tokens during a recent price surge.
So, where did these allegations come from? Rumors started swirling that insiders, including a wallet linked to the Sui Foundation, were profiting from last month’s explosive price action.
But let’s clear something up. Sui took to Twitter to set the record straight, saying nobody from the inside—whether it’s Foundation employees, Mysten Labs (the brains behind Sui’s development), or investors—had sold any tokens. Period.
These concerns popped up as SUI’s fully diluted valuation (FDV) rocketed to a whopping $23 billion. And let’s be real, that’s a massive number, especially for a project that’s still finding its footing. Some crypto watchers were quick to say that valuation doesn’t match where the project is right now.
Still, SUI’s native token has been on fire, surging over 100% in the past month. However, as of today, it’s down 2.5%, according to CoinGecko data. Despite requests for more details, Sui has been quiet, offering no additional comment at the moment.
Following an allegation of “Sui insiders selling $400M in tokens throughout this run-up,” Sui Foundation would like to respond directly to this individual:
— Sui (@SuiNetwork) October 14, 2024
1. No insiders, neither employees of the Foundation or Mysten Labs (including Mysten Labs founders), nor ML investors,…
But here’s the interesting part. Sui’s statement suggested the wallet at the center of the controversy likely belongs to an infrastructure partner. And guess what? The tokens in question are still under lockup, managed by custodians, meaning no one’s dumping tokens early.
Sui is standing firm. No premature selling, no lockup violations.
That said, some in the crypto community are still asking the big question: Is SUI’s massive valuation really justified? Especially when you compare it to competitors like Solana, there’s a lot of skepticism.
