KOL DeFi^2, who claimed to be the No. 1 trader on the exchange Bybit, recently kicked off the public chain project Sui token economic opacity, using a variety of data to support the Sui Foundation's "locked" and "non-circulating" tokens Staking and selling the mining rewards, Sui officials also responded today.
Sui has higher inflation than Venezuela
DeFi^2 said that since last month, the endless selling pressure of $SUI caught his attention, so he launched a series of investigations.
First, he pointed out that the Sui Foundation has nearly 3 billion "locked" and "non-circulating" $SUI, which is about 5 times the current circulating supply and 30% of the total fully diluted supply. However, the Sui Foundation These "unusable" tokens will be used for pledge mining. According to the data on the chain, nearly 27 million pledge mining rewards have been accumulated so far.
He mentioned that it may be to confuse the flow of tokens, or they may simply be distributed to Sui team members. Although these tokens obtained from mining have been divided many times, they still flow to the hot wallet of the Binance Exchange.
DeFi^2 takes a closer look at the specific numbers, indicating that the $SUI rewards released by staking each month are about 33 million. In addition, 37 million $SUI will be released every month through Launchpad , looking at the current $SUI Circulating Supply, of the 600 million SUI in circulation, approximately 250 million are non-foundation.
DeFi^2 stated that "in other words, if you are a $SUI holder, you will currently face 20% dilution per month, which is higher than Venezuela's inflation rate in 2022."
Sui officially does not publish the token circulation table
The doubts about the transparency of tokens are not limited to this. DeFi^2 pointed out that although there is a $SUI circulation table on the Binance Launchpad platform, and the official often quotes this chart, the Sui team publicly admits that this chart is actually not True, and they stated that the real token model will not necessarily follow this diagram, and there is no current plan to make it public.
Sui's official response: The release plan will be announced as soon as possible
This tweet of DeFi^2 received 970,000 views in a short period of time. Sui officials urgently made a clarification on Twitter, claiming that all token distribution of the foundation complies with lock-up and other transfer restrictions. Multiple transfers are a third-party payment that complies with "contract lock", and Sui's real market value has never exceeded the market value displayed on CoinMarketCap, and a detailed token release plan will be released as soon as possible.
In this regard, DeFi^2 responded that even if these tokens are paid to a third party, the third party will also become a consignment channel for these tokens, meaning basically the same, and posted the data to face CoinMarketCap The market capitalization is not actually updated, because it has been confirmed that 1.1 million tokens will be unlocked and circulated every day.
In fact, the data delay of CoinMarketCap or Coingecko is common, and the data of many tokens on the two platforms is often inconsistent, but DeFi^2 believes that when the Sui Foundation "intentionally" conceals or refuses to disclose the real token circulation, it will will become a serious problem.
