Sui Network Team Denies Staking Rewards Sale on Binance

The Sui Foundation denies selling staking rewards for the SUI token on Binance and other breaches of the asset unlock schedule.

Sui Foundation has not sold staking rewards or any other tokens from locked and non-circulating staked SUI on Binance or otherwise.

All insider token allocations remain subject to and compliant with their lock ups and other restrictions on transfer.

— Sui Foundation (@SuiFoundation) June 27, 2023

“The Sui Foundation has not sold staking rewards or any other tokens from locked and non-circulating SUI. All insider tokens remain subject to transfer restrictions,” the team said.

The organization said liquidity provision for SUI on the market is proceeding as planned.

The organization responded to accusations from a trader under the pseudonym DeFi^2. According to him, the developers conceal that they will unlock staking-reward tokens contrary to the project’s tokenomics. The additional emission amounts to about 33 million SUI per month.

“In other words, if you hold SUI, it is currently being diluted by about 20% per month. This is higher than the inflation rate of the devalued Venezuelan bolivar in 2022,” the user wrote.

As evidence, he pointed to transactions from the main wallet used to store SUI. However, the Sui Foundation said the assets were moved within the lock-up.

The specific transaction referenced was a payment subject to a contractual lockup.https://t.co/ViYxQoJMos

— Sui Foundation (@SuiFoundation) June 27, 2023

According to DeFi^2, the project team provides information about token emission volumes that do not match data from CoinGecko and Binance Launchpad.

“We will soon publish a detailed forecast of the token issuance schedule and will share the link immediately,” the Sui Foundation replied.

According to CoinGecko, SUI’s price fell 7.3% over the last 24 hours. Over the past month the asset has declined by nearly 35% and trades around $0.68. About 528 million tokens are in circulation out of a total supply of 10 billion SUI.

The launch of the mainnet for the first-level blockchain Sui Network took place on May 3. SUI trading on Binance began at $1.7.

In September 2022, the project developer — Mysten Labs, a startup formed by former Meta employees — raised $300 million at a $2 billion valuation.