Sui, a Layer 1 blockchain project, has recently experienced a remarkable surge in total value locked (TVL), surpassing both Aptos and Cardano. Let’s delve into the details of this impressive growth:
The Rise of Sui
- Sui, built by former Meta (formerly Facebook) employees, has seen its total value locked (TVL) soar from $211 million to an impressive $593 million since the beginning of the year 1.
- The SUI token has also performed well, rising by 131% during the same period.
- Sui now stands ahead of Aptos, Cardano, and Near in terms of capital locked on decentralized finance (DeFi) protocols.
The Inflow and Comparison
- In the past 30 days, $310 million has been bridged to Sui from Ethereum, indicating a significant influx of capital 1.
- Sui is often compared to Aptos because both projects are built using Move, a programming language originally developed at Meta (formerly Facebook) to power the Diem blockchain.
- Despite a turbulent start after its debut on Binance’s launchpad last year, Sui has found its stride. The project weathered accusations of manipulating token supply and emerged stronger.
- Notably, Sui utilizes inscriptions, a method of recording arbitrary data on the blockchain without smart contracts. This innovation, first seen on Bitcoin during its NFT phase, contributed to Sui’s growth.
- On December 22, Sui achieved a peak of 6,000 transactions per second (TPS), producing 13.8 million blocks in a single day
Sui experienced a turbulent start after it debuted on Binance’s launchpad in May last year. SUI, as its native token, nosedived 68% in the first five months of trading. This came to a crescendo in October when Sui founders were accused of manipulating token supply, claims they quickly dismissed.
However, Sui soon found its stride after a wave of inscription-related activity. First seen on Bitcoin during its recent NFT phase, inscriptions are a way of recording arbitrary data on the blockchain without the use of smart contracts.
Key Protocols and Performance
- Scallop Lend and Navi Protocol are the two largest protocols on Sui. Both lending platforms have seen their TVL quadruple since the start of the year.
- Currently trading at $1.80, the SUI token has outperformed the CoinDesk 20 index, which is up by only 10% during the same period.
In conclusion, Sui’s rapid rise in TVL and token performance underscores its growing prominence in the crypto space. As the project continues to evolve, investors and developers alike are closely watching its progress.