Every week, we bring you digestible insights into popular crypto assets and trending topics, helping you understand the market in easy-to-digest pieces.
In this edition of Crypto in Focus, we’re zooming in on Sui.
Why Sui Is Turning Heads
- Next‑Generation Layer‑1: Sui is gaining major traction thanks to its high-performance, object-centric architecture. It’s optimized for speed and parallel transaction execution, making it a strong contender in the Layer‑1 space.
- BTCfi Vision: Through its integration with Babylon Labs and Lombard Finance, Sui is building a native Bitcoin DeFi ecosystem. BTC holders will be able to stake BTC via Babylon’s protocol, mint LBTC, and plug into Sui’s DeFi infrastructure.
- Restaking with SatLayer: Thanks to a partnership with SatLayer, Sui will support Bitcoin restaking, meaning BTC liquidity and security can be reused across Sui’s DeFi protocols.
- Decentralized Storage - Walrus Launch: The Walrus protocol, now live on mainnet, brings decentralized blob storage to Sui. This opens up on‑chain use cases for AI, media, and data-rich applications.
- Deflationary Potential: As users write data to Walrus, SUI is consumed (burned) when paying for storage. Some projections suggest this could create deflationary pressure on the SUI token.
- Growing Ecosystem: DeFi protocols like Kriya, Suilend, and NAVI are building on Sui, driving more adoption.
- User Onboarding Made Easy: With integrations like Phantom Wallet and Backpack Wallet, Sui is becoming more accessible.
- Broad Vision Beyond Finance: Walrus’ storage functionality, Sui’s scalable infrastructure, and Move’s developer tools are positioning Sui to power more than just finance - think AI, gaming, on‑chain websites.
Risks and Things to Watch
- Highly Experimental: While Sui’s BTCfi model is ambitious, it’s still early, and restaking involves technical risks.
- Tokenomics Complexity: Burning mechanics from Walrus could create deflation, but such models also carry unpredictable economic effects.
- Competitive Landscape: Sui faces tough competition from other Layer‑1 blockchains.
- User Growth vs. Speculation: Big spikes in activity could be speculative, not always reflecting real organic growth.
Why It Matters for Crypto Investors
Sui is not just another Layer‑1. It is aggressively pushing into Bitcoin DeFi (BTCfi), leveraging Bitcoin’s liquidity and security. It’s also building a broader ecosystem where storage, AI, and data applications can thrive. For crypto investors, that’s a potentially powerful combination: on-chain innovation + real-world utility.
Explore Sui with Change
Curious to dive in? 🚀
With the Change App, you can stay up to date on SUI and other Layer‑1 protocols, monitor performance, and make informed decisions.
