Sui, who gained notoriety among altcoin investors in anticipation of the airdrop, has been accused of deliberately distorting SUI emissions.
Share of altcoin investors melts by 20% per month
According to the results of a special investigation into SUI, it was deliberately misleadingly declaring its emissions and team members were selling “locked” and “non-circulating” SUIs on Binance.
These claims came from @DefiSquared, who observed that SUI was under constant sales pressure. Interestingly, CoinMarketCap only shows new emissions once each month during the project’s initial phase, while the SUI team refuses to publish actual emissions data. The emission model determines how the token supply will be. So what SUI does seems rather strange for a reliable project.
With all that being said, I’ll see you guys in 6 days on the next SUI launchpad unlock. Cheers. 12/ pic.twitter.com/fik9OkNpw7
— DeFi^2 (@DefiSquared) June 27, 2023
There is a frequently referenced SUI emission chart in the Binance Launchpad description, where the SUI launch was announced. The problem, however, is that the team admits that this graph isn’t real. He states that the actual model does not follow this and will not be published.
Although the data posted to CoinMarketCap only shows emissions monthly, the supply is actually increasing every day. The point is that emissions from “locked” SUI allocations like VCs are released and released without any restrictions.
Numbers
Continuous staking emissions equate to approximately 33,000,000 additional SUI emissions per month. These emissions increase the non-foundation circulating token supply by 10% each month, as approximately 250 million of the 600 million SUI circulating supply is non-foundation.
This means that if you are currently holding SUI, it melts by 20% per month. The new is higher than the inflation rate of the hyperinflation Venezuelan bolivar in 2022.
But the real bomb is that the SUI foundation, which has almost 3 billion locked and uncirculated SUIs, is selling the uncovered rewards to the open market. To support the claims, the foundation begins to examine the evidence, starting with wallet 0x341f. In the last part of the report, DefiSquared also talked about SUI’s token unlock event, which will take place in 6 days.
