(Author: Vincent @thecryptoskanda; Xuan twitter: @lvxuan147)
Sui's official website has been online for nearly a month. Putting aside the boring route dispute with ETH Maxi, as the most anticipated public chain based on the Move language and the most anticipated Non-EVM Layer1 public chain, Sui has received a lot of criticism from public opinion.
As a long-term observer of Sui and an investor in the ecosystem, I think we have a responsibility to honestly discuss what is happening in the Sui ecosystem. This article will discuss the current status of Sui ecology from the aspects of data, applications, events, etc.
Fundamentals on the Sui chain
Sui ecological progress
Suggestions for Sui Ecosystem at this stage
1. Sui’s fundamentals on the chain
1. Total liquidity of assets
TVL - Sui’s on-chain TVL is currently $19.02m, with a peak of $36m in the past month.
The largest application of TVL on the chain is the decentralized exchange Cetus, which currently accounts for more than 65%, followed by Turbos. More than 60% of TVL components are stable coins (USDT/USDC, etc.)
Trading volume - Sui's current 7-day trading volume is at least $32.37m, ranking 20th among all chains. The main on-chain transaction volume occurs on Cetus.
2. Activities on the Sui chain
Current activity on the Sui chain (7 days) Total number of transactions: 1,129,884 times Total number of Objects (including smart contracts, Tokens, NFTs, etc.): 8.3 million+ Number of daily active addresses: 22,000 Total number of active addresses: 570,000 indivual
If you use Artemis' statistical method, that is, the number of unique wallets where transactions occurred in 24 hours, and compare Solana and Aptos, which are both non-EVM chains, the value is even lower:
Judging from the trend, the activity on the chain has shown a downward trend in the past week. It is worth mentioning that since the launch of the mainnet, on-chain activities have basically fluctuated with the IDO and DeFi activities of several major ecological projects.
Recent major events in Sui corresponding to the peak number of active addresses: - 5.10 Cetus IDO - 5.12 Turbos IDO - 5.15 Suia IDO - 5.19 Cetus opens the permissionless pool function, and meme projects are airdropped across the entire network
3. $Sui liquidity situation
As the native token and main reserve asset of the Sui network, in the absence of a native stablecoin on the chain, the liquidity of $Sui largely determines the liquidity of Sui's on-chain assets. Here we will not discuss the future unlocking situation of $Sui, only the current circulation status. Sui adopts the DPOS consensus mechanism, and $Sui is currently entrusted to 104 staking nodes to obtain fixed $Sui staking rewards. The current circulating supply of $Sui is approximately 528 million, and the pledged $Sui is 7.29 billion. Although the circulation is over $500 million in US dollars, this is not reflected in the TVL and is far from it.
Although this actual situation of insufficient liquidity on the chain goes against many people's stereotypes, it has been demonstrated in previous IDOs. The IDs of Cetus and SUIA were overraised 135 times and 18 times, which directly caused the $Sui lending pools in OKX and Binance to be almost exhausted at that time, accounting for 1/5 of the total supply of $Sui.
The reason is that by observing the current $Sui position data, we can know that almost all of the circulation (which may include most of the $Sui node staking rewards) is currently in circulation. We speculate that the largest holders among them are centralized exchanges (estimated to account for more than 4%). In other words, only a very small part of $Sui is used for on-chain activities.
Node staking can be regarded as a risk-free interest rate on the chain (similar to U.S. debt). Currently, the interest rate on Sui is less than 6% on average. This is obviously not attractive to investors for a token that has not yet been unlocked on a large scale. . At the same time, since there is no LST solution, Sui cannot be used as collateral to return to the Sui chain to leverage higher interest rates, which further explains why most $Sui chooses to stay in centralized exchanges.
4. Cross-chain bridge
Currently, Sui only has the Wormhole cross-chain bridge available, which currently supports cross-chains of more than ten kinds of assets on 7 chains, including ETH, BNB, and Polygon.
Since Sui's cross-chain USDC, USDT and other anchored assets do not use the object format officially recommended by Sui, the totalSupply field in TreasuryCap cannot be read. Therefore, the stablecoin trading volume of the cross-chain bridge in Sui has not yet been announced. ETH The anchor currency address of Sui for SOL's native USDC and USDT tokens can be found here. Currently, only two smaller sets of cross-chain token minting data have been found through research, namely WFTM minting amount 1949.96442242 and WAVAX minting amount 31.64116756.
2. Sui ecological situation
1. Who has on-chain data in Carry Sui Ecosystem?
Dex: Cetus
Cetus is the mainstay of the DeFi ecosystem on Sui and even the data on the entire Sui ecological chain. Regardless of TVL or transaction volume, they almost occupy an absolutely dominant position. But such a state is not healthy for the entire Sui chain.
Machine gun pool: Mole
Mole is a revenue aggregator based on Sui and Aptos. It supports single-currency and dual-currency machine gun pool modes, and has a leverage mining function similar to Alpaca on BNB Chain. The current TVL is $180,000.
NFT trading market: Souffl3/Clutchy
Souffl3 is an NFT trading market on Aptos and Sui. It supports 0 royalties, Launchpad and Free mint launch methods, and also has a mini task module Bake Off.
Cluthy.io is an NFT and gaming marketplace on Sui. It has a very strong IP reserve, including Fuddies NFT, etc., all of which were first launched on Cluthy. In the early stage, a large number of NFT players made Sui NFT known to the Twitter community through Cluthy's social sharing function. Cluthy also has a small game platform similar to 4399, but the number of games is not large yet.
NFT Collection：Fuddies
Sui silly NFT can be called the ‘BAYC’ of the Sui community, with a total transaction volume of 1.44M $Sui (Clutchy.io data), and the Sui NFT with the highest Twitter avatar rate on the entire network. In a sense, he is one of Sui's most disruptive representatives currently.
GameFi: Abyss World Abyss World is a Souls-like ARPG game, and its developer has just completed financing at a valuation of 100 million. The early PR and activities were done well, and it received a lot of attention. It can be said that it is the most well-known Sui ecological game in the industry.
However, Abyss World chose to conduct IDO on Polygon and use Sui to settle all game-related assets.
2. Traffic entrance
Wallets and activity platforms are the main entrances to activity traffic on the public chain. Currently, the wallets that support the Sui ecosystem mainly include:
Browser wallet: 1. Sui (https://shorturl.at/sBJ02)
2. Suiet (Suiet.app)
3. Martian (martianwallet.xyz/)
4. Ethos (ethoswallet.xyz/)
5. OKX Wallet (www.okx.com/web3)
6. Surf Wallet (surf.tech)
Mobile wallet:
Glass（https://glasswallet.app/ )
Currently, iOS and Android downloads are supported, but there are few dAPPs that support this wallet.
Bitkeep（https://bitkeep.com/）
Sui wallet and dAPP have been supported.
OKX （https://www.okx.com/web3）
Sui wallet and $Sui assets are supported, but adding other assets on Sui is not yet supported, and the browser does not support Sui dAPP. Event platform
Port3
Port3 is a platform that supports multi-chain activities including Sui, which supports both on-chain and off-chain tasks. Users can complete relevant tasks and receive rewards by linking their Web2 social platform identity and Web3 wallet.
Change
Suia is an event NFT and social platform based on Sui. Users can mint NFT to commemorate various activities in Suia and track project-related NFT activities.
3. Suggestions put forward by Sui Ecology at this stage
Under the current market environment and liquidity environment, the challenges currently faced by Sui Ecosystem are predictable. The main ones are: the relatively low number of ecological project mainnet launches, the poor market performance of the main IDO project in the early stage, and the necessary infrastructure is incomplete. Of course, ecological construction takes time and cannot be accomplished overnight, and the market environment cannot be changed. It is a fait accompli that public opinion was not good in the early stage... But despite this, Mysten Labs and Sui Foundation still have a lot of room for rapid improvement:
1. Lower the threshold for Validator, open up and propose the liquidity staking (LST) solution
Sui currently has a total of 104 Validators. The threshold for new Validators to join is not the equipment, but the $Sui pledge of 30m. This actually results in a high degree of centralization of $Sui, which is not conducive to competition among nodes. Secondly, the 6% pledged APY of the current staking solution is not attractive enough to community users, and it is also impossible to use pledged tokens as collateral to leverage on the chain, so the vast majority of $Sui is left in centralized exchanges. Place. This has resulted in a dilemma where the liquidity of assets on the chain is seriously insufficient and the $Sui reserve consensus is insufficient. In fact, liquidity staking can solve this problem very well. The Ethereum ecosystem has already crossed the river by feeling the stones, adding a lot of liquidity to the ecosystem without increasing the pledged APY and causing greater token selling pressure. sex and innovation scenes. In terms of development stage, Sui is far from worrying about "consensus overload" like Ethereum. Instead, it should use all means to enhance the reserve consensus.
2. Add cross-chain facilities
Cross-chain assets are the most important part of on-chain assets. Whether you like it or not, cross-chain bridges are currently irreplaceable key facilities. The degree of consensus of a chain is directly proportional to the number of cross-chain bridges. More cross-chain bridges mean at least more arbitrage opportunities, more transaction volume, and more users, and ultimately a stronger consensus. This advantage is especially obvious for low-rate, high-speed chains like Sui. Wormhole is certainly trustworthy as a time-tested cross-chain bridge supported by Jump. However, in actual use, Wormhole cannot provide the same native assets and liquidity for "tourists" from each chain. Trading cards It is difficult to guarantee that this situation will not happen on the chain. So, is it a better choice to encourage and introduce multiple different types of cross-chain bridges?
3. Support native stablecoins
Even as more cross-chain facilities are introduced, native stablecoins remain the key to on-chain trading thriving. It lowers the user's reserve threshold and the anxiety caused by cross-chain, and is the basis for the expansion of the on-chain balance sheet. From ETH to BNB to Solana, history has proven that native stablecoins play a crucial role in the initial expansion of the public chain ecosystem and its later sustainability. Before Sui, stablecoin pioneers have already made various attempts. It is time for Sui to take advantage of the latecomer advantage. A stablecoin team that unites various DeFi protocols, has a clear credit expansion path and continues to expand use cases is an ecological solution. Liquidity issues are urgently needed. 4. Accelerate mobile wallet support
Sui's core vision is to bridge more Web2 users to Web3. It is obvious that more users, especially young users, are absolute "mobile first" supporters. However, as you can tell from my previous summary, there are very few mobile wallets available for Sui. You can imagine the trouble when I created 20 addresses in the OKX wallet to participate in the Cetus launch but found that I could only export the private keys one by one to use Martian on my laptop, not to mention the users who didn’t even know what crypto was before Sui. . Therefore, we urgently need a usable and easy-to-use Sui mobile wallet product for iOS and Android. The dAPP team can also consider more integrations with already available mobile wallets, or going one step further, there can be a connection standard similar to WalletConnect or a middleware team that provides various wallet API integrations can come forward.
5. Improvement of data visualization
As much as I hate to say it, Sui’s current on-chain data visualization is one of the crudest I’ve ever seen. The main browser tools: Suiscan, Sui Explorer, SuiVision, most of them cannot even intuitively provide the total supply of objects such as Coin and NFT.
I know that Sui uses UTXO instead of EVM. However, this is not the reason why the data is invisible. Participants in the secondary market already have a very complete and smooth data tool experience in the EVM ecosystem, and the above data is their most important part of the market. One of the important indicators. What we need to consider is, wouldn’t it be true if we could improve and surpass our opponents and allow users to have an unprecedented smooth experience?
The Dapp team also has a lot of unfinished work. Why does DappRadar still not provide Sui dAPP dashboard? Why have the online DeFi projects still not completed the integration of TVL and Volume data into DeFillama? Why is Portal Bridge still unable to provide Sui cross-chain bridge transaction data and coinage? These are extremely important parameters for operations and marketing. Without data, I can't even write more threads to promote the SUI ecosystem.
6. Let It Ride
As a participant in the Sui ecosystem, Sui is a very hard-working, engineer-centered public chain team that is most friendly to Asian developers. They keep more of the work related to infrastructure projects to themselves rather than leaving it to the community and allowing problems to spread. However, this attitude is a double-edged sword. On the one hand, it gives developers higher-density technical support; but on the other hand, it forms a de facto "metanarrative." In the long run, development that has nothing to do with "meta-narrative" risks being considered "unorthodox", which will marginalize developers with crazy ideas and lose them to other ecosystems, leading to a lack of innovation. At EDCON in Podgorica, the Ethereum community was already observed to hit such a bottleneck that Vitalik even had to re-discuss what “orthodoxy” is. Such experiences need to be learned and avoided from being repeated.
As meme community enthusiasts often say, let it ride, let developers play freely, and the ecosystem will be happy to see the results. Flowers often grow out of weeds.
