SUI Coin can be confidently transacted on Binance, the preeminent global cryptocurrency exchange by trading volume. Within the Binance platform, SUI is traded in the form of the SUI/USDT pair. Sui, the inaugural product of Web3 infrastructure enterprise Mysten Labs, emerges as one of the most sought-after blockchain offerings.
A swiftly burgeoning platform, it potentially challenges Solana. While Sui Blockchain focuses on supporting Web3 and NFTs, Solana primarily targets DeFi. Diem contends that its distinctive features and programming language have addressed scalability, security, and gas fee issues. The recent disclosure of Sui’s triumphant $300 million Series B funding round underscores that blockchain platforms extend beyond transient trends. What renders this newcomer distinctive and what is its objective? Delve further into Blockchain Sui, its components, architecture, salient features, and token model.
SUI Highlights
SUI’s remarkable scalability hinges on two principal innovations:
- MOVE programming language.
- Narwhal-Tusk consensus algorithm.
MOVE, a native programming language, facilitates application development on the Sui blockchain. Stemming from RUST and devised by Facebook’s Libra project, MOVE is engineered for parallel execution.
The Narwhal-Tusk consensus algorithm operates within the Sui blockchain, segregating data transmission from transaction consensus processes. Consequently, it resolves Mempool-consensus issues pervasive in traditional blockchain designs, such as Ethereum and Bitcoin.
Owing to these innovations, the Sui blockchain enables horizontal network scaling, supporting millions of transactions per second without necessitating dedicated nodes. These nodes cannot function on ordinary computers, as they demand formidable configurations to expedite transaction processing, entailing considerable hardware expenditure.
SUI Blockchain Tokenomics
The SUI token (alternatively known as Mysten Labs coin) represents the native currency of the SUI blockchain, with a cumulative supply of ten billion tokens. The SUI token serves four primary functions:
- Stake and participate in PoS consensus.
- Pay gas fees for transactions and other activities.
- Act as a medium of exchange.
- Facilitate on-chain voting for Sui blockchain investors.
The Sui blockchain tokenomics model encompasses three central parties:
- Users: employ the SUI platform to create and transfer digital assets (e.g., NFTs) or interact with Dapps powered by smart contracts.
- SUI token holders: delegate tokens to validators to partake in the Proof-of-Stake mechanism and Sui governance.
- Validators: manage transaction processing and execution on the Sui platform.
How Does Blockchain SUI Operate?
According to Sui’s technical documentation, the Blockchain consists of three primary components: Objects, programmable objects built and managed by Move-powered smart contracts, classified into mutable data values and immutable packages. Transactions, describe modifications and updates to the Sui ledger. Validators, independently manage the entire Sui network, with each running a unique version of the Sui software on distinct machines.
SUI Token Benefits
SUI tokens serve two main use cases within the Sui Network:
- Transaction fee: SUI functions as the currency to cover gas expenses for all operations on the Sui blockchain.
- Staking/bonding/slashing asset: Validators stake SUI to partake in the transaction consensus process, with tokens forfeited as punishment in the event of fraudulent activity.
