- Justin Bons, Founder of Cyber Capital, criticizes SUI for its centralized control, alleging that over 84% of its staked supply is held by founders.
- Bons asserts that SUI’s chart representing its supply over the next seven years is deceptive and calls for more transparency from the platform.
- Despite these criticisms, SUI continues to trade, albeit with a downward trend in line with the broader crypto market.
Justin Bons, founder of Cyber Capital, criticizes SUI for its centralized control and deceptive supply chart. This comes amidst a downward trend in SUI’s market performance.
Bons Criticizes SUI’s Centralized Control
Justin Bons, the Founder of the crypto research platform Cyber Capital, has criticized SUI’s centralized control, highlighting that almost 84% of the staked supply is under the control of its founders. Bons targeted SUI, asserting, “SUI has a great design, except for its token economics.” Reportedly, SUI boasts a capped supply of 10 billion, with 52% unallocated until 2030. While more than 8 billion SUI tokens are staked at present, over 84% of the supply is held by the founders. Highlighting this crucial point, Bons pointed out, “SUI is centralized.”
Discrepancies in SUI’s Supply Chart
Bons posited that the SUI chart representing its supply over the next seven years is a “lie.” He added that all legal documents surrounding the fact prove their chart wrong. The analyst chastised the platform for being “extremely deceptive,” alleging a “clear lack of disclosure coupled with lies & unbridled greed.” Bons also unveiled “someone’s” legal ownership over the unallocated supply. While the researcher demanded SUI to disclose their address, the platform reportedly refused to accept the demand. Instead, they stated that SUI was with custodians like BitGo, Anchorage, and Coinbase Prime.
SUI’s Market Performance
Meanwhile, the SUI token is experiencing a downward trend, aligning with the prevailing trend of the crypto market despite fluctuations. Currently trading at $1.10, SUI has shown a marginal decline of 1.92%. However, the token has exhibited substantial falls over the past week and month, marking dips of 6% and 35%, respectively.
Conclusion
While SUI faces criticism for its centralized control and alleged deceptive practices, it continues to trade in the crypto market. The future of SUI will depend on its ability to address these criticisms and maintain investor trust amidst market fluctuations.
