What is SUI?
Sui (pronounced “Swee”) is distributed layer 1. Proof of Stake Blockchain, like Bitcoin and Ethereum, is meant to serve as the underlying infrastructure for verifying and processing transactions. layer 1 blockchain It is a backbone that supports a specific token or a network of various tokens.
Sui was developed by: Miss Teen Lab, a group of former Meta employees. It is designed to limit the time it takes to run. smart contract Supports scalability for decentralized applications (dApps). The network believes it has cracked the code on smart contract execution in terms of speed, high security, and low gas fees. This is possible thanks to a programming language called “Move”. move A Rust-based programming language that prioritizes fast and secure transaction execution.
According to blank, the network is named after the element of water in Japanese philosophy, referencing the fluidity and flexibility that developers can use to shape Web3 development. The network focuses on low latency and excellent scalability. This led to what was dubbed “The Solana Killer” by its supporters.
The Sui project was announced by Mysten Labs in September 2021, and in December 2021, Mysten Labs invested $36 million in the project. This was followed by the announcement of a $300 million Series B, with FTX pledging $140 million in 2022, valuing the startup at $2 billion.
Why Sui Network was created
According to Sui co-founder and CEO Evan Cheng, the current Web3 infrastructure is slow, expensive, and highly unstable. Taking this into account, Cheng said the network was created to change the Web3 game with some 5G-level upgrades to enable developers to create scalable blockchain-based applications that can only connect to the centralized technology hubs that dominate Web 2.0.
In other words, the Sui network was created to solve Web3 problems by simplifying and improving the creation of various applications and features in the Web3 ecosystem, solving the most common problems in the Web3 industry: speed, security, and reliability.
How does blockchain work?
Sui operates as a layer 1 blockchain focused on optimizing fast blockchain transfers. The high importance placed on instantaneous transaction completion makes Sui an ideal platform for on-chain applications such as decentralized finance (DeFi), gaming, and other real-time use cases.
Unlike traditional layer 1 blockchains, where transactions are added one by one, slowing down as more transactions are added to the blockchain, Sui does not force every transaction to pass through every computer on the network. Instead, by selecting the relevant parts of the data that need to be checked, it eliminates congestion problems in the blockchain and dramatically reduces the gas cost of performing a transaction.
The Sui network uses: unauthorized A set of verifiers to reduce waiting time and Delegated Proof-of-Stake System. This includes a period of time (each consisting of 24 hours) during which Sui holders choose a set of validators to store their staked tokens. Validators are responsible for selecting and approving transactions.
Who is the brains of the Sui network?
Co-founder and CEO Evan Cheng: Cheng previously worked at Apple for 10 years, where he was also head of research and development at Novi and director of technology at Meta.
Chief Scientist George Danezis: Former Novi, Meta researcher, previously worked at Microsoft Chainspace.
Adeniyi Abiodun, CPO: Novi, former Head of Product Development at Meta. He previously worked at VMware, Oracle, PeerNova, HSBC, and JP Morgan.
Costas Calcias: Former leading cryptographer of Novi. He previously worked at R3, Erybo, Safemarket, and NewCrypt.
Sam Blackshear, CTO: Former principal engineer at Novi, specializing in the Move programming language.
Investors and institutions supporting the network
Sui was valued at $2 billion. FTX Ventures $140 million has been invested in this project. However, Sui also has other credible investors who have made the following commitments: Binance LabLargest centralized cryptocurrency exchange by daily trading volume, Coinbase VenturesAmerica’s largest cryptocurrency exchange.
Including other investors Franklin TempletonA global leader in asset management with over 70 years of experience, jump encryption, a team of experienced builders, developers and traders. ApolloLightspeed Ventures, Circle Ventures, Partners, Sino Global, Dentsu Ventures, Greenoaks Capital and O’Leary Ventures We also invested in blockchain.
Purpose of Sui Coin
SUI Coin plays an important role within the ecosystem and provides a variety of functions.
- rule: Sui Coin holders can participate in governance decisions, including parameter adjustments, protocol upgrades, and other major network changes. This means that SUI holders have a say in the direction and development of the Sui network.
- Transaction Fee: SUI coins are used to pay transaction fees within the network. The coin acts as a medium of exchange, covering all associated fees, including interacting with smart contracts, transferring assets, and participating in Sui on-chain activities.
- Public Works: Native coins are used in a variety of decentralized applications (dApps), gaming applications, and other projects built on the network. Used to purchase in-game accessories and NFTs.
- Staking: Staking SUI coins helps with network security and consensus. SUI coin holders who stake their coins receive rewards and incentives for participation and participation.
- invest: Investors can buy and hold or trade SUI coins as investments on centralized exchanges, just like Bitcoin, Ethereum, Solana, Cardano, BNB, and any other blockchain with a good use case.
Sui Network plans to improve the Web3 ecosystem.
transaction speed
Sui Network aims to solve the problem of slow transactions in Web3. The network is built on a Rust-based programming language called Move, which prioritizes fast and secure transaction execution. Transactions on the Sui network are verified on a 24-hour basis, and each epoch can be verified independently rather than block by block as is done on traditional blockchains.
Parallel execution of transactions boosts the Sui network transaction speed to 297,000 transactions per second and a final time of 400 milliseconds, compared to Ethereum’s 20 transactions per second and a final time of 6 minutes, or Solana’s 10,000 transactions per second and a final time of 2.5 seconds.
Focus on Web3 and asset ownership
Sui Network is focused on improving Web3 and the Web3 experience by meeting the needs of millions of users, including speed and security. Sui allows users to create, upgrade, and distribute decentralized applications and non-fungible tokens (NFTs).
scalability
Sui Network aims to increase the scalability of Web3 through parallel processing or execution. This means that the Sui network identifies and processes independent transactions simultaneously. This means reducing transaction times and accommodating larger transactions loaded per hour. This is made possible thanks to the Sui implementation of the Move programming language and the Narwhal-Bullshark-Tusk consensus algorithm, which focuses on the details of a transaction rather than the entire transaction chain.
Token economics of SUI coin
Sui’s native token is called SUI and has several use cases. According to CoinGecko, the maximum supply of SUI is limited to 10 billion, and the current circulating supply is 1.2 billion, ranking 48th in market capitalization.
A portion of the total supply of SUI was liquidated upon mainnet launch on May 3, 2023. Sui’s all-time high was hit at $2.16 on the day of its launch. However, it is currently trading at $1.51, up 320% from the all-time low of $0.364 on October 19 last year.
Token economics included 6%. Community Access Program and App Tester10% of the supply Misteen Institute Treasury14% investorAnd 20% early contributors. The majority of the supply, 50%, is self-sustaining. community reserve. Purpose and Distribution community reserve include delegation program, grant program, research and developmentand Validator SubsidyAs shown below:
At the time of Sui mainnet launch, only about 5% of SUI coins were already in use, the remainder will be released gradually according to the planned schedule below.
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