TL;DR
- The Sui Foundation addresses community concerns about token distribution, aiming for transparency and trust.
- It’s clarified that Mysten Labs’ founders don’t control key aspects like the foundation’s treasury or staking subsidies.
- Sui experiences a slight recovery of 3%, trading at $1.10, following a bearish period and a 32% loss in the last month.
The Sui Foundation seeks to address community concerns regarding the distribution of its token supply, aiming to foster transparency and confidence in its emission plan. In an official statement, they assured that the founder of Mysten Labs does not exert control over key aspects such as the foundation’s treasury, staking subsidies, or investor tokens.
Despite the clarification, discussions began on social media, especially as Sui celebrated its first anniversary. The main concern revolves around the potential influence of Mysten Labs’ founders on various token allocations, including the foundation’s treasury and staking subsidies.
Recently, there have been some misleading posts issued about Sui’s token supply.
Let’s set the record straight, starting with the basics: locked tokens are locked by third-party custodians. They cannot be moved, and are safely custodied until they are unlocked according to Sui’s…
— Sui (@SuiNetwork) May 4, 2024
The Foundation has responded to these concerns by affirming that all token allocations are fully disclosed, following a timeline aligned with the emission plan. This approach aims to ensure transparency and provide comprehensive information to all participants.
the Sui Foundation Rejects Manipulation Accusations
One key point is the strategic use of locked tokens by Sui. These are allocated to support essential ecosystem functions, such as supporting key guild members, improving programming language, enhancing network security, and conducting research for new product development.
Additionally, staking rewards and transaction fees generated by network activities are reinvested. This aims to promote equality and fairness among all participants, ensuring that rewards are fairly distributed. Despite discussions regarding equity in token supply distribution, the foundation has dismissed concerns raised by some figures, such as Justin Bons of Cyber Capital.
On the other hand, according to the latest data from Coinmarketcap, Sui records a slight recovery of 3% and trades at $1.10. The token comes from a prolonged bearish period. Over the course of the last month, it plummeted and lost 32% of its value.
