Light

when

Foundation

USDC

The recent surge of the Sui token has led to allegations of insider selling, as wallets linked to its initial coin offering (ICO) reportedly sold over $400 million worth of tokens during the price rally. As of October 14, Sui has risen more than 120% in the past month, trading at $2.25 and up over 8% in just the last week. 
Despite this impressive price gain, concerns about significant insider selling have emerged. Crypto analyst Light revealed on X that wallets linked to the Sui Foundation sold $400 million in tokens during the rally, with insiders accelerating their sales as prices increased. 
When insiders control a large portion of a cryptocurrency’s supply, their selling can heavily influence the token’s price. Large-scale sales often create downward pressure, which can be troubling for new investors. 
In response to the allegations, Sui released a statement denying any wrongdoing. They emphasized that insiders have not engaged in preemptive selling or violated any lockup agreements. 
Instead, they suggested that the sales might have come from an infrastructure partner who is in compliance with lockup schedules enforced by qualified custodians. 
<div class="wp-block-image"> 
 <figure class="aligncenter size-full">
 <img loading="lazy" decoding="async" width="580" height="509" src="https://www.cryptotimes.io/wp-content/uploads/2024/10/Sui-Token-Soars-120-Amid-400M-Insider-Selling-Allegations.jpg" alt="Sui Token Soars 120% Amid $400M Insider Selling Allegations" class="wp-image-207506">
 <figcaption class="wp-element-caption">
 Source: <a href="https://x.com/SuiNetwork/status/1845890142906863865" target="_blank" rel="noreferrer noopener nofollow">X</a>
 </figcaption>
 </figure>
</div> 
Looking ahead, Sui may experience more selling pressure. On October 23, approximately $114 million worth of Sui tokens, or 2.32% of the circulating supply, is set to be unlocked. Currently, over 28% of the total SUI supply is already unlocked. 
While Sui’s rally has been remarkable, the insider selling raises concerns for potential investors. Light warned that such selling often leads to a grim outcome for tokens, particularly when insiders sell to less informed retail investors chasing momentum. 
Despite these concerns, the Sui token is up over 164% year-to-date, and some analysts believe it could rival Solana as a leading layer-1 blockchain. 
<blockquote class="wp-block-quote is-layout-flow wp-block-quote-is-layout-flow"> 
 Also Read: <a href="https://www.cryptotimes.io/2024/10/08/native-usdc-officially-launches-on-sui/" target="_blank" rel="noreferrer noopener"></a><a href="https://www.cryptotimes.io/2024/10/05/sui-price-surges-111-in-30-days-reaches-six-month-high/">SUI Price Surges 111% in 30 Days, Reaches Six-Month High</a> 
</blockquote>

Sui Token’s Surge Triggers $400M Insider Selling Allegations

The Crypto Times

Other articles published on Oct 15, 2024

Tether CEO Explores Commodity Trading and TradFi Opportunities

UAE Introduces VAT Exemption for Cryptocurrency Transfers and Conversions

Bitcoin rally prompts Metaplanet to stock up, bringing holdings to $56m

VanEck AI Robots Powering Meme Coins at Peak Consciousness

Binance Hints At When Pi Network Mainnet Will Launch

Bitcoin Gains Larry Fink’s Trust as BlackRock ETF Hits $23B Milestone

Join our free newsletter for daily crypto updates!