The Sui Foundation, the organization behind the development of the Sui blockchain, said that the allegation made by a South Korean lawmaker regarding the manipulation of its cryptocurrency supply is “unfounded and materially false.”
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Fast Facts
- On Tuesday, during South Korea’s annual parliamentary audit, lawmaker Min Byeong-deok criticized the Digital Asset Exchange Joint Consultative Body (DAXA) for its inaction regarding the alleged deceit related to the circulation of SUI. DAXA is a crypto market monitoring organization established by five of the largest exchanges in the country.
- Min stated that the coin’s value had declined by more than 67% in the five months since it was listed on local exchanges. According to the lawmaker, the Sui Foundation influenced the price drop by staking and locking tokens to serve their own interests, and then selling them, which increased the circulating supply.
- “There has never been any sale of SUI tokens by the Foundation after the initial Community Access Program (CAP) distributions. Period,” the Sui Foundation responded Tuesday on X (formerly Twitter).
- The foundation added that it never liquidated any SUI tokens or staking rewards and that every SUI transfer, along with the circulating supply, is publicly verifiable on the blockchain ledger and the foundation’s website.
- SUI fell to a new all-time low of US$0.3671 Wednesday at 10:20 a.m. in Hong Kong. The token fell over 6.35% in the 24 hours leading up to 4:20 p.m. in Hong Kong, to trade at US$0.3733, according to CoinMarketCap.
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