[Blockmedia] The Sui Foundation, the developer of the Sui blockchain, has admitted that it has circulated coins to Binance and Coinlist exchanges.
In an interview with Etoday on Oct. 26, Greg Siourounis, managing director of the Sui Foundation, said that the coins were sent from a “locked custody wallet” for investors. He also acknowledged that the foundation had sent coins to Coinlist.
The admission comes after the foundation previously denied that it had circulated coins, calling blockchain data analysis “fake.”
In a statement, the Sui Foundation said that the coins sent to Coinlist were for “grants” to ecosystem contributors.
It said that the coins sent to Binance were from investors, but did not provide any additional information about the investors or the timing of the unlock.
Binance Labs, an investor in Mysten Labs, the developer of the Sui blockchain, sent a separate email to BlockMedia, saying that the Sui Foundation does not own a Binance account. It did not confirm whether the investor mentioned by the foundation was Binance Labs.
The Sui Foundation’s admission has raised questions about the transparency and accountability of the foundation.
Key points:
- The Sui Foundation has admitted that it has circulated coins to Binance and Coinlist exchanges.
- The foundation previously denied that it had circulated coins, calling blockchain data analysis “fake.”
- The foundation has said that the coins sent to Coinlist were for “grants” to ecosystem contributors.
- The foundation has said that the coins sent to Binance were from investors, but did not provide any additional information about the investors or the timing of the unlock.
Analysis:
The Sui Foundation’s admission is a significant development in the ongoing controversy surrounding the foundation.
The foundation’s previous denials of the circulating coins allegations had raised questions about its transparency and accountability.
The foundation’s explanation for the circulating coins is also somewhat puzzling.
Using “grants” to ecosystem contributors is not common for blockchain foundations.
The foundation’s failure to provide any additional information about the investors or the timing of the unlock is also concerning.
The Sui Foundation’s admission is likely to fuel concerns about the foundation’s governance further. The foundation must provide more transparency and accountability to address these concerns.
By A-in Jung ainjung@blockmedia.co.kr
