The SUI Network has set a 40M TPS benchmark, surpassing all previous records and showcasing impressive scalability. Yet, despite this technical achievement, Altcoin Buzz believes it will not be enough to drive SUI token prices higher due to looming supply issues.
SUI Network’s Unprecedented Scalability Milestone
SUI’s new industry standard of 40 million transactions per second is six times its previous record of 6 million TPS. According to Altcoin Buzz, such throughput and the potential for mass adoption make SUI a top Layer 1 blockchain. The team has even bigger plans: by Q1 2027, they intend to implement the network’s first native post-quantum cryptographic transaction as a safeguard against future security threats.
Tokenomics Challenges Overshadow SUI’s Technical Success
Still, the 40M TPS achievement does little to support SUI token valuations, says Altcoin Buzz. One cannot ignore the 21 million tokens that are unlocked every month; about 48 percent of the total supply is yet to be released. There are countermeasures in place, such as the daily repurchase of $6,000 to $7,500 in gas fees and stablecoins (more than 850,000 SUI have been bought back to date), but these do not offset the impact of the unlocks. In the near term, there is not much room for the price to rise.
Comparative Insights: Polygon and Ondo Face Similar Hurdles
Elsewhere in the market, Polygon is at the forefront of agent-based payments and has automated payouts for its open money stack. But when it comes to value accrual through its automatic base fee burning, which recently saw 100 million POL tokens burned, it has struggled to make progress against the 200 million in monthly supply inflation.
Ondo Finance is another example in the realm of real-world asset tokenization and is regarded by Altcoin Buzz as the leader in this area. The ONDO token has failed to reflect the project’s business fundamentals due to the lack of any mechanism to accrue value. Add to that the 1.9 billion ONDO tokens set to be released in January 2027, and further selling pressure can be expected, similar to the supply problem SUI is facing.
This article reflects the channel author’s opinion and is not investment advice.
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