SUI, the native Cryptocurrency of the eponymous network, has seen a significant jump in price following a technological update that brings it closer to competing directly with Solana.
In the last month, The price of the crypto asset has increased by 42%going from $1.08 to $1.15, as shown in the following chart. TradingView.
SUI Price. Source: TradingView.
SUI is currently ranked 26th by market cap, valued at $3.15 billion.
This remarkable growth is due, in large part, to the introduction of “Mysticeti”, A new consensus protocol on the Sui network.
Mysticeti has improved latency and confirmation times, achieving reduction to 500 milliseconds for consensus transactions and 250 milliseconds for those with a single owner.
During some tests last year, The network reached almost 6,000 transactions per second (TPS) and processed 65 million transactions in a single day. In contrast, networks like Ethereum can process only 15 TPS, demonstrating the potential of the Sui network to transform the digital asset transaction landscape.
In addition, the network has the ability to maintain a throughput (a measure of the speed at which the network can confirm and execute operations) of over 50,000 TPS under low latency conditions, and can reach over 100,000 TPS with latencies of approximately one second, details analyst Marija Matic. However, it is worth noting the reduced decentralization of the network, with only 108 validators at the time of writing.
A rival for Solana
For Matic, This update puts Sui in a prime position as a direct competitor to Solanawhich has been “the darling of layer 1 of this bull cycle.”
Solana has gained popularity for its fast and low-cost transactions, currently handling 2.684 TPSbut Sui seems determined to get over it.
Solana, as it is Cryptopedia explainsthe educational section of CriptoNoticias, is a cryptocurrency network that works with smart contracts, better known as Solana Programs. It presents itself as an alternative to Ethereum, competing with networks such as Binance Smart Chain (BNB) or Avalanche (AVAX) for the title of “Ethereum Killer” or the substitute for this network created by Vitalik Buterin.
Matic notes that “this network (Sui) is designed to offer instant settlements and high throughput, meeting the demands of the new wave of decentralized applications that are sensitive to latency. As DeFi continues to grow and more people actively transact, that speed will be crucial when developers and users decide which network to choose.”
Additional boost: USDC arrives on the Sui network
Another factor that has driven up the price of SUI is the advertisement that USDC, the second largest stablecoin by market capitalization, will be integrated into the Sui network.
Jeremy Allaire, CEO of USDC issuing company Circle, made the announcement at an event in Singapore, confirming that the tests of the stablecoin on the Sui network start today, September 17.
Optimistic outlook for the market
Investor and CEO of Global Macro Investor, Raoul Pal, has also indicated SUI’s positive performance in the markets.
According to Pal, the cryptocurrency is showing signs of being one of the “key players of the major new networks, if not the one already,” he says.
Pal presents a graph showing that SUI has broken the downtrend against solarium (SUN).
SUI price against SOL. Source: Raou Pal.
The specialist added that “it is worth paying attention to its relative strength in a sideways market,” but also He warned that SUI is still in its early stages. and that its success will depend on the network’s ability to attract applications that can scale and take advantage of its technology stack.
In this regard, he stressed that “Circle’s announcement is a good step forward, but it is still too early to confirm whether games, for example, will be the breakthrough that Sui needs.”
The Sui network continues to make steady progress, and the market is eagerly awaiting its evolution in the coming months, with the potential to surpass giants like Solana in the competitive world of layer 1 networks.
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