The cryptocurrency market continues to gain new ground, and SUI has been among the top beneficiary digital assets. NASDAQ has filed for a spot Sui (SUI) Exchange-Traded Fund (ETF). This was spearheaded by 21Shares and marks a pivotal moment for the Sui blockchain and its native token.
This development, announced on Friday, May 23, 2025, signals a seismic shift in the cryptocurrency landscape. This could potentially catapult SUI into the mainstream financial arena.
As institutional interest surges and regulatory hurdles evolve, the proposed ETF listing promises to reshape SUI’s trajectory. In the long run, this could drive adoption, liquidity, and price dynamics.
In this article, CryptoGuide GH explores how this transformative step could redefine the fortunes of SUI and the broader cryptocurrency market.
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SUI ETF shows growing institutional confidence
The NASDAQ filing for the 21Shares Sui ETF, backed by custodians BitGo and Coinbase Custody, underscores growing institutional confidence in Sui’s layer-1 blockchain.
Unlike speculative altcoins, Sui’s robust architecture leverages the Move programming language. Aside from this, it also adopts an object-centric data model. This positions Sui as a scalable, user-friendly platform for decentralised applications (dApps).
Consequently, the ETF proposal validates Sui’s technological prowess. This signals to investors that the project is viable and more than a fleeting trend.
By enabling traditional investors to gain exposure to SUI without navigating crypto exchanges, the ETF bridges the gap between conventional finance and digital assets. In the long term, this fosters broader adoption.
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ETF’s potential approval and SUI’s price
The ETF’s potential approval by January 2026 could significantly boost SUI’s liquidity. As of publication, SUI was exchanging hands for $3.16. The cryptocurrency had a market capitalisation of about $10.6 billion. This makes it a large-cap digital asset since its value is above the $10 billion milestone.
Despite these metrics, SUI maintains significant liquidity, as evidenced by its daily trading volume. Over the 31-day period in May, SUI daily trading volume ranged between $695 million and $3.5 billion. Such statistics have made SUI a top 20 digital currency in terms of value.
By offering a regulated investment vehicle, this ETF would attract institutional capital. The resultant effect will be an increase in trading volumes and a reduction in volatility.
As a result, SUI’s price could stabilise, making it a more reliable asset for retail and institutional portfolios.
The buzz around the potential rise has led to several bullish comments across social media platforms. Many stakeholders of the coin believe there could be a potential 100% price rise in the near future. Others believe SUI can surpass its peak price of $5.35 in January 2025 and make a push for the $10 milestone.
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ETF listing could amplify the coin’s visibility in several markets
The ETF listing could amplify SUI’s visibility in traditional markets. NASDAQ’s involvement, coupled with VanEck’s successful European Sui ETPs, elevates SUI’s credibility.
This exposure is critical, especially after the $220 million Cetus protocol hack in May 2025. While this initially dented investor confidence, Sui’s swift response of freezing the attacker’s wallet, which held about $160 million worth of digital tokens, compensated for potential losses.
The Sui Foundation will inject millions into security upgrades to prevent stakeholders from suffering losses which will be tied to its project. This demonstrates resilience on the part of the project to make bold decisions in times of adversity.
Consequently, the ETF filing, coming on the heels of this recovery, could restore trust, positioning SUI as a secure and investable asset.
The market’s optimism is evident. As of publication, Sui was the eighth biggest blockchain by total value locked (TVL). TVL was about $1.7 billion. Suilend and NAVI Protocols lead liquidity injection with $570 million and $475 million, respectively.
Aside from these, market value has been driven by institutional momentum and Microsoft integration. In May 2025, Microsoft Fabric selected Sui as the third blockchain for integration, joining Bitcoin (BTC) and Ethereum (ETH).
“This puts Sui’s full chain history directly into the hands of Microsoft’s vast developer ecosystem,” according to a tweet by Sui’s X (formerly Twitter) official channel.
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ETFs could help provide regulatory clarity for alternate coins
The ETF could catalyse regulatory clarity for altcoins. While Bitcoin and Ethereum ETFs have paved the way, SUI’s potential approval would mark the first altcoin ETF beyond Ethereum on NASDAQ.
This sets a precedent for other layer-1 tokens like Solana (SOL) or Ripple (XRP). The SEC’s review, initiated by NASDAQ’s 19b-4 filing, reflects a shifting regulatory landscape under new leadership. President Trump’s pro-crypto stance fuels optimism.
If approved, the ETF would legitimise SUI as a commodity rather than a security. This will reduce legal uncertainties and encourage further institutional adoption.
This regulatory tailwind could propel SUI’s price. Price predictions and forecasts point to a bullish long-term outlook.
CoinCodex analysts believe SUI could command an average price of $7.88, the least possible price of $6.73, and the best possible price of $11.45 by the end of 2030.
Risks and challenges still remain for SUI
The SEC’s approval process could extend to 240 days, which introduces uncertainty. Bloomberg analyst Eric Balchunas suggests approval might not occur before the last quarter of 2025. This undoubtedly tempers short-term expectations.
Additionally, SUI’s recent price drop over seven days, which saw other altcoins outperform the digital asset, highlights volatility risks.
The ETF’s restricted trading hours, unlike 24/7 crypto exchanges, could also limit flexibility for investors reacting to market swings.
Despite these hurdles, the ETF’s long-term impact outweighs short-term concerns. This is because institutional inflows could dwarf current market cap limitations.
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Conclusion: Should you buy SUI?
The Nasdaq Sui ETF filing represents a watershed moment for SUI and the cryptocurrency ecosystem. By enhancing liquidity, visibility, and regulatory legitimacy, the ETF could propel SUI’s price and adoption to new heights.
While risks like regulatory delays, market volatility, and infinite competition from other altcoins persist, the potential for institutional capital and mainstream acceptance positions SUI for a bullish future.
As the SEC’s decision looms, investors and enthusiasts alike are watching closely. They are anticipating a transformative leap for this dynamic layer-1 blockchain.
Always remember that investing in SUI, like all cryptocurrencies, comes with substantial risks. Investing in SUI with a long-term perspective could yield greater benefits than investing in the token for short-term gains.
Sui Blockchain continues to innovate, and this ETF milestone could make it a top-10 digital asset in terms of market capitalisation in the near future.
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1 Comment
Exciting times for SUI! A NASDAQ listing could significantly boost its credibility and attract more institutional investors, potentially driving up demand and value. Will this be the catalyst for SUI’s next big surge?