According to a KuCoin report, Suiet is terminating its self-custodial wallet for the Sui blockchain, becoming the latest project to halt operations or pull withdrawal services from the network.
The shutdown notice said that the wallet would receive no further updates or support. Suiet will maintain API services through Nov. 14 and discontinue those services afterward, according to the notice.
This development follows a steep contraction in decentralized finance activity across the network. DefiLlama data put Sui’s total value locked at about $413 million on Wednesday, marking a drop of more than 22% over the past month.
Daily Active Users Decline While Transaction Volume Grows
Token Terminal figures show that Sui averaged about 128,000 daily active users in October. That figure compares with 601,000 daily active users in November 2025, representing a decline of around 79%.
However, transaction volume moved in the opposite direction. Token Terminal data indicate that Sui processed 324 million transactions in October, up from 101 million in November 2025.
Higher transaction counts do not necessarily indicate more users, said Kadan Stadelmann, former chief technology officer of Komodo Platform, told KuCoin.
Stadelmann said that Sui’s difficulties appeared primarily economic. He pointed to costly engineering and low user numbers rather than protocol failures, adding that investigators had found no defect in the system’s fundamental design.
Project Closures and Wallet Withdrawals Fuel Sustainability Concerns
Suiet’s shutdown immediately follows the Nov. 10 closure announcement from Suiball, a hardware wallet project built on Sui. In September, wallet provider Phantom dropped support for Sui, and DeFi project Full Sail shut down following a security breach tied to Switchboard that resulted in approximately $91,000 in losses.
These closures have increased concerns about how much it costs to sustain projects on the network and how difficult it is to do so. Stadelmann said wallet providers still have to assess whether network support justifies the expense.
Multi-chain wallets expose vendors to broad attack surfaces, Stadelmann said, while Sui’s approach increases costs for vendors able to choose less capital-intensive blockchains. He said that the breakdown of a single multi-chain wallet is more indicative of those inherent dangers than a direct criticism of any single protocol.
Network outages matter because decentralized finance users can lose the ability to trade, transfer funds, or manage positions. However, the Sui Foundation said the May disruptions put no user funds at risk.
The Sui Foundation and Suiet had not answered requests for comment by publication.
