Phantom, the prominent cryptocurrency wallet, has announced an end to its support for the Sui Network, effective September 24. Users have been given approximately one month to transfer their assets to another compatible wallet or convert them into supported assets. This decision comes after an agreement reached between Phantom and the Sui team.
How Will Users Transition?
Users have two main choices for handling their assets. They can convert their SUI holdings into wrapped SUI on Solana or continue to store them natively in another compatible wallet. Phantom has waived its cross-chain conversion fees until the given deadline, although network and exchange fees will remain applicable. Users wishing to maintain their native SUI can export their recovery phrase from Phantom’s settings and import it into another supporting wallet, with Phantom recommending Slush Wallet for this transition.
What Does This Mean for the Sui Ecosystem?
Phantom had incorporated support for the Sui Network in January 2025, a period during which the wallet boasted 15 million active users monthly. This integration was seen as a major step in broadening Sui’s accessibility to individual investors. However, some performance metrics of the network have since shown signs of decline.
The total value locked in Sui’s DeFi ecosystem is nearly $470 million, a stark contrast to previous highs above $2 billion. SUI’s market cap is currently around $3.4 billion, trading at approximately $0.83, significantly lower than its record peak of $5.36 earlier.
Amidst this environment, attention is shifting towards infrastructure choices and the migration of real-world assets onto blockchain platforms. The transition of Wall Street giants onto Web3, paired with direct asset holdings in crypto wallets, is changing the landscape, as platforms like 1stepSwap allow investors direct access to stocks, gold, and silver without intermediaries.
Broader Strategy Adjustments
The termination of Sui support follows the cessation of Monad support on August 26, hinting at a broader restructuring in Phantom’s multi-network strategy. Previously, Phantom offered support for Solana, Ethereum, Bitcoin, Base, Sui, and Monad networks under a unified product portfolio.
Phantom and Sui have mutually agreed to conclude the partnership on September 24; however, the door remains open for exploring future collaborations.
- Users must transfer or convert Sui assets before September 24.
- Native SUI can be handled through exportable recovery phrases.
- No cross-chain fees by Phantom until the deadline, but network fees apply.
- Potential new partnerships between Phantom and Sui might emerge in the future.
Current discussions are shifting from custody risks to issues of access and application support. It’s anticipated that other wallets and service providers compatible with the Sui network will step in to accommodate Phantom’s users. Therefore, Phantom’s withdrawal from Sui should not be directly viewed as the cause of the recent downturns in the Sui ecosystem’s metrics.
