Suiet wallet exits Sui ecosystem as network activity weakens

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Suiet wallet exits Sui

Highlights

Suiet wallet will cease updates and API services after Nov. 14, following a more than 22% drop in Sui's $413 million TVL over the past month.
Sui ecosystem faces heightened risk as Suiet, Suiball, Phantom, and Full Sail exit, amid a 79% decline in daily active users from 601,000 to 128,000.
Sui endured four outages totaling 22 hours in 2026, disrupting DeFi activity, while competitors Solana and Aptos reported no network-wide outages since early 2024.

Shutdown timeline and network slowdown

As reported by Cointelegraph, Suiet says in a notice that it will stop updating and supporting its wallet, marking another withdrawal from the Sui ecosystem. The company says API services are due to end after Nov. 14, as the blockchain's recent decline in DeFi activity adds pressure on service providers operating on the network.

Sui's total value locked stands at about $413 million on Wednesday, down more than 22% over the past month, according to DefiLlama data. Token Terminal data shows Sui averaged about 128,000 daily active users in October, compared with 601,000 in November 2025, a decline of roughly 79%.

Kadan Stadelmann, former chief technology officer of Komodo Platform, says Sui's difficulties appear to be largely economic rather than tied to failures in the protocol's core design. He says high engineering costs and low user volume are making operations harder for projects in the ecosystem.

Closures add to operating risk concerns

Suiet's shutdown follows another retreat in the ecosystem after Sui-based hardware wallet project Suiball announced its closure on Nov. 10. Wallet provider Phantom also ended support for Sui in September, while DeFi project Full Sail shut down after a Switchboard-related security incident that caused about $91,000 in losses.

At the same time, transaction volumes on Sui have risen even as active users have fallen. Token Terminal data shows transactions reached 324 million in October, up from 101 million in November 2025, but higher transaction counts do not necessarily translate into a broader user base or better economics for wallet providers.

Stadelmann says multi-chain wallets face broad attack surfaces and that Sui's approach can add costs for vendors that may choose to shift resources to less capital-intensive chains. He says an individual wallet failure reflects operating and security risks more than a direct indictment of any one protocol.

Sui has also recorded four network outages in 2026, with around 22 hours of combined downtime, based on reports published by the Sui Foundation. The network stopped processing transactions for about six hours in January, followed by three more outages on May 28 and 29, which the foundation says were linked to software bugs, including issues introduced by a network update.

Such outages matter for DeFi users because they can disrupt trading, transfers and position management, although the Sui Foundation says no user funds were at risk during the May disruptions. By comparison, Solana has not recorded a network-wide outage since February 2024, while Aptos last reported a mainnet outage in October 2023.

As noted in our earlier article, CTOS Digital downgrade concerns highlighted how a cybersecurity incident could prolong service disruptions and hit earnings.

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