Suiet wallet announces closure amid ongoing departures from Sui blockchain
API services for the self-custodial wallet platform will remain operational until Nov. 14. The Sui network's DeFi total value locked has experienced a decline exceeding 22% in the last 30 days.
The Suiet cryptocurrency wallet is ceasing operations, representing another in a growing list of project closures and service discontinuations within the Sui blockchain ecosystem.
In an official announcement, Suiet, which functions as a self-custodial wallet designed specifically for the Sui blockchain, indicated that wallet updates and support will be discontinued, while its API services will remain active only until Nov. 14. This closure arrives during a period when the Sui network has witnessed a significant reduction in decentralized finance (DeFi) engagement and activity.
According to DefiLlama data, the total value locked (TVL) within Sui's ecosystem reached approximately $413 million on Wednesday, representing a decrease of more than 22% throughout the previous month. Additional data sourced from Token Terminal indicates that Sui recorded an average of roughly 128,000 daily active users during October, a substantial decline from the 601,000 users observed in November 2025 – representing approximately a 79% drop.
At the same time, additional recent project closures have sparked growing concerns regarding the financial burdens and operational difficulties associated with maintaining projects on the Sui network infrastructure.
Sui's problems seem to mostly be of an economic nature resulting from expensive engineering costs and low user volume rather than protocol failures. No flaw in the system's core design has been found.
Kadan Stadelmann, former chief technology officer of Komodo Platform
Cointelegraph reached out to the Sui Foundation and Suiet for comment but had not received responses by publication.
Recent closures and departures
The announcement of Suiet's shutdown comes directly after Suiball, another Sui-based hardware wallet project, revealed its own closure decision on Nov. 10. Additionally, Phantom, a prominent wallet provider, discontinued its support for Sui back in September.
Full Sail, a DeFi project operating on the network, also ceased operations following a security breach involving Switchboard that resulted in approximately $91,000 in financial losses.
While the number of active users has declined, transaction volume on Sui has actually grown, with 324 million transactions recorded in October, compared to 101 million in November 2025, based on Token Terminal data. Nevertheless, increased transaction counts don't automatically translate to higher user numbers, and wallet service providers must continue to evaluate whether the costs of supporting the network justify the benefits, Stadelmann noted.
Multi-chain wallets have expansive attack surfaces, and Sui's approach adds costs for vendors who can take their business to less capital intensive chains. Any individual failure of a multi-chain wallet is more a reflection of the risks rather than an indictment of any given protocol.
Kadan Stadelmann
A series of outages
The Sui network has also suffered through four separate network outages throughout 2026, accumulating approximately 22 hours of total downtime, based on reports released by the Sui Foundation.
Transaction processing on the network came to a halt for roughly six hours in January, which was then followed by three additional outages occurring on May 28 and 29. According to the Sui Foundation's statements at that time, the May disruptions were attributed to software bugs, including issues that were introduced through a network update.
In contrast, competing blockchain Solana has not experienced a network-wide outage since February 2024, during which it remained offline for close to five hours. Meanwhile, Aptos, which utilizes the same foundational smart contract programming language as Sui, most recently reported a mainnet outage in October 2023.
Network outages represent significant concerns because they have the potential to prevent DeFi users from executing trades, transferring funds or managing their positions, though the Sui Foundation clarified that no user funds were in jeopardy during its May disruptions.