The Sui Foundation has invested $30 million in DATA Network to facilitate the project's migration onto the Sui blockchain. Under the agreement, DATA Network will close its independent blockchain while relocating its applications and operations to Sui Network.
Data Network Overview
DATA Network operates a platform that enables companies to source training materials for artificial intelligence systems while tracking data provenance and usage rights. The platform's Trace registry has recorded more than 250 million data contributions since launching in June and currently processes over three million receipts daily.
Migration Terms
Following completion of the migration, DATA Network and Trace will operate exclusively on Sui Network. Walrus, a data storage platform connected to Sui, will host information used by DATA Foundation's applications. Tokens will convert to the new Sui blockchain on a one-to-one basis, preserving existing token balances and release schedules. The legacy network will continue operating until migration concludes, though no specific completion date has been announced.
Sui Foundation will become DATA Network's largest institutional investor through this arrangement. The acquisition valuation and token quantity were not disclosed.
Market Response
Following the announcement, SUI token declined approximately 5.6% and traded above the $1.07 level. The drop pushed the price below its short-term average of $1.09. Trading volume has declined since the token's September rally, indicating limited buyer momentum around the announcement.
