TheBlock
Sui Foundation is investing $30 million in DATA Network through a strategic partnership that will bring the AI training data protocol onto the Sui stack. The deal makes Sui Foundation the network's largest institutional holder alongside existing stakeholders PIP Labs and DATA Foundation.
Under the plan, DATA Network will be upgraded to run as a protocol natively on Sui, and its independent chain will be retired. The existing DATA token moves to Sui on a one-to-one basis, with the current network operating until the transition completes and a detailed timeline to be released before the upgrade. Walrus will become the default storage layer for applications operated by DATA Foundation, which pivoted from intellectual property infrastructure to AI training data in June.
Why it matters
The partnership targets one of AI's thorniest problems: sourcing training data with clear rights and provenance. DATA Network's Trace, launched in June, tracks the origins and usage rights of AI training data while settling payment to contributors. The registry has already recorded more than 250 million contributions and processes over 3 million receipts per day on average.
Mysten Labs co-founder and chief product officer Adeniyi Abiodun framed the deal as a shift in the AI data economy. "The AI industry has reached the point where the open internet has been read, and the next frontier is defined by access to datasets with the consent and provenance that regulators require," he said.
Market impact
The migration puts SUI at the center of a rights-cleared AI data supply chain serving frontier AI labs, with Walrus gaining a marquee storage workload. The one-to-one DATA token transfer keeps existing holders whole, and the $30 million commitment signals institutional conviction in onchain AI data infrastructure.
Frequently asked questions
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How much is Sui Foundation investing in DATA Network?
Sui Foundation is investing $30 million as part of a strategic partnership that brings DATA Network onto the Sui stack, making the foundation the network's largest institutional holder alongside PIP Labs and DATA Foundation.
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What happens to the existing DATA token when the network migrates to Sui?
The existing DATA token will move to Sui on a one-to-one basis. The current independent chain keeps operating until the transition completes, and a detailed timeline will be released before the upgrade.
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What is Trace and how widely is it used?
Trace is DATA Network's registry, launched in June, that tracks the origins and usage rights of AI training data and settles payment to contributors. It has recorded more than 250 million contributions and processes over 3 million receipts per day on average.
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What role does Walrus play in the partnership?
Walrus, the onchain data storage platform in the Sui ecosystem, becomes the default storage layer for applications operated by DATA Foundation under the new partnership.
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Why does DATA Network matter for AI labs?
The protocol gives AI labs a place to source real-world training data with consent and provenance that regulators require. Mysten Labs co-founder Adeniyi Abiodun said the open internet has been read and rights-cleared datasets are the next frontier.
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