Sui to add confidential transactions after $1T volume

Mysten Labs co-founder Adeniyi Abiodun wrote on X that the Sui blockchain will add confidential transactions later this year. The feature will allow users to encrypt transaction data and is intended to enable private, zero-fee stablecoin transfers at scale.

Abiodun wrote that confidentiality on Sui will be optional, giving users the choice to keep payment details private. He wrote that encrypted transfers could help reverse or fix payments and prevent fraud if automated agents execute incorrect transfers on a user’s behalf. He added, “the entire internet is about to get free payments with privacy, at scale,” and described the network as offering “capabilities competitors can’t match.”

Sui’s announcement follows heavy on-chain activity. The network has processed more than $1 trillion in stablecoin transactions since August 2025. DeFiLlama data show about $643 million in total value locked across Sui’s decentralized finance protocols and a stablecoin market cap near $571 million.

Sui developers report increased protocol activity and higher developer engagement, citing on-chain market-making and atomic multi-transaction submits as technical strengths. The team has been testing post-quantum cryptographic signature schemes on testnet and aims to deploy those before expected EU quantum-resistance requirements in 2030.

The network has experienced reliability issues while scaling. A validator consensus divergence caused a several-hour outage in January 2026. In November 2024 a bug in transaction scheduling logic caused a roughly three-hour outage.

Market reaction lifted the SUI token. The price recovered from earlier lows and traded around $1.27 after recent rallies. The token remains below its January 2025 peak near $5.35. Since the start of May, SUI rose from about $0.91 to roughly $1.27, including a near 37% increase over one week, with the launch of SUI futures on regulated exchanges and the confidentiality announcement cited as drivers of demand.

Privacy-focused assets and infrastructure firms have drawn investor interest. Zcash rose from roughly $320 to above $570 in about a month, driven in part by short squeezes, growth in shielded supply and investor concern about quantum threats to transparent blockchains. Separately, Digital Asset Holdings is reportedly seeking about $300 million at a $2 billion valuation in a round led by a16z Crypto.

Sui has not published technical specifications or a firm launch date for confidential transactions. The team confirmed the feature will be released this year but has not specified which transaction types or which tokens will initially support confidentiality.