Mill City Ventures Allocates 98% of $450M Private Placement to Sui Treasury, First Public Entity to Adopt Blockchain

Nasdaq-listed Mill City Ventures III has completed a $450 million private placement, allocating 98% of the proceeds to a Sui (SUI) token treasury, marking a strategic shift toward cryptocurrency. The non-bank lender and specialty finance company sold 83 million shares to institutional investors including Pantera Capital, Electric Capital, FalconX, and ParaFi Capital, with Galaxy Asset Management appointed as the treasury asset manager [1]. This move establishes Mill City as the first publicly traded entity to adopt a Sui blockchain treasury, described as an “industry-first” partnership with the Sui Foundation [1]. The firm’s decision underscores growing institutional confidence in Sui’s technical architecture, which combines high-speed transaction processing with capabilities to support AI workloads. Incoming chief investment officer Stephen Mackintosh cited Sui’s potential for “mass adoption,” emphasizing its scalability for institutional-grade crypto operations and compatibility with AI infrastructure [1]. Adeniyi Abiodun, co-founder of Sui’s developer Mysten Labs, highlighted the blockchain’s role in enabling “crypto, AI, and stablecoins at real scale,” aligning with broader industry trends [1].

The investment coincides with a surge in decentralized finance (DeFi) activity on Sui. Onchain value locked in the ecosystem reached an all-time high of $2.22 billion in early July 2025, a 400% increase since July 2024 [2]. Protocols such as Suilend, NAVI, and Haedal collectively held $1.7 billion in total value locked (TVL) as of late June 2025, reflecting accelerated adoption [2]. Despite these metrics, SUI’s price has declined 11% over the past 24 hours, mirroring broader crypto market volatility. The token, which hit a peak of $5.35 in January 2025, has fallen 27% from that level [3].

Mill City’s pivot to Sui signals a shift in corporate strategies to integrate blockchain infrastructure, particularly as AI and DeFi applications gain traction. The firm’s allocation to a single asset reflects a calculated bet on Sui’s ability to sustain momentum in a competitive sector. Sui Foundation managing director Christian Thompson previously noted opportunities at the convergence of AI and blockchain technologies, such as AI agents integrated into decentralized systems [1]. However, the immediate market response to the news has been muted, with SUI’s performance tied to macroeconomic factors affecting altcoins, including interest rate expectations and regulatory developments [3].

The investment highlights both the potential and risks of crypto markets. While Sui’s DeFi growth is notable, it remains concentrated in a few protocols, and broader market sensitivity to macroeconomic shifts could influence future performance. Mill City’s decision also underscores the evolving relationship between traditional finance and blockchain innovation, with corporate treasuries increasingly leveraging decentralized assets to align with technological trends.

[1] Cointelegraph. "Mill City Ventures Announces $450M Sui Treasury Amid Sui DeFi Surge." [https://cointelegraph.com/news/mill-city-ventures-announces-450m-sui-treasury-amid-sui-defi-surge](https://cointelegraph.com/news/mill-city-ventures-announces-450m-sui-treasury-amid-sui-defi-surge)

[2] DefiLlama. DeFi TVL statistics. [https://defillama.com](https://defillama.com)

[3] TradingView. SUI/USD 24-hour chart. [https://tradingview.com](https://tradingview.com)