Solana News Today: Institutions Stake Their Bets on Solana and Sui, Challenging Bitcoin’s Dominance

Bitcoin has long dominated corporate balance sheets in the cryptocurrency sector, but it now faces growing competition from alternative blockchains such as Solana, Sui, and other high-performance platforms. Recent data and developments indicate that these layer-1 blockchains are increasingly being integrated into institutional portfolios, signaling a broader diversification in crypto adoption strategies.

Solana (SOL) has emerged as a strong contender, with institutions collectively holding 8.277 million tokens worth $1.72 billion, representing 1.44% of its total supply [3]. This figure highlights growing institutional confidence in Solana’s infrastructure and its potential for scalable decentralized applications. Among the largest holders are Sharps Technology Inc. (NASDAQ:STSS) and Upexi Inc. (NASDAQ:UPXI), which hold 3.4 million and 2 million SOL, respectively [3]. These entities are not only purchasing but also staking a significant portion of their holdings, with 585,059 staked SOL generating an average return of 6.86% [3]. This staking activity suggests a long-term strategic approach, as institutions seek to benefit from passive income and network governance.

Meanwhile, Sui (SUI) has also attracted substantial institutional interest. In July 2025, Mill City Ventures, a short-term lender backed by the Sui Foundation, completed a $450 million purchase of SUI tokens [1]. This purchase was part of a broader effort to institutionalize SUI’s adoption, with Mill City also planning to raise an additional $500 million for further investments [1]. The firm’s treasury now holds 76.3 million SUI tokens, reflecting a unique relationship with the Sui Foundation and its commitment to supporting the ecosystem [1]. Additionally, Swiss bank Sygnum has expanded its institutional offerings to include SUI custody, trading, and lending, making it one of the first regulated entities to provide these services [1]. This regulatory endorsement is likely to drive further institutional inflows, particularly from conservative investors seeking compliance and transparency in their crypto holdings.

The surge in institutional activity is not limited to token purchases and staking. Both Solana and Sui have seen significant infrastructure developments that enhance their appeal as long-term investments. For instance, staking service provider Chorus One recently launched an institutional-grade Solana validator in partnership with Delphi Consulting [2]. This move emphasizes the importance of infrastructure contributions from institutional actors, reinforcing the security and scalability of the Solana network. On the Sui side, the platform has continued to innovate with new features such as tokenized gold and passkey-based onboarding, aiming to lower entry barriers for both retail and institutional users [1].

Market dynamics further support the growing institutional presence. Solana’s recent 7.68% price increase in 24 hours outperformed the broader crypto market and the CoinDesk 20 Index [2]. Analysts attribute this momentum to breakout levels, growing treasury demand, and the possibility of a spot SOL ETF approval by the U.S. SEC. Meanwhile, Sui has recorded a market cap of $12.25 billion, with a circulating supply of 3.5 billion tokens [1]. Despite a monthly decline of 19%, the token has shown strong performance against Bitcoin and Ethereum, rising 130.7% compared to the former and 141.4% against the latter [1]. These metrics suggest that while SUI is still navigating short-term volatility, its underlying fundamentals remain strong, driven by infrastructure growth and institutional adoption.

The competitive landscape is expected to intensify as more companies and treasuries allocate capital to these layer-1 networks. With Solana’s TVL reaching $1.76 billion in Q2 2025 and Sui’s DeFi activity also surging [1], the platforms are increasingly viewed as complementary to Bitcoin’s role in corporate portfolios. This trend reflects a broader shift in the crypto market, where institutions are diversifying their exposure beyond Bitcoin to include high-performance blockchains with robust ecosystems and active developer communities.

Source: [1] SUI Price, SUI Price, Live Charts, and Marketcap (https://www.coinbase.com/price/sui) [2] Solana News: Analyst Explains Why SOL's Powerful Rally ... (https://www.coindesk.com/markets/2025/08/27/if-you-missed-eth-at-usd1-400-sol-is-the-next-big-bet-analyst-explains-why) [3] Institutions Hold $1.72 Billion In Solana, Strategic Reserve ... (https://finance.yahoo.com/news/institutions-hold-1-72-billion-183405203.html)