Mill City Ventures Invests Additional $20M in SUI Tokens

Mill City Ventures, backed by the SUI token's foundation and prominent holders, announced on Monday that it has acquired more than $20 million in SUI tokens at a price lower than the market rate. On Sunday, the Nasdaq-listed DAT officially added 5,600,607 SUI tokens at an average cost of $3.65 each, slightly below the market prices of around $3.80 to $3.90. Mill City now possesses nearly 81.9 million SUI tokens. As of 10:55 a.m. ET, SUI was trading at $3.74, with a market capitalization exceeding $13 billion. Mill City, known by the ticker MCVT, has a preferential arrangement to purchase tokens directly from the SUI Foundation at a discount, while also planning to buy from the public market, according to Chief Investment Officer Stephen Mackintosh. Mackintosh shared, "We have a unique relationship for buying tokens from the foundation at a discount." Additionally, Mill City intends to stake SUI to generate revenue, transitioning from its previous focus as a short-term lender. Earlier this month, Mill City announced its plan to invest up to another $500 million in SUI, following the establishment of an equity line agreement to raise capital specifically for token acquisitions. This initiative comes on the heels of Mill City's designation as the official SUI treasury after closing a $450 million private placement, indicating its access to increased financial resources for ongoing purchases. Mackintosh explained, "We will acquire SUI through market orders as well as from the foundation in different tranches. We may also consider buying from other investors willing to sell at a discount. Our approach will be very dynamic." Karatage, a London-based hedge fund with a history of holding SUI tokens, and closely allied with SUI's developers, acted as the lead investor along with the SUI Foundation during the $450 million placement. Founded by Marius Barnett and Mackintosh, Karatage signifies the strategic backing behind Mill City's evolution into a DAO-focused firm. Sui, a Layer 1 blockchain developed by Mysten Labs, utilizes the customized Move programming language. Disclaimer: The Block is an independent media source providing news, research, and data. As of November 2023, Foresight Ventures is a majority stakeholder in The Block, investing in the crypto sector. The Block operates independently to provide timely and objective insights into the crypto landscape.