Phantom Wallet has confirmed that it will end support for the Sui network on September 24, 2026, leaving SUI holders with less than five weeks to prepare for the change.
The decision comes during a difficult period for the Sui ecosystem. The network’s decentralized finance total value locked (TVL) has fallen approximately 82% from its previous peak, raising concerns about declining liquidity and capital leaving the Layer-1 blockchain.
Importantly, SUI assets held through Phantom will remain safe on the blockchain. Users will still be able to access their funds through another Sui-compatible wallet.
Phantom Ends Sui Support After 20 Months
Phantom introduced native support for the Sui blockchain in late 2024, when activity across the network was expanding rapidly.
Sui’s DeFi ecosystem continued growing and eventually reached approximately $2.58 billion in TVL in October 2025.
However, that momentum did not last.
According to DefiLlama data cited in the report, Sui’s TVL has since dropped to around $469 million, representing an approximately 82% decline from its peak.
The steep reduction in capital across the ecosystem has increased concerns about network activity and the sustainability of infrastructure support.
Institutional Interest Had Previously Supported Sui
Earlier developments had pointed toward increasing institutional interest in the network.
Coinbase, for example, introduced Sui staking services, while the launch of the Sui Hashi testnet also contributed to optimism surrounding the blockchain’s infrastructure.
However, Phantom’s decision to discontinue Sui support represents a notable reversal from the stronger momentum seen across the ecosystem during previous months.
What Happens to SUI Held in Phantom?
According to Phantom’s official guidance, the wallet will stop supporting the Sui network after September 24.
After that date, users will no longer be able to:
- View their SUI balances inside Phantom.
- Send or receive Sui transactions through the wallet.
- Find Sui among Phantom’s supported networks.
However, this does not mean SUI tokens will disappear or be lost.
Crypto assets are stored on the blockchain rather than directly inside a wallet application. Therefore, users can regain access by importing the same recovery phrase into another compatible Sui wallet.
Phantom recommends Slush, which it identifies as the Sui Foundation’s preferred wallet alternative.
Phantom Offers Cross-Chain Swap Option
SUI holders who want to continue using Phantom also have another option before the September deadline.
Phantom has temporarily removed its own wallet fee for cross-chain swaps from native SUI into wrapped SUI on Solana.
Users should note that network fees and exchange-related charges can still apply even though Phantom’s own fee has been waived.
Sui TVL Decline Raises Investor Concerns
The timing of Phantom’s departure is particularly significant because Sui has experienced a major contraction in DeFi liquidity.
Wallet providers may reconsider network support when blockchain activity, liquidity, or user demand declines for an extended period.
Phantom has also ended support for Monad, suggesting that the wallet is increasingly concentrating its resources on higher-traffic networks such as Solana, Ethereum, Base, and Bitcoin.
For SUI investors, losing Phantom support could create additional short-term friction while the ecosystem is already facing reduced capital inflows.
SUI Price Recovery Has Struggled to Hold
SUI previously showed signs of recovery after falling toward the $0.90 level, while technical analysts including Peter Brandt had highlighted the possibility of further upside.
However, the network has struggled to maintain that momentum.
The sharp decline in TVL, combined with Phantom’s decision to leave the ecosystem, may therefore become another factor investors consider when evaluating SUI’s near-term outlook.
Sui Still Has Long-Term Technology Narratives
Despite the recent decline, the Sui ecosystem still has several technological strengths that supporters believe could support future growth.
These include its Move-based programming architecture, parallel transaction execution model, and expanding institutional product pipeline.
Potential ETF products in selected markets have also remained part of the broader Sui investment narrative.
However, a meaningful recovery could depend on whether the network can attract new decentralized applications, increase stablecoin activity, and bring fresh capital back into its DeFi ecosystem.
What SUI Holders Should Do Before September 24
Anyone currently holding SUI through Phantom should consider the September 24 deadline important.
Users do not risk losing their cryptocurrency simply by missing the deadline. However, Phantom will no longer provide direct access to the Sui network afterward.
Those users would need to import their wallet credentials into a compatible Sui wallet before they could manage their assets again.
With Sui’s TVL sharply below its 2025 peak, investors will now be watching closely to see whether ecosystem activity can recover and whether other major infrastructure providers continue supporting the network.
