- Sui Foundation will invest $30 million to support DATA Network’s migration.
- DATA tokens will migrate one-to-one while preserving existing lockups and vesting.
- Walrus will provide encrypted storage for source files supporting AI training.
Sui Foundation will invest $30 million in DATA Network under a partnership announced on October 12, 2026. The AI training data protocol will move to Sui and integrate with Walrus storage. According to the announcement, Sui Foundation will become its largest institutional holder, joining existing stakeholders PIP Labs and DATA Foundation.
DATA Network migration preserves token conversion terms
DATA Network will become a protocol running natively on Sui, replacing its independent blockchain. The existing chain will remain operational until the transition finishes.
Holders will receive DATA tokens on Sui through a one-to-one migration. Locked tokens and vesting schedules will carry over unchanged. The announcement also promises governance rights and economic terms at least equivalent to current arrangements.
The DATA Network partnership adds Walrus as the default storage layer for applications operated by DATA Foundation. The foundation shifted its focus from general intellectual property infrastructure to AI training data in June.
The move brings transaction processing, data registration and file storage into a shared technology stack. SY Lee, chairman of Poseidon and chief executive of PIP Labs, will become a strategic adviser to Sui Foundation.
Trace and Walrus connect data records with source files
Trace, launched in June, records data origins, usage rights and payments to contributors through its protocol. The foundation reports more than 250 million contributions and over 3 million receipts daily, on average.
Applications using the registry include Kled, Numo and Oto. Kled is onboarding more than 1.5 billion records for its human data marketplace, according to the announcement.
For DATA Network, Walrus will add encrypted reference copies of original files to complement existing registration records. These copies are intended to help buyers check file integrity and identify later changes. Access controls will restrict stored material to licensed buyers.
Mysten Labs co-founder Adeniyi Abiodun said consent and documented origins are increasingly important for AI datasets. Registration alone, however, does not prove that every contributor holds valid usage rights.
The foundation will publish a detailed migration schedule and tokenholder transition plan before the upgrade.
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