Watch my crypto video for a quicker overview or continue reading for the full details 👇

I want to share my recent experiences with the Sui blockchain, which continues to impress me with its growing ecosystem. While Sui isn't the most decentralized blockchain out there (with just over 100 validators), it's attracting significant investment from reputable VCs like Andreessen Horowitz (a16z), who recently backed the Walrus decentralized storage protocol on Sui.

Let me be honest - there's currently some hype in the ecosystem. SUI, currently trading above $3, seems a bit overpriced to me. However, the underlying blockchain is gaining real traction for both DeFi applications and other use cases, which makes it worth exploring.

Three Interesting Sui Protocols I'm Using

1. Portal Bridge (Wormhole)

Portal Bridge (portalbridge.com) enables you to transfer USDC from blockchains like Base or Optimism directly to Sui without using centralized exchanges like Coinbase or Binance. This gives you:

• More privacy (no KYC requirements)
• Quick transfers (my recent transaction took just 18 minutes using the most cost-effective option)
• A straightforward way to get USDC onto Sui for using various protocols

2. Navi Protocol

Once you have USDC on Sui, the lending protocol Navi offers lending and borrowing capabilities with some attractive yields:

• USDY (Ondo's real-world asset token backed by US Treasury bonds) currently offers around 12%
• Regular USDC yields about 5% - less impressive but offers flexibility for moving funds in and out

You can also use Navi for strategic borrowing. For example, I'm currently shorting DEEP (DeepBook's token) because I believe it's overvalued after its recent price surge. I expect SUI to catch up relative to DEEP since both are part of the same ecosystem.

3. Cetus Exchange

After borrowing DEEP on Navi, I exchange about 25% of it for USDC and 25% for SUI, then place these funds into liquidity pools on Cetus Exchange. This strategy generates:

• Trading fee rewards (currently about 423% APR on the DEEP-SUI pool!)
• Additional mining rewards in the form of DEEP and SUI tokens

I regularly claim these rewards and use them to gradually pay back my DEEP loan on Navi. What's particularly convenient about Navi is its "claim and resupply" feature, which automatically reinvests your earned interest with minimal gas fees, creating a compounding effect.

Important Considerations

This virtuous cycle works well while the network remains active and growing. However, if usage dropped suddenly, it could turn into a vicious cycle - something to be aware of.

If you're interested in trying Navi, you can use my referral link: https://app.naviprotocol.io/?code=493320019543855104

It's a win-win as both of us will receive additional rewards at no extra cost.

For those concerned about security, Navi has undergone audits (details available on DeFillama), but as with any DeFi protocol, smart contract risks exist. The ecosystem seems promising, but as always, do your own research before investing.