DATA Network Chooses Sui for AI Training Data Protocol, Cointelegraph Reports.

DATA Network, formerly Story, plans to retire its own blockchain and run its AI training data protocol on Sui, backed by $30 million from Sui Foundation. Balances are due to move one-for-one, but validator staking and smart contract support on the old chain will be phased out, The Defiant reported.

Sui Foundation funds DATA Network's move off its own chain

DATA Network, the project formerly known as Story, plans to wind down its standalone blockchain and relocate its AI training data protocol to Sui, Cointelegraph reported. Sui Foundation is investing $30 million in the move, and the partners announced it on Monday.

The Block described the end state as an upgrade that leaves DATA Network running natively on Sui as a protocol, with the independent chain retired. The Defiant framed the same deal from Sui's side, saying Sui backs DATA with $30 million while the network plans to retire its chain.

Why a chain built for one use case became a cost to carry

A DATA Foundation spokesperson told Cointelegraph that keeping a purpose-built blockchain alive for one use case meant paying for validators, network security and infrastructure. Doing storage and access control at the needed scale in-house would have duplicated tools Sui already offers through Walrus and Seal, the spokesperson said.

In general terms, a dedicated chain needs its own validators to order transactions and secure the ledger. Moving onto an established network lets a project lean on that network's security and tooling, at the price of depending on its rules and its roadmap.

The decision came after Story Foundation rebranded as DATA Foundation in June, shifting from intellectual property licensing toward a “full stack for AI training data.” The group also launched Trace, a registry that tracks where training data comes from and what licensing rights attach to it.

The figures in the announcement and who reported them

Few numbers appear in the reporting. Each is listed below with the outlet that reported it.

• Sui Foundation's investment is $30 million, according to Cointelegraph and The Block, while The Defiant's headline cites $30 million in backing from Sui.
• Trace reached more than 270 million registrations in about four months, according to Cointelegraph.
• DATA balances are due to carry over to Sui at a one-for-one ratio, according to The Defiant.
• Story Foundation rebranded as DATA Foundation in June, the same month Trace launched, according to Cointelegraph.

What the plan means for holders and developers on the old chain

According to The Defiant, DATA balances are due to be credited on Sui at a one-for-one ratio. The same summary adds that the old chain will stop supporting validator staking and smart contracts. The wording describes plans, not completed steps.

Cointelegraph reported that the existing chain stays live until the upgrade finishes, and that the partners will publish a detailed timeline and a holder transition plan beforehand. The mechanics of how holders move across, and when staking and contract support end, are therefore still to come.

In practice, the promised plan is the document to check first. Holders can look there for how balances will be credited, and teams running contracts on the chain for the dates that affect them.

Where the three outlets' accounts match and where they differ

The outlets agree on the essentials: a $30 million investment, a migration to Sui and the retirement of the independent chain. They differ in emphasis. The Block centres on the technical end state, The Defiant on what holders keep and what ends, and Cointelegraph on the reasons and the role of Walrus.

One small difference is naming. The Defiant's headline credits Sui with the $30 million backing, while Cointelegraph and The Block name Sui Foundation as the investor. Walrus, Trace and the registration count appear in Cointelegraph's full report but not in the two shorter summaries. That silence should not be read as disagreement.

On timing, The Block published first, at 02:00 UTC on 12 October, followed by Cointelegraph at 05:15 UTC and The Defiant at 15:48 UTC. Cointelegraph places the partners' announcement on Monday, and all three items carry a 12 October publication date.

Why the migration matters beyond a single token

For DATA holders, the change moves the asset from a chain the project operates to another network's infrastructure, while validator staking and smart contract support on the old chain are phased out. For Sui, it adds a registry that Cointelegraph says has grown to more than 270 million registrations and makes Walrus the default storage layer for DATA Foundation's applications. For scale, CoinGecko ranks Sui 30th by market capitalisation, at about $4.29 billion.

The deal also shows a project built around provenance and licensing records choosing shared infrastructure over a chain of its own. DATA Foundation's stated aim is a full stack for AI training data, and the migration places that stack's registry and storage on Sui.

Open questions to watch before the upgrade

The partners promised a detailed schedule and a plan for holders ahead of the upgrade. Until those appear, several points remain open.

• The final holder transition plan will show whether the one-for-one carry-over described by The Defiant holds.
• The schedule will show how long validator staking and smart contract support last on the old chain before they wind down.
• Cointelegraph's report does not say what the $30 million will fund. A DATA Foundation spokesperson called the investment a separate part of the partnership.
• Cointelegraph's report does not give a completion date for the upgrade.

Market snapshot

Asset	Price	24h	7d	Market cap
Sui (SUI)	$1.04	-4.2%	-12.3%	$4.29 billion

CoinGecko data as of 2026-10-13 (UTC).

FAQ

Why is DATA Network leaving its own blockchain for Sui?

A DATA Foundation spokesperson told Cointelegraph that running a chain for one use case meant bearing the costs of validators, security and infrastructure. The spokesperson added that building storage and access control internally would have duplicated what Sui offers through Walrus and Seal.

What happens to DATA balances and validator staking?

The Defiant reported that DATA balances are due to carry over to Sui one-for-one, while the old chain will stop supporting validator staking and smart contracts. Cointelegraph reported that the chain keeps running until the upgrade completes and that the partners will release a schedule and a holder transition plan before the upgrade.

Is the $30 million investment linked to the decision to migrate?

Cointelegraph and The Block report that Sui Foundation is investing $30 million in DATA Network. Asked how much the investment influenced the move, a DATA Foundation spokesperson told Cointelegraph it was a separate component of the partnership.

Sources

• The Defiant: Sui Backs DATA With $30 Million as Network Plans to Retire Its Chain (2026-10-12)
• Cointelegraph: DATA Network to migrate to Sui, retire own chain (2026-10-12)
• The Block: Sui Foundation invests $30 million in DATA Network as AI data protocol migrates to Sui (2026-10-12)
• CoinGecko (market data)