Sui Group Investment Head Sets New Strategy: From SUI Holding to Yield-Generating DeFi Ecosystem

Stephen Mackintosh, Head of Investment at Sui Group Holdings (SUIG), has revealed a transformative vision for the company now listed on Nasdaq. Previously known as Mill City Ventures, this American-based financial company rebranded in 2025 with a full focus on a digital asset treasury (DAT) strategy centered on SUI, the native token of the Sui network. The role of the Head of Investment in this context reflects a strategic responsibility to direct asset allocation and optimize returns for the company’s shareholders.

Mackintosh emphasized that Sui Group’s strategy now extends far beyond merely accumulating and staking SUI tokens. “Our performance will always correlate with the SUI price,” he told CoinDesk, “but the goal is to become the most innovative DAT in the market by immersing directly into the Sui ecosystem.” This approach reflects an evolution in the chief investment officer role from passive asset manager to active operational driver within the blockchain ecosystem.

SUI Accumulation Reaches a Major Milestone

Currently, Sui Group holds approximately 108 million SUI tokens in its treasury. With the current SUI price at $1.16 per token based on recent data, the value of this treasury is now around $125 million, representing just under 3% of the total circulating supply. This marks a significant shift since the PIPE (private investment in public equity) deal when SUI was trading around $4.20, at which point the treasury was estimated to be worth $400-450 million.

The short-term target set by the Head of Investment is to increase SUI Group’s holdings to 5% of the total circulating supply, a milestone described as a strategic achievement. The company’s SUI per-share metric has increased from 1.14 to 1.34, indicating growth in asset management. Interestingly, the company intentionally withholds about $60 million from the $450 million raised to manage market risk—a conservative strategy that helps avoid forced token sales during volatile periods. These assets are managed by Galaxy Digital, the company’s official asset manager.

SuiUSDE: Native Stablecoin with Revenue-Sharing Model

The first and most significant operational step is the launch of SuiUSDE, a native stablecoin that generates yield. This product was developed through close collaboration between Sui Group, Sui Foundation, and Ethena, a DeFi protocol proven on Ethereum. SuiUSDE is scheduled to launch in early February and is one of the early adoptions of Ethena’s white-label technology on a non-Ethereum network.

The revenue model designed for SuiUSDE is highly attractive: 90% of the generated fees will flow back to Sui Group Holdings and Sui Foundation to be used in two ways—buybacks of SUI on the open market or reinvestment into the native Sui DeFi protocols. Mackintosh explained that this approach allows Wall Street to better understand and accept this product compared to traditional altcoins.

The SuiUSDE stablecoin is projected to be integrated across the ecosystem, from DeepBook, Bluefin, and Navi, to decentralized exchanges like Cetus. Additionally, this product will serve as collateral backing in various protocols. Discussions are ongoing with key players like Pendle to attract DeFi users seeking sustainable yields, replicating the momentum that has driven significant growth for Ethena within the Ethereum ecosystem.

Generating Sustainable Yield from the DeFi Ecosystem

Sui Group’s transformation from a buy-and-stake company into an operational entity can be seen from the revenue agreements it has signed with Bluefin, a leading perpetual futures platform on the Sui network. The company receives a fixed percentage of each trading fee generated by the platform, creating a steady recurring revenue stream. Mackintosh’s explanation is spot on: “Perps are the main use case in crypto. We have transformed into an operational business that not only holds assets but also generates revenue from perpetual futures DEX.”

Two additional ecosystem deals are in the final stages, demonstrating a mature revenue diversification strategy. While basic SUI staking yields around 2.2%, Mackintosh believes that Sui’s structural design makes it fundamentally deflationary. The network has a fixed maximum supply of 10 billion tokens and implements a fee-burning mechanism, setting it apart from inflationary networks like Solana and Ethereum.

If Sui Group manages to push its effective yield to around 6% through a combination of staking and operational income from stablecoins and perpetual futures, Mackintosh is confident that SUI per share will experience significant growth over the next five years, even before considering price appreciation. This combination creates an attractive compounding opportunity for investors.

Risk Management and Capital Discipline Amid Market Volatility

In an interview with CoinDesk, Mackintosh compared Sui Group’s strategy with other DATs that faced difficulties during recent market volatility. Many digital asset treasury companies were forced to sell part of their crypto holdings and recalibrate their strategies due to ongoing market pressures.

Sui Group takes a different approach by repurchasing 8.8% of its outstanding shares while maintaining cash reserves of around $22 million. This flexibility allows the company to make strategic decisions without rushing or being forced by unfavorable market conditions.

“We have been patient, we have used cash effectively, and we are not chasing financial engineering,” Mackintosh revealed. “Discipline is important in this market.” This conservative approach is reflected in their initial decision to withhold $60 million from the total funds raised—a strategy that has proven valuable in protecting the company from forced sales.

Long-Term Vision: Key Economic Player in the Sui Ecosystem

Looking into 2026, Sui Group’s focus remains singular and clear: to position the company as the most significant economic player within the Sui ecosystem while providing public investors with more transparent and straightforward access to ecosystem growth. The role of the Head of Investment in guiding this strategy becomes increasingly important, given the complexity and opportunities available in the evolving DeFi landscape.

A holistic strategy combining asset accumulation, stablecoin operations, revenue streams from DeFi, and disciplined risk management creates a strong foundation for long-term growth. Mackintosh has demonstrated that in the dynamic crypto industry, strategic leadership and measured execution can distinguish between success and failure in building a sustainable digital asset treasury.