21Shares Launches Spot SUI ETF (TSUI) on Nasdaq, Expanding Regulated Crypto Exposure in US Markets

21Shares, a global issuer of cryptocurrency exchange-traded products, launched the 21Shares Spot SUI ETF (Ticker: TSUI) on Nasdaq on February 24, 2026, providing US investors with regulated exposure to Sui (SUI), the native token of the Sui blockchain.

The fund, which carries a 0.30% expense ratio and is not registered under the Investment Company Act of 1940, follows recent SEC approval and joins a growing lineup of spot crypto ETFs as institutional demand for diversified digital asset access accelerates.

Product Structure and Regulatory Framework

TSUI began trading on Nasdaq following an official listing notice from the exchange. The ETF offers a spot-based structure, meaning its value is directly tied to the underlying SUI token, allowing investors to gain exposure through traditional brokerage accounts without directly holding or managing digital wallets.

The fund is not registered under the Investment Company Act of 1940 and therefore does not carry the same regulatory protections as traditional ETFs and mutual funds. This structure subjects TSUI to heightened volatility and unique risks associated with cryptocurrency investments. The issuer emphasizes that SUI assets are not suitable for investors who cannot afford the loss of their entire investment.

Duncan Moir, President of 21Shares, stated, “Following our successful launch of a leveraged SUI product, the introduction of TSUI represents the next step in expanding access to Sui through a straightforward, spot-based structure. Sui’s rapid ecosystem growth, technical strength, and institutional relevance were clear to us early on.”

Market Context and Institutional Momentum

The launch follows the December 2025 introduction of 21Shares’ leveraged SUI ETF and arrives amid a wave of institutional product filings for Sui exposure. Asset managers including Bitwise, Canary Capital, Franklin Templeton, Grayscale, and VanEck have either launched or announced plans for Sui-related investment vehicles.

Sui’s growing institutional relevance reflects its technical architecture and real-world adoption metrics. The blockchain has processed over $100 billion in stablecoin transfer volume for six consecutive months and recorded $6.5 billion in 30-day DEX volume as of February 2026. Its object-centric design, built using the Move programming language, enables parallel execution, sub-second finality, and horizontally scalable throughput—features designed to support payments, tokenization, and decentralized finance at internet scale.

Evan Cheng, Co-Founder and CEO of Mysten Labs—the original contributor to Sui—commented, “TSUI marks yet another widely-available access point to Sui, leveraging the industry’s preeminent tech stack to support global payments use cases and financial applications at scale. In a little more than two years, Sui has made significant inroads into payments and cross-border settlement, which has transformed it into one of the world’s most robust onchain economies.”

Sui Blockchain Fundamentals and Ecosystem Development

Sui operates as a Layer 1 blockchain designed for scalable finance and global payments, founded by former leaders of Meta’s Diem and Libra initiatives. The network’s object-centric model differentiates it from traditional account-based blockchains by tracking individual objects rather than wallet balances, enabling parallel transaction processing and theoretical throughput exceeding 120,000 transactions per second.

Key technical developments in 2026 include:

• Protocol-level privacy: Native private transactions designed for institutional payments while maintaining regulatory compatibility
• USDsui: A native yield-bearing stablecoin featuring gas-free transfers for retail and institutional users
• DeepBook v3: The ecosystem’s central limit order book introducing margin trading and deeper liquidity for DeFi protocols
• zkLogin: Native social login enabling wallet creation using Google, Twitch, or Apple accounts without seed phrases

The network’s Programmable Transaction Blocks allow up to 1,024 actions in a single atomic transaction, reducing gas costs and improving user experience for complex DeFi operations.

21Shares Expansion Strategy

21Shares has positioned itself as a pioneer in crypto ETPs since listing the world’s first physically-backed crypto ETP in 2018. The company now offers one of the largest suites of crypto ETPs globally, backed by specialized research and capital markets expertise.

Following its acquisition by FalconX, one of the world’s largest digital asset prime brokers, 21Shares maintains independent operations while leveraging FalconX’s resources to accelerate US market expansion. TSUI represents the latest addition to the firm’s growing US product lineup, which includes both leveraged and spot-based exposure to Sui.

FAQ: Understanding the 21Shares Spot SUI ETF

What is the 21Shares Spot SUI ETF (TSUI)?

TSUI is an exchange-traded fund listed on Nasdaq that provides investors with exposure to the price of Sui’s native token, SUI. The fund holds SUI tokens directly and issues shares that trade on the exchange, allowing investors to gain crypto exposure through standard brokerage accounts without managing digital wallets.

How does TSUI differ from the leveraged SUI ETF previously launched by 21Shares?

21Shares launched a leveraged SUI ETF in December 2025 that amplifies daily returns. TSUI is a spot-based, non-leveraged product that provides direct, 1:1 exposure to SUI’s price movements without leverage or derivatives. The spot structure offers a straightforward investment vehicle suitable for long-term allocation rather than amplified daily trading strategies.

What are the key risks associated with investing in TSUI?

The fund carries significant risks including: extreme price volatility of SUI (which could lead to complete loss of investment); lack of regulation under the Investment Company Act of 1940; custody risks related to digital asset storage; and the relatively new and unregulated nature of the SUI asset class. The ETF is not FDIC insured and carries no bank guarantee.

What is Sui’s market position among Layer 1 blockchains?

Sui ranks among the top Layer 1 networks by activity, with consistent transaction throughput, over $1.15 billion in Total Value Locked (TVL), and growing institutional adoption through ETF products from multiple issuers. Its object-centric architecture and Move programming language position it as a competitor to high-performance chains like Solana, with particular strength in gaming, real-world assets, and AI agent applications.

Competitive Landscape and Future Outlook

TSUI enters a rapidly expanding market for single-asset crypto ETFs following the SEC’s approval of spot Bitcoin products in 2024 and subsequent expansion into additional tokens. Sui joins Bitcoin, Ethereum, and Solana as digital assets with multiple ETF offerings in US markets.

The fund’s 0.30% expense ratio positions it competitively among crypto ETPs, with fees below many early Bitcoin ETF offerings. 21Shares emphasizes transparent tools for accessing next-generation blockchain infrastructure as institutional capital continues entering digital assets and stablecoins gain traction as a global payments layer.

As Sui’s ecosystem matures through 2026, market participants will monitor ETF adoption metrics, network activity growth, and the development of institutional use cases including cross-border payments and tokenized asset settlement.