DATA Network is shutting down its standalone Layer 1 blockchain to run natively on Sui, backed by a $30 million investment from the Sui Foundation. Formerly known as Story Protocol, the project rebranded in June 2026 to focus on AI training data provenance and rights management through its Trace registry. Under the partnership, DATA Network will integrate with decentralized storage protocol Walrus, while DATA token holders transition on a 1:1 basis.
DATA Network migrates protocol to Sui
- ▪DATA Foundation said DATA Network's existing DATA token will move to the Sui blockchain on a one-to-one basis
- ▪DATA Foundation said DATA Network will retire its independent Layer 1 blockchain and migrate its protocol to run natively on Sui
Sui partnership and migration reveal
- ▪Sui Foundation's $30 million investment in DATA Network's protocol migration strategic partnership makes Sui Foundation DATA Network's largest institutional holder alongside existing stakeholders PIP Labs and DATA Foundation
- ▪Sui co-founder Eman Abio revealed DATA Network's protocol migration to Sui on October 8, 2026, during Sui ecosystem events
Foundation rationale for chain retirement
- ▪A DATA Foundation spokesperson stated that operating a dedicated blockchain for DATA Network's single use case created unnecessary expenses for network security, validators, and infrastructure
- ▪A DATA Foundation spokesperson stated that building storage and access control at scale would have meant rebuilding Sui's existing infrastructure in Walrus and Seal
Mysten Labs on AI data requirements
- ▪Mysten Labs Chief Product Officer Adeniyi Abiodun stated that the AI industry's next frontier requires access to datasets with regulatory consent and provenance
- ▪Mysten Labs Chief Product Officer Adeniyi Abiodun stated that migrating DATA Network and Trace to Sui supplies AI labs with rights-cleared data meeting regulatory consent standards
Trace registry tracks AI data provenance
- ▪DATA Network's architecture registers data provenance on-chain without exposing raw underlying datasets
- ▪DATA Network launched its Trace registry in June 2026 to track origins and licensing rights for AI training data while settling payments to contributors
- ▪DATA Network's Trace registry logged over 250 million data registrations between June 2026 and October 2026, averaging over 3 million receipts per day
Story Protocol background and rebrand
- ▪During the June 25, 2026 rebrand from Story Protocol to DATA Foundation, holders of Story Protocol's IP token migrated to DATA Foundation's DATA token on a 1:1 basis
- ▪DATA Network originally launched in February 2025 as an EVM-compatible Layer 1 blockchain supporting programmable intellectual property and automated licensing
Debatable claims
- ▪On-chain metadata registration provides sufficient verification for AI training dataset consent
- ▪Operating a dedicated layer 1 blockchain for a single application creates unnecessary overhead
- ▪Financial grants from ecosystem foundations drive protocol migrations more than technical requirements
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