Unlocking the frozen funds requires an on-chain vote, but the centralized distribution of SUI tokens may influence the outcome, potentially limiting the effectiveness of decentralized decision-making.

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Following Wednesday’s action by Sui validators to freeze stolen assets, Cetus has formally requested community approval for a protocol upgrade that would return the locked funds without reversing transaction history or rolling back the blockchain.

Meanwhile, some users think the voting itself might be a charade. They noted that only 3.2% of SUI supply went to the public while half went to venture capital firms and insiders who have been staking all their tokens. Thus, they believe that these VC firms will determine the outcome of the vote, and individual stakers will not influence the final decision.

However, the centralized distribution of SUI tokens makes it likely that the foundation controls the outcome of the vote, turning democracy into a mere facade.

The founder and CIO of Cyber Capital, Justin Bones, notes that such a move makes Sui a centralized network, while claiming that its founders own the majority of supply and “there are only 114 validators.”

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