What is Pi Network?

Introduction to Pi Network

Pi Network is a mobile-based cryptocurrency mining platform that has sparked both enthusiasm and skepticism in the crypto community. Launched in 2019 by Stanford graduates, it allows users to mine Pi coins on their smartphones, making it accessible to a wide audience. With over 40 million registered users, Pi Network aims to be a user-friendly, eco-friendly, and inclusive digital currency.

The project utilizes the Stellar Consensus Protocol (SCP) for its blockchain, which is designed to be efficient and suitable for mobile devices. Pi Network has been in development for several years, with its mainnet launching on February 20, 2025. Following the launch, Pi coins are now tradeable on several cryptocurrency exchanges, marking a significant milestone for the project.

However, Pi Network has not been without its controversies. Some have labeled it a potential scam due to delays in the mainnet launch and the uncertainty surrounding the value of Pi coins. Critics argue that the project may not provide real value to users, while supporters point to its large user base and ongoing development as signs of its potential.

As of early 2025, Pi Network is at a critical juncture. With the mainnet now live and coins available for trading, the project's success will depend on its ability to build a robust ecosystem and gain widespread adoption. Whether Pi Network will fulfill its promise or falter remains to be seen, but it continues to be a topic of interest and debate in the cryptocurrency space.

Survey Note: Detailed Analysis of Pi Network Introduction

Pi Network, initiated on March 14, 2019, by Stanford graduates, aims to create a decentralized cryptocurrency, Pi, mineable via mobile phones without significant energy consumption. This survey note compiles a comprehensive introduction based on recent online discussions, official sources, and technical details, reflecting the project's status as of March 2, 2025. The analysis considers its history, technology, user base, current developments, and controversies, providing a balanced view for a layman audience.

Background and Context

Pi Network operates on a social mining model, using a consensus algorithm adapted from the Stellar Consensus Protocol (SCP) and Federated Byzantine Agreement (FBA), ensuring accessibility without traditional mining hardware. With over 40 million registered users claimed, the project is in its Mainnet phase, launched on February 20, 2025, and Pi Coin is now tradeable on certain exchanges. Recent X posts and Reddit threads highlight user curiosity about its legitimacy, value, and trading potential, especially post-mainnet launch discussions.

History and Launch

Pi Network was officially launched on Pi Day, March 14, 2019, by a core team dedicated to building a novel, mobile-mined social cryptocurrency and a Web3 ecosystem. The project began as an alpha prototype in December 2018, onboarding initial Pioneers, and published its white paper on launch day, symbolizing the mathematical constant π (3.14). As of January 2025, it has over 70 million users worldwide, according to Pi Network Project - Wikipedia.

Technology and Mining Mechanism

Pi Network uses SCP, based on FBA, enabling user-friendly, mobile-first mining without energy waste, unlike Bitcoin's Proof of Work. The mining mechanism has different formulas for pre-mainnet and mainnet phases. In the mainnet phase, effective March 2022

This mobile-friendly design reduces energy consumption, highlighted in comparative studies, such as by Miguel Arcos-Argudo, contrasting ecological and economic methods of cryptocurrency mining.

User Base and Accessibility

With over 40 million registered users, Pi Network promotes cryptocurrency mining for anyone with a smartphone, aiming to lower barriers to entry. The app, available on Google Play (Pi Network Google Play) and Apple App Store (Pi Network App Store), requires daily check-ins for mining, with boosts from security circles and referrals, using no significant phone resources, as per Pi Network Support.

Current Status and Recent Developments

The mainnet launched on February 20, 2025, at 8 AM UTC, with 19 million Pioneers completing KYC and 10.14 million migrated to the mainnet, over 100 mainnet-ready applications, as per Pi Network Mainnet Launch. Pi coins are now tradeable on exchanges like OKX, gate.io, and Bitget, with trading volumes reaching $3.47 billion in 24 hours, according to Pi Network Price Chart. Recent news includes a 270% surge post-mainnet, speculation on Binance listings, and KYC process improvements, as reported in Pi Network Recent News.

Controversies and Criticisms

Pi Network faces significant controversy, with accusations of being a scam due to delayed mainnet launches and uncertainty about Pi coin value. Critics, like Bybit CEO Ben Zhou, cite a 2023 police notice calling it a 'scam that preys on the elderly,' as per an X post (Bybit CEO X post). Articles like Is Pi Network a Scam? suggest it provides no value, operating like a pyramid scheme, while Pi Network Legit or Scam? notes over 60 million users but questions investment potential. Supporters argue its large community and active development, with over 80-85 dApps ready, indicate legitimacy, as per Pi Network Exchange Listings.

Economic Model and Value

The economic model outlines a total max supply of 100 billion Pi, with 80% to the community (65 billion for mining rewards, 10 billion for community organization, 5 billion for liquidity pools) and 20% to the core team, as per the white paper. Pi [IOU] trades at $1.67 USD with a 24-hour volume of $102.58 million, but mainnet launch prices saw volatility, dropping to $0.76 post-launch, according to Pi [IOU] Price Today. Analysts predict prices from $10 to $80 in 2025, depending on market conditions, as per Pi Network Price Prediction.

An unexpected finding is the significant role of community engagement, with security circles and referral bonuses driving mining rates, not just technical aspects. This social aspect, detailed in FAQs, adds a unique layer to Pi Network's model, differing from traditional cryptocurrencies, as per Pi Network Support.

Conclusion

Pi Network is a controversial yet promising project, launched in 2019, with a mainnet live as of February 20, 2025, and Pi coins now tradeable. Its mobile-first approach and large user base contrast with scam allegations and value uncertainties, making it a topic of debate. The project's future hinges on ecosystem development and adoption, with both critics and supporters presenting valid arguments.