The launch of the Pi Network mainnet on 20/02/2025 has sparked many speculations about its potential listing price. This is becoming one of the most anticipated launch events in recent cryptocurrency history.
As we approach the mainnet launch, here are the top five facts about Pi Network that users need to know before investing.
Pi Coin Tokenomics
The total supply of Pi is capped at 100 billion tokens, distributed as follows:
- Mining Rewards (65%): Approximately 65 billion Pi are reserved to reward users who contribute to the network through activities such as mobile mining, referrals, and running nodes.
- Ecosystem Building (10%): Approximately 10 billion Pi are allocated to support community initiatives, develop Decentralized Applications (dApps), and other ecosystem-enhancing projects.
- Liquidity Pool (5%): Approximately 5 billion Pi are allocated to provide liquidity for transactions within the Pi ecosystem.
- Core Team Allocation (20%): The remaining 20 billion Pi are allocated to the Pi Core Team as a reward for their efforts in developing and maintaining the network. This allocation follows a vesting schedule aligned with the distribution to the community.
As Pi Network approaches its mainnet launch, the Pi Core Team has not yet publicly disclosed the exact number of tokens that will be unlocked at that time.
As of December 2024, approximately 562 million Pi coins have been unlocked and are in circulation.
Notably, a large number of Pioneers (users who mine Pi using the mobile app) have chosen to lock up their tokens for an extended period. Many have even opted for a three-year lock-up.
Pi Network Accused of Data Breach
In May 2021, there were reports of a large data breach involving around 17 gigabytes of personal information of approximately 10,000 Vietnamese citizens. The compromised data included national ID card information, home addresses, phone numbers, and email addresses.
Meanwhile, the individual responsible for the leak claimed that the data was taken from Pi Network. However, the project has denied these allegations.
According to the project, a third-party service, Yoti, had conducted their KYC (Know Your Customer) processes. Yoti also stated that Vietnamese national ID cards were not stored on their servers.
"Pi Network or its third-party KYC provider had no involvement in the recent data breach of Vietnamese national ID cards. Pi Network has never requested or collected such data, and our third-party KYC provider does not accept this type of ID document," the project wrote in 2021.
Subsequently, an internal investigation by Pi Network found no evidence of a data breach from their side. Yoti also denied any involvement in the data leak.
Pi Linked to China's Largest Pyramid Scheme
Pi Network has faced significant scrutiny in China, with allegations that it operates as a multi-level marketing (MLM) or pyramid scheme model. The platform utilizes a referral system, where users can accelerate their mining by inviting others.
In July 2023, the Public Security Bureau of Hengyang City, Hunan Province, labeled Pi Coin as a scam. The bureau emphasized that Pi Network relies on a hierarchical referral mechanism, creating layers of participants where referrers benefit from bringing in new users.
"PI Network is not related to any real project and will soon collapse. Be careful as CABAL is trying to create a meta from the Pi Network brand 2025," analyst MASTR wrote on X (formerly Twitter).
This model aligns with the characteristics of pyramid schemes, which are illegal under Chinese law. Some industry leaders like Colin Wu and AB Kuai.Dong have warned about the legal risks of participating in Pi Network in China.
To address this, Pi Network has implemented restrictions on Pi coin transactions in certain regions, including mainland China. Exchanges like OKX have confirmed that Pi Network requires a separate listing method.
"PI is the largest pyramid scheme in the Chinese-speaking world. Since mobile phones can be used for direct mining, the threshold is very low. As the number of users increases, the mining rewards will gradually decrease. But the downside is that it involves a pyramid scheme and gambling, and there have been many cases related to the police in various places," wrote AB Kuai.Dong.
Pi Network Among Top 5 Most Popular Crypto Projects
Even without a mainnet launch and with continuous delays, Pi Network is currently the 5th most followed cryptocurrency project on X (formerly Twitter). The project currently has 3.7 million followers, surpassing Ethereum, Solana, and other popular blockchain networks.
Top crypto-related app in South Korea. Source: X/MobileIndexIt is also one of the most popular cryptocurrency applications in South Korea and India. The project's mobile app has over 100 million downloads on the Google Play Store.
Pi Coin Initial Price
The over-the-counter (OTC) price of Pi Network is $2 per Pi token. These are peer-to-peer transactions where users exchange Pi informally without a formal listing on an exchange.
However, the current IOU (I owe you) price is around $64. IOU is a speculative price on exchanges like HTX (formerly Huobi), where traders are anticipating the future price before Pi can be traded.
Most importantly, Pi Network has over 45 million users participating, making it one of the largest cryptocurrency communities. Activity on social media and search trends show strong interest from retail investors.
Currently, a large portion of Pi is locked due to voluntary lockup stages set by users. With these factors, BeInCrypto analysts predict that the Pi coin will trade in the range of $30 - $50 on the mainnet launch day.
