For a moment, Pi Network looked unstoppable. Millions of users flocked to the app, hoping to mine tokens that could one day rival the giants of crypto.
The dream peaked in February, when news of the project’s long-awaited mainnet launch sent the token briefly soaring toward 3 dollars. For many, it was proof that Pi had finally entered the real world.
But by September, that optimism had vanished. The token now trades near 0.34 dollar, erasing nearly 90 percent of its value. Behind the price collapse lies a tangled web of technical issues, governance concerns, and deep questions about transparency that have shaken faith in the once-celebrated project.
Growing Doubts Around a Centralized “Decentralized” Network
Supporters of Pi Network were promised a community-driven ecosystem built on fairness and accessibility. Instead, developers have been accused of maintaining complete control. Every validator on the network still operates under the project’s supervision, leaving no active independent nodes. Critics argue that Pi resembles a walled garden rather than an open blockchain.
Questions about token distribution have only fueled the skepticism. The whitepaper’s 100 billion supply target looks increasingly vague, with unclear release conditions that make tracking circulating tokens nearly impossible. A single wallet, reportedly holding more than 331 million Pi, has become a lightning rod for suspicion about whether insiders maintain overwhelming control.
Listing Roadblocks and the KYC Controversy
Despite its massive following, Pi remains absent from major exchanges such as Binance or Coinbase. It’s traded only on smaller venues like OKX, Bitget, and MEXC – platforms that often label Pi as “pre-mainnet” or “unofficial.” Exchange executives privately cite lingering questions over the project’s structure and governance as reasons for their hesitation.
Then there’s the KYC process, which has drawn heavy criticism for requiring both ID scans and biometric selfies. Because this sensitive information is stored on centralized servers, users and privacy advocates fear potential misuse or data leaks. What was supposed to symbolize progress toward legitimacy has instead raised alarm over centralization and personal data control.
The Paradox of Pi’s Popularity
And yet, Pi Network remains wildly popular. The app’s simplicity – mobile mining that requires no technical knowledge or investment – continues to attract millions, particularly in countries where traditional banking access is limited. Mining Pi is as easy as tapping a button once a day.
The project’s success lies not in blockchain innovation but in social engineering. Users, branded as “Pioneers,” are motivated by gamified mining streaks, referral rewards, and community events like PiFest and Map of Pi. Regular announcements about upcoming integrations or developer campaigns keep excitement alive, even when progress lags.
The Future: Revolution or Mirage?
For now, Pi Network sits at a crossroads. Its narrative of inclusivity and empowerment still resonates, but the technical foundation appears fragile. Without true decentralization, clearer supply data, and stronger privacy guarantees, Pi risks being remembered not as a revolution but as a cautionary tale.
What keeps the project alive is not the price of its token but the persistence of belief – belief that someday, the clicks will pay off and the promised network will finally go public. Whether that hope transforms into reality or fades into another crypto myth will define Pi’s legacy in the years ahead.
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Alex is an experienced financial journalist and cryptocurrency enthusiast. With over 8 years of experience covering the crypto, blockchain, and fintech industries, he is well-versed in the complex and ever-evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His approach allows him to break down complex ideas into accessible and in-depth content. Follow his publications to stay up to date with the most important trends and topics.
Source: https://coindoo.com/pi-network-news-price-collapse-exposes-deep-flaws-in-the-project/