Pi Coin has recently achieved a remarkable $12 billion market capitalization, but with disappearing tokens, migration issues, and swirling rumors of a Binance listing, are we witnessing the dawn of something significant — or the onset of a gradual decline?
Pi Coin’s tumultuous journey in the market
Pi Network, an ambitious smartphone mining initiative that claims to have attracted an impressive 60 million users, has achieved what many deemed improbable: a comprehensive mainnet launch and the introduction of a tradable token.
When Pi Coin (PI) officially entered exchanges on February 20, the market reaction was nothing short of a thrill ride. Starting at approximately $1.45, the token soared over 35% within the first hour, hitting a peak of $2.10.
However, just as quickly as it climbed, enthusiasm began to dissipate, and within hours, the price dropped to $1.01, reducing its market cap to $7.02 billion.
Fast forward a few weeks, and Pi Coin has started to exhibit signs of stabilization, albeit with a fair amount of volatility. As of March 12, the price settled at $1.71, which is about a 45% decrease from its peak of $2.99 on February 26.
Nevertheless, the token’s market capital has expanded considerably, now reaching $12.26 billion. This notable increase has positioned Pi Coin as the 11th largest cryptocurrency by market cap—quite an achievement for a project that just recently became tradable.
Moreover, in the past 24 hours, Pi Coin has outperformed the overall bearish market, posting a remarkable 20% gain — the highest rise among the top 100 cryptocurrencies. With trading volumes surpassing $500 million, it has also emerged as the most popular coin at the moment.
The rapid ascent of Pi Network has drawn parallels to past viral phenomena such as SafeMoon, which gained traction via vigorous marketing and referral incentives. But is Pi’s upward momentum sustainable, or is it merely another transient fad?
Let’s delve into the events that have transpired since the mainnet launch and token release of Pi Coin—and how it has ascended to become the 11th most valuable cryptocurrency.
A daring experiment or the next cryptocurrency downfall?
Pi Network was conceived with a straightforward yet ambitious goal: to make cryptocurrency mining accessible to all smartphone users.
In 2019, Stanford alumni Dr. Nicolas Kokkalis and Dr. Chengdiao Fan founded the project to eliminate the barriers associated with traditional mining, which typically requires costly hardware and high energy usage.
Opting for the Stellar Consensus Protocol instead of the proof-of-work system used by Bitcoin (BTC), Pi Network enables users to mine coins through a simple daily tap, significantly reducing energy consumption.
This low-effort approach led to rapid user adoption, enticing millions through a referral-based sign-up model. While this strategy accelerated user acquisition, it faced scrutiny for having similarities to a multilevel marketing scheme, as users received additional incentives for enrolling new members.
After years of development, Pi Network’s mainnet finally launched on February 20, allowing its native token, Pi Coin, to be exchanged and traded on various exchanges for the first time.
This transition followed a lengthy testing phase that kicked off with a closed mainnet launch in December 2021, where users verified by KYC could engage within the ecosystem but were unable to trade externally.
The switch to an open mainnet marked a pivotal moment, sparking a wave of exchange listings. OKX became the first major platform to support Pi by opening deposits on February 12 and starting spot trading on February 20.
Shortly thereafter, other exchanges, including Bitget, Gate.io, and MEXC, joined in, with Gate.io quickly establishing itself as the top trading venue, recording over $200 million in trading volume in the last 24 hours.
Despite this rapid growth, Pi Coin has yet to make its presence felt on leading exchanges like Binance, Coinbase, Upbit, and Kraken, limiting its access to the largest liquidity pools.
Speculation intensified with rumors suggesting that Binance might list Pi Coin on March 14 — a date that coincides with both Pi Day and the project’s six-year anniversary.
While no formal announcement has been made, this potential listing has sparked new excitement in the market, as many see it as a pivotal opportunity for Pi’s liquidity and mainstream acceptance.
A major exchange CEO labels Pi Network a scam
The launch of Pi Coin was undoubtedly a significant milestone for its followers, but it hasn’t been without controversy.
Bybit, a leading cryptocurrency exchange recently in the spotlight due to a $1.5 billion hacking incident, expressed its disinterest in associating with Pi, with CEO Ben Zhou even going so far as to brand it a scam.
Zhou expressed concerns regarding Pi Network’s operations, particularly regarding data privacy and potential pension losses, which fueled doubts about the project’s true intentions.
He also made it clear that Bybit had never sought to list Pi Coin and dismissed any claims to the contrary as unfounded.
The Pi community’s backlash was immediate, but Zhou stood his ground, reiterating in a recent interview that he sees Pi as more dangerous than mere memecoins, which operate with the understanding of their speculative nature. In his view, Pi misleads users with claims of easy profits through a seemingly arbitrary mining process lacking transparency.
Zhou highlighted that despite Pi Network claiming to be supported by a Stanford-connected team, there has been no public verification of these figures to validate the project’s credibility.
He further challenged the leadership of Pi to provide transparency rather than launching unfounded attacks against him and Bybit.
Apart from these issues, Zhou suggested that Pi Network resembles a Ponzi scheme where early adopters profit at the cost of later participants.
He also raised questions about the long-term sustainability of the project, pointing out that despite its years of existence, it has not fulfilled significant promises.
While Pi Network presents itself as a means to democratize mining, Zhou contended that it has not clarified how its ecosystem generates sustainable value, leaving many users disillusioned despite years of mining efforts.
In response, the Pi team released a statement attempting to clarify the situation. They distanced themselves from the Chinese police warning, stating that it was aimed at malicious actors misusing the Pi brand, not at Pi Network itself.
The Pi team insisted that the warning was unrelated to the core team, attributing it instead to unauthorized individuals misusing the Pi name.
They refuted any accusations of misconduct, emphasizing that for the last six years, they have methodically worked to create a legitimate ecosystem.
Additionally, they denied any connection to the social media account that criticized Zhou, pointing out that neither Pi Network nor its team had made comments about Bybit or its leadership.
Disappearing tokens and postponed migrations
The initial excitement surrounding the launch of Pi Coin has rapidly shifted to frustration as rising concerns about security and migration challenges have intensified scrutiny on the project.
“Pi is a SCAM!!!!” one user lamented on social media after noticing their Pi balance disappeared upon unlocking. Frustration mounts as more Pioneers—dedicated users of Pi—watch their hard-earned tokens vanish without recourse.
“One tragic reality is that naive Pioneers are facing,” another user shared. “The moment their Pi unlocks, it goes straight to a scammer’s address.”
Many victims unknowingly interacted with fraudulent Pi-related sites in the past, and now those earlier missteps are haunting them just as their tokens become transferable.
“The scam phishing sites are becoming increasingly sophisticated,” one user noted, cautioning that the current layout allows attackers to closely mimic the Pi Browser interface. “Even seasoned users might fall prey to those fake sites.”
Yet, the discontent isn’t solely tied to security problems. Many Pioneers are also grappling with the difficulty of migrating their Pi to the mainnet ahead of the March 14, 08:00 UTC cutoff.
“I’ve completed the mainnet checklist. I’ve been waiting weeks to migrate,” one Pioneer expressed. “I’ve tried everything to rectify this issue. Pi has not been helpful. This must be resolved, or the deadline should be extended.”
A blockchain developer went as far as to call out Pi Network, deeming their migration process “fraudulent and misleading,” and urged regulators to launch an investigation.
He emphasized that while other blockchains like Solana (SOL) and Polygon (POL) can handle thousands of transactions per second, Pi users have suffered long wait times — some for months or even years — to simply shift their tokens.
“Their infrastructure isn’t visible. You can’t see how the queue functions. There’s no decentralization. It’s merely the core team wielding control, he stated.”
Beyond the technical difficulties, millions of users have provided sensitive personal information, including government IDs and passports, to complete KYC requirements—yet they find themselves stuck without access to their funds.
The frustration is further exacerbated by Pi Network’s approach to the unfolding crisis. The core team has remained largely reticent, issuing sporadic statements while offering little in terms of actionable solutions.
Although some defenders argue that these delays are part of a structured rollout, critics contend that after six years of development, such explanations are losing credibility.
With the migration deadline fast approaching, tensions are escalating. Some are demanding prompt resolutions, while others are urging regulatory bodies to get involved, filing reports with authorities like the SEC and FTC.
Amid these issues, there are still those who have faith in the project’s vision, hopeful that the core team can rectify the situation.
Yet, if Pi Network doesn’t act swiftly to address these concerns—if users continue losing their tokens, migration problems remain unresolved, and trust continues to diminish—it may not be long before even its most ardent supporters begin to turn away.