The cryptocurrency known as Pi Coin, operated by the Pi Network, launched its mainnet on February 20, 2025, marking the end of its closed testing phase and enabling trading on major exchanges for the first time. Despite initial excitement, the launch quickly turned sour as the token suffered significant declines, leading to discussions about its valuation and long-term viability.
Upon opening at around $1.84, Pi coin saw its price crash to approximately $0.64 within hours. This dramatic price drop raised alarm bells about liquidity issues and the project’s overall stability. The launch, heralded by many as pivotal for the Pi Network—which allows mobile users to mine coins directly through their smartphones—prompted massive trading activity across platforms like OKX, Bitget, and MEXC. Yet instead of maintaining momentum, the price plummeted due to overwhelming selling pressure from early adopters.
Liquidity concerns have been particularly pronounced, with analysts noting how major exchanges struggled to manage increased trading volumes. "The lack of liquidity is making PI’s market highly unstable," noted one analyst. It became evident just how fragile the market structure was, with even large trades leading to significant price fluctuations. The 2% market depth on OKX suggested traders struggled to execute large transactions without impactful price effects, indicating insufficient real demand for the token.
Critics have been vocal about their concerns, including Bybit CEO Ben Zhou, who blasted the Pi Network as being akin to a scam. He cited warnings from Chinese authorities labeling the project as possibly targeting fragile populations. Zhou's aggressive comments reflect broader skepticism about Pi's legitimacy, especially as early miners rushed to cash out their holdings after years of accumulating tokens. "Bybit had made no listing request to $PI, and the claim...is completely nonsense," Zhou posted, chastising the Pi Network for dismissing legitimate concerns.
With the Pi Network's setup allowing users to mine coins without any pre-launch investment, many had hoped for substantial gains at launch. Unfortunately, many long-time supporters quickly found themselves disillusioned as the token's value collapsed. Crypto commentator Kim Wong described the launch dynamics as disappointing due to insufficient buy orders and notable lack of major capital inflows. Wong noted, though, there remains cautious optimism: "If institutional players come in, there might be potential for rebound."
Meanwhile, valuation perspectives have revolved around comparisons with more established cryptocurrencies like Stellar's XLM. Analysts point out significant discrepancies between Pi’s fully diluted valuation of $65 billion and Stellar’s estimated $17 billion. This raises questions about Pi’s future stability; some theorists suggest up to 70% declines could be necessary before the token reaches parity with foundational technologies.
Another avenue within the Pi Network community proposes the idea of establishing what they dub Global Consensus Value (GCV) at approximately $314,159 per Pi token—an amusing nod to the mathematical constant π. Supporters see this as just the beginning, contingent on community engagement and adoption as actual utility develops. This ambitious forecast contrasts sharply with prevailing market skepticism. "GCV is a vision, not a market price. Pi will likely start at exchange rates & increase gradually with adoption," remarked one user on X.
The overwhelming selling pressures immediately following launch were exacerbated by operational issues and growing market anxieties. A staggering number of early adopters were unable to access their coins due to KYC verification delays. Estimates suggest as many as 73% of Pi Network’s user base had yet to complete this prerequisite, hinting at more potential pressure on prices as they finally gain access to their tokens.
Adding to the fray, concerns over inflation were articulated within the Pi Network’s own whitepaper, which mentions the possibility of continued token distribution even after the initial total supply ceiling of 100 billion coins is reached. Analysts warn such scenarios could seriously undermine the currency's market credibility, especially when compounded by the lack of strong real-world applications, with only about 80 dApps confirmed active within the ecosystem.
Looking forward, the project faces tough scrutiny as it attempts to stabilize its value. Proposed measures include lock-up programs for users willing to secure their holdings for extended periods, which somewhat resembles strategies employed by projects such as HEX. Although this might temporarily stabilize prices, analysts caution it doesn’t fundamentally address liquidity issues.
Despite setbacks, industry speculation surrounds potential future listings on top-tier platforms like Binance and Coinbase. Such moves would be pivotal, injecting desperately needed liquidity and more significant investor interest. Yet, without solid tokenomics and clarity surrounding insider trading rumors, doubts persist about Pi Network overcoming its initial tumult.
Conclusively, Pi Network’s mainnet launch was anticipated as seismic within the cryptocurrency community, yet immediate outcomes reveal vulnerabilities and heighten scrutiny over its operational logistics. The road to recovery appears fraught with challenges; only time will tell if Pi Network can establish meaningful trading patterns, or if it will join the growing list of crypto cautionary tales.