Pi Network: Is Pi Coin worth anything?
We have written two articles on Pi Network so far.
- Pi Network is gaining traction – is it worth mining?
- Should I mine Pi Network Coin? Critical factors to consider
Last updated: 12-September-2020
Update: When will Pi Coin list on exchanges? Mine before the rates are slashed
At this point, some people call this project a scam and others believe it to be the next bitcoin. Our views are somewhere in the middle.
Let us explain.
We do not think it is a scam because they are not asking for money and they are not promising the moon in the next month. When you install the app and mine the Pi Network coin it doesn’t consume your data or battery.
The project simply aims to make crypto accessible to all. Even to those without any specialized mining rigs. That in our mind is a good goal to have in the crypto space.
It is not the next bitcoin, at least not yet, because it has to launch the mainnet and we have to see if people actually start using Pi Network coin in real life.
However, here are the facts:
- Pi Network app has been downloaded more than 1 Million times
- Pi Network node applications have crossed over 100,000
- The rate at which one can mine the Pi Network coins follows halvening protocol similar to bitcoin
- Team will implement KYC process, using a third party vendor, before people are able to transfer their Pi Network tokens
Their roadmap includes:
- Aim to build Trust graph on the app (similar to Yelp or Amazon reviews)
- Introducing ‘one ad per day’ that should get it some traction from the advertisers and the app users who stand to gain rewards
- They also have plans to introduce barter marketplace
- Obviously, as a blockchain solution – Pi Network will support Decentralized Applications (DApps)
The team behind Pi Network seems to be decent and knowledgeable about cryptography. They are also inviting applications for people to join the team. Dr. Nicolas Kokkalis, Head of Technology, is a “Stanford PhD and instructor of Stanford’s first decentralized applications class; combining distributed systems and human computer interaction to bring cryptocurrency to everyday people.”
How much is Pi worth?
As the mainnet has not yet launched and since the Pi coins cannot be on any exchanges yet, to put a dollar value we have to look at how much the Pi IOUs are trading at the moment. I Owe You (IOU) are unofficial agreements agreeing to honor a contract in the future.
As of this writing, the Pi IOUs are trading at 36 cents with a trading volume of $1,576,377.
Trading of these IOUs started in November 2019 at around 5 cents each with a volume of $182,000; the price of these IOUs and trading volume have since picked up and have reached $1.5 million dollars.
Our efforts to confirm the trading volume were futile. So please be careful in interpreting the above information.
Is it worth mining Pi?
As the Pi Network app doesn’t consume user data or drain battery, we see no downside in participating in the ecosystem. We are assuming that both iOS and Android would have done their due diligence to ensure that the app is safe and stable.
And if you have 10 friends join using your referral – that will increase your mining power to above 1 Pi per hour, that’s, 24 Pi per day.
If the Pi coin holds its IOU prices after the mainnet launch and once it starts trading on the exchange, each day you ‘activate’ Pi Mining on your app with 10 friends in your network will fetch you around $8.6 per day.
As we mentioned earlier, Pi Network uses a halvening system, as such, as soon as the user base grows to 10 Million the rewards rate will be slashed making the Pi coin more dear.
When can I withdraw my Pi?
Users have to wait for the mainnet launch and go through a Know Your Customer (KYC) verification process to be able to move their Pi coins.
We can expect to see a dump as soon as the coins are released, assuming they will be listed on some exchange. However, if the project builds its utility and continues to gain traction among the mobile users, we might see a sturdy increase in price and trading volume.
Will my Pi coin grow in value by 2025?
Whether Pi coin will be worth anything in 2021 or beyond, even 2025, will depend on how the project pans out.
If the people participate actively on the Pi Network app, advertisers see value in placing ads on Pi Network app, and people use the Pi coin (not just hoard) to exchange value over the app, then Pi coin can be worth something.
If Pi Network app succeeds to attract 100 million downloads – it will put it in the ranks of biggest crypto based projects on the market. With a smartphone user base of that size Pi Network can hope to join the ranks of top 100 coins or better. And that will be a good milestone for Pi Network.
Remember, this is an experiment, similar to bitcoin
Bitcoin was a massive social experiment with nothing behind it to prove its validity. It passed in flying colors.
Treat Pi Network as an experiment because it is. Will it be successful? Well we have to wait for the project to launch and prove itself. At least, Pi Network has the 10+ years lessons taught by Bitcoin and the team that seems to understand the technology.
New here? Watch this Pi Network Introduction
When will Pi Coin list on exchanges? Mine before the rates are slashed
As it turns out, even BitBoy refers to our article for information. You can see that in the below video CryptoTapas article is being referenced when talking about Pi Network.
In this video, BitBoy hints that the team is working on the exchange listing and that we could soon see Pi Coin on an exchange. However, this information has not been confirmed by the team or on any official channels.
Those thinking to get into Pi Coin might want to start mining while the rates are still good.
Pi Network presses – app now runs blockchain
“We’ll initially enable the blockchain container to only Node candidates running (i) Windows 10 Home or Pro that are upgraded to the latest version from Microsoft (version 2004) with WSL 2 and using Docker Desktop, (ii) any macOS version with Docker Desktop. In future versions, we will enable this functionality for more operating systems, and we will try to make the blockchain work on Docker Toolbox. The goal is to enable all Node candidates to be able to turn on the blockchain container to follow the testnet blockchain as it evolves,” the update reads.
Thank you for reading and sharing this article. Stay safe and healthy!
We have used referral codes where available.
Everything in this article is an opinion, not an advice of any kind. This material has been prepared for general informational purposes only and it is not intended to be relied upon as accounting, tax, investment, legal or other professional advice. Please consult with a professional for specific advice.
We do not endorse or guarantee the accuracy of the information and claims made.
All product and company names are trademarks™ or registered® trademarks of their respective holders. Use of them does not imply any affiliation with or endorsement by them.