What is Pi Network?

Pi Network is a cryptocurrency project that aims to make mining accessible to everyday users via their mobile phones. It was founded in 2019 by a team of Stanford graduates, including Dr. Nicolas Kokkalis and Dr. Chengdiao Fan.

The core idea behind Pi Network is to allow users to mine Pi coins using a mobile app, without consuming a lot of energy or requiring high-powered hardware like traditional cryptocurrencies (e.g., Bitcoin).

It aims to make cryptocurrency mining accessible to the general public by allowing users to mine its native token, Pi Coin, directly from their smartphones with minimal energy consumption.

Unlike traditional cryptocurrencies like Bitcoin, which require significant computational power and energy, Pi Network uses an energy-efficient consensus mechanism based on the Stellar Consensus Protocol (SCP).

Key Features of Pi Network:

Mobile Mining:
Users can "mine" Pi simply by opening the app and pressing a button once every 24 hours.

This doesn’t actually mine coins in the traditional sense but rather simulates mining while contributing to network security via a trust graph.

Energy Efficiency:
Unlike Bitcoin, which uses proof-of-work, Pi uses a variant of the Stellar Consensus Protocol (SCP), which is far more energy-efficient and doesn’t require intensive computation.

User Roles:

Mobile mining, users mine Pi coins by tapping a button in the Pi Network app once every 24 hours. This process does not drain battery life or require expensive hardware.

User Roles:

• Pioneers: Basic users who mine daily.
• Contributors: Users who add trusted individuals to their security circle.
• Ambassadors: Members who refer new users.
• Nodes: Participants running Pi Node software on computers to further decentralize the network.

It uses eco-friendly consensus mechanism, Pi Network employs SCP, which avoids the energy-intensive Proof-of-Work model, making it scalable and environmentally friendly.

Development Phases

1.      Phase I (Beta Launch): Began in December 2018 with the release of the mobile app for mining.

2.    Phase II (Testnet): Introduced decentralized apps and node software for transaction validation.

3.    Phase III (Mainnet): Launched in December 2021 (closed mainnet). Eventually, Pi coins will be transferable, tradable, and integrated into real applications—once KYC is completed and the network opens.

The Enclosed Mainnet launched in December 2021, allowing internal transactions within a controlled environment.

The Open Mainnet, launched on February 20, 2025, enables trading and integration with external networks.

Users must go through KYC (Know Your Customer) to migrate their mined Pi to the mainnet wallet. Only KYC-verified users will be able to transfer or use Pi coins in the ecosystem.

Pi Network envisions a decentralized marketplace where users can use Pi to buy goods and services, creating real-world utility.

Is Pi Network Legit?

Despite its popularity, with over 45 million users as of late 2024, Pi Network has faced criticism for its lack of transparency and accusations of operating like a multi-level marketing scheme.

Additionally, as of March 2025, the value of Pi Coin remains speculative since it has only recently become tradable on exchanges.

It's not a scam in the traditional sense, but its value and utility are still uncertain.

The coin is not yet listed on major exchanges. There’s no guarantee that mined Pi will have real-world value.

Some skeptics view it as speculative or overly ambitious, while others believe it could eventually become a widely adopted crypto platform.