Pi Network, does that name ring a bell? Well, it should! Whether on specialist sites or forums, the platform has been the talk of the town. But why so many reactions? It’s undoubtedly because the network raises a lot of questions. Many people don’t know whether Pi Network is really advantageous and reliable or whether the platform only benefits its creators. While the crypto minable project is certainly an investment opportunity, it is not unanimously supported. Indeed, some Internet users have gone so far as to describe the initiative as a scam! Critics have pointed to potential security flaws, for example. Without going that far, it has to be said that the application appears mysterious at first glance. This can also be explained by the fact that the project is not yet as mature as others such as eToro. Feeling a little lost when faced with all this information? Don’t panic! We’ll sort out the facts for you in this detailed article on the app.
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Introducing the Pi Network platform, an enigmatic project
The story of Pi as told by its creators
Birth of Pi Network
The Pi Network initiative was launched at the end of 2018. The project originated with three former students of the famous Stanford University in the United States, Vincent McPhillip, Dr Chengdiao and Dr Nicolas Kokkalis. It was only very recently (too late for some) that these founders revealed their identities to the general public. Similarly, it is only recently that the initiative has aroused interest, no doubt also due to its mystical nature.
The pillars of the project
The platform aims to be easy to access for as many people as possible. This is how Pi Network describes itself on its official website:
“The first virtual currency that you can mine on your smartphone”.
So it’s a cryptocurrency mining platform that aims to be as accessible and free as possible. In addition to mining, the referral system is highly encouraged on the platform.
Many investors already seem to have been won over by the idea behind the Pi Network project. The application of the same name has already attracted more than 17 million users. By minimising mining costs and energy consumption, the network sets itself apart from other initiatives. As a result, the network consumes less energy and can claim to be greener than some platforms.
Available on both Android and iOS, the application is currently focusing on developing its community. Regular interaction and the recruitment of new users will be rewarded with Pi tokens. At the same time, these same activities allow you to improve your status on the application.
The Pi Network is currently only available in beta version and is only looking to improve: that’s why the platform is encouraging people to sign up. At the end of 2020, the team at the head of the project even created an application dedicated to ideas for improving Pi Network. Users can put forward their suggestions and ideas and contribute directly to improving the service.
Stages of the Pi Network project
The network is not yet at its peak. In fact, there is still a long way to go to achieve all the team’s objectives.
Stage 1: The beginnings of the project
First of all, the team had to improve the initial system and continue to develop it. At the same time, as many users as possible had to be brought on board. This has now been achieved. The team launched phase 1 of the project in March 2019, on pi day. In just a few months, the app has over 100,000 active members.
Stage 2: Current objectives for the platform
Pi Network is now looking to improve its blockchain. This process should be carried out by the platform’s users. The mining test is carried out via a KYC (or Know Your Customer) system, verifying the real existence of miners. By building trust and security, the initiative aims to improve the network.
Stage 3: Objectives for the future
Pi Network is an ambitious platform, brimming with ideas for its future in the blockchain ecosystem. With the aim of making Pi Network fully functional and decentralising the network, the application is banking on a versatile platform. In the not-too-distant future, you’ll be able to exchange currencies, as is already possible on other sites like eToro. However, the exchange of USD or EUR is conditional on the success of the application’s current objectives.
Pi Network features and tools
Countries where Pi Network is available
With thousands of customers all over the world, the project had to be available in as many countries as possible. Currently, more than 180 countries are supported by the network. The Pi Network is available in America, Asia, Africa and Europe.
The Pi Network
Peer-to-peer operation
This is a peer-to-peer network. This means that each member is a contributor as well as a server.
The halving system
pi network mining rates
Source: Pi Network Twitter account
Like many cryptocurrencies, such as Bitcoin, Pi Network uses halving. This feature allows the token to be rare enough to keep users interested in it. For miners, this means that their income halves when this famous halving takes place. For example, when the network had 100,000 users, the mining rate rose to 1.6 π per hour. This rate dropped again at 1 million members, to reach a value of 0.4 π. Currently, the rate is 0.2 π.
Stellar Consensus Protocol (SCP)
Unlike many cryptocurrencies, Pi Network does not use the Proof of work or Proof of stake system. The network is based on the Stellar Consensus Protocol, which ensures the security of transactions.
The sponsorship system
Pi Network uses invitation codes to secure its network. This method also enables sponsors to earn extra income by integrating new members.
Advantages and disadvantages of Pi Network
Here’s a quick summary of the various aspects of the network, both positive and negative.
Advantages of Pi Network
Several aspects of the platform make it a solid initiative that can attract a large number of people. The platform is accessible to as many people as possible. All you need is a mobile phone to mine with the application. This is a significant advantage at a time when mining is becoming increasingly complex and expensive. Similarly, the application is easy to use and user-friendly. The initiative continues in the same vein by offering a free platform.
In addition, a sponsorship feature has been developed. This provides greater security and extra earnings for active users of the network.
With growing concern for environmental issues, the project could appeal to more than one well-informed investor. For example, the network requires very little energy for mining, making the platform more environmentally friendly. In view of all these aspects, the initiative still has great potential for development. In this sense, Pi Network has significant advantages.
Disadvantages of Pi Network
However, there are still some negative points about the network that need to be clarified. Pi Network is still at the beginning of its adventure and may therefore be lacking in aspects that are essential or that would be welcome. For example, security is not yet guaranteed, especially as the platform has been accused of reselling its users’ data. Likewise, while the application is affordable in terms of price, it is not in terms of language. To date, it is only available in English. What’s more, this is a concept that some investors will feel is too ambitious.
Another important issue is the pre-existence of a token called Pi/PiCoin. This token had already been registered on the famous reference site CoinMarketCap. What’s more, as we explained above, Pi Network claims to be the “first minable crypto on the phone”. However, this is not the case at all, since Electroneum and Bee Network had already done so before it… Nothing to be alarmed about, but it is a false claim on the part of Pi Network.
The regulations imposed on Pi Network
The blockchain project is supposed to be controlled by strict and demanding regulations. However, it is very difficult to find precise data on the subject. As a result, information on the regulations followed by the network is almost impossible to find. Such data might be worth sharing on the project’s official website to reassure future users.
Pi Network platforms
Pi Network essentially uses an application to offer its services, with the website simply serving as a presentation of the project.
The website
Pi Network presentation
You cannot mine or connect directly to the Pi Network website. In fact, its main purpose is to provide information about the platform.
The site has 7 main sections:
Home: On this page, you will find a video presentation of Pi Network, as well as its main features and objectives. This section groups together the main information provided by the site. At the bottom of this page, you can contact customer service directly if you have any problems or queries.
Pi node: on this tab, you can choose to take part in the ‘test’ application and thus improve the decentralisation of the project. Among other things, this will enable the application to move on to the final phase of the project and really unleash its full potential.
Mobile app: In this section, you’ll find the links for installing the application on Android or iOS. At the bottom of the page is the customer support form.
Platform: In this section, you can access the resources you need as an application developer. You can also test your application directly via the official Pi Network website.
Team: On this page you can find out who the members of the project are. The list isn’t very extensive, as it only includes two of the founding members. There is also a button to sign up and join the team via a Google form.
FAQ (Frequently Asked Questions): The FAQ section is there to answer all your questions about the network! There’s even the intrepid question “Is the Pi Network a scam?”… proof that its reputation precedes it. Note that this page is the only one that can be translated into several languages, as the rest of the site is completely in English.
How Pi works: The last page provides documentation on how Pi Network works. In addition to the FAQ, this section answers most of the first questions that may come to mind.
At the bottom of each page, you’ll also find Pi Network’s social networks.
The Pi Network application
Pi Network application
The application is really the way to mine and manage your account. All you have to do is log in and you’ll be helping to validate transactions without realising it. For your part, all you have to do is press the corresponding button to start mining. Finally, you also have access to your referral code, which you can share to increase your winnings.
Security at Pi Network
The application uses a very specific system: Security Circles. These are a direct result of the Stellar Consensus Protocol. Transactions are recorded in a ledger that acts as a directory. The network is decentralised, like Bitcoin, but the consensus method is completely different. With Stellar consensus, only part of the user network is used to validate transactions, not all of it. This guarantees ultra-fast verification of transactions: the system can approve up to 1,000 transactions per second.
Pi Network establishes a degree of trust between its members via security circles. These circles are made up of 3 to 5 members, each belonging to the other’s network. Such a process minimises the risk of fraud on the application, as well as making transactions more fluid.
However, a number of Internet users have accused Pi Network of reselling its members’ data to third parties. There is no legal notice on the site, which is not very reassuring. The only information we have is the location of the servers where user data is stored. These are located in Stanford, but once again, this is no guarantee of their security. A hacker could break into the system and hack it at any time.
What’s new about Pi Network
As the project itself is new, its concept is in itself rather innovative. However, the platform is already looking to constantly renew itself.
Brainstorming application. In December 2020, Pi Network launched its platform for sharing ideas and suggestions. With the aim of improving the network, members will be able to make their own contributions.
The network’s wallet, Pi Wallet, was launched at the end of March 2021. For the time being, it can only be used to test transactions on Pi Testnet and does not offer the possibility of exchanging real Pi tokens.
Pi Mainnet, the post-test version of Pi Network, should be released at the end of 2021.
Step-by-step registration on the Pi Network platform
In practical terms, there are just 4 steps to registering:
Download the Pi Network application
Fill in your personal details
Validate your account
Validating the invitation code
Registering on the platform is quick and easy. All you need is your smartphone and an internet connection. We’ll guide you through the registration process.
Step 1: Download the Pi Network application
pi network application
The application is available for Android via the Google Play Store, and for iOS via the App Store. All you have to do is click on “Install” for Android or “Get” for iOS and you’re ready to go! Make sure you have enough storage space to install the application.
Step 2: Fill in your personal details
pi network account
Source : Changelly
Once you’ve installed the application, you’ll need to enter your first name, surname and email address. Finally, you’ll need to create a password.
Pi Network has been accused of selling its users’ data to third parties. Make sure you are aware of these risks before registering on the platform.
Step 3: Validating your account
pi network verification
Source: BiHODL
This step can be carried out using a telephone number or your Facebook account. It is essential to activate your account.
Step 4: Fill in the activation code
pi network invitation code
Source: BiHODL
Like Clubhouse, you need to enter a referral code before you can start mining. This process guarantees a certain level of security on the application.
What’s more, if your sponsor is not an active user, your income will be low. So don’t take a referral code at random!
Pi Network account types
Accounts on the application vary according to status. This varies according to your use of the application (spending more or less time on Pi Network) and the density of the network (number of connections you have). Your earnings are then calculated according to your status. Pi Network offers three main statuses: Pioneer, Contributor and Ambassador.
Pioneer status
Pioneer status is awarded to you when you join the application. Similarly, if you are not active on the platform, you will keep this status.
Contributor status
With a little activity on the application, you can move from Pioneer to Contributor. All you have to do is mine three days in a row via the platform to obtain contributor status.
Your regular activity on the application is remunerated. Contributing to improving the security of the platform earns you 0.20 PI every hour. So your activity on the platform can quickly become worthwhile.
Ambassador status
Being an Ambassador can also be a lucrative activity, even more so than being a simple contributor. Your aim is to invite as many new people as possible, and the best thing is for them to be active. With this activity, you can earn 0.05 PI for each person recruited per hour.
However, obtaining this status will take time and commitment. You’ll need to develop your network, even if it means sharing your referral code widely. You’ll also need to ensure that your referrals are active, which is a prerequisite for changing status.
Pi Network customer service
The Pi Network website has a FAQ section, with the main questions you might have when you first join the platform. If you can’t find an answer to your question, you can contact customer support directly using a form. This is available at the bottom of the site’s main page. If a large number of users ask the same question via this form, the query will then be proposed directly in the FAQ.
For application developers, the site also offers a test interface. This page is dedicated to application designers potentially interested in integrating Pi Network into their projects. This feature allows you to get to grips with the tool and check whether it is really right for you.
In addition, the Pi Network team regularly posts video tutorials on Youtube.
Pi Network trading fees
The question of fees is an important one. Every future investor signing up to a new platform needs to take them into consideration. However, Pi Network does not charge its users for registration. So you won’t have to pay anything to download the application.
Mining on Pi Network
The principle of mining
Most of today’s cryptocurrencies use mining. This means that users, known as miners, verify and validate transactions. To do this, they generally have to solve complex equations using very powerful computers. Typically, the more miners there are, the faster the operations.
The case of Pi Network
Mining on Pi Network is fairly simple. All you have to do is connect to your application every day and start mining. You should also be aware that a daily connection will earn you more than a less regular connection. You can then accumulate tokens, which are automatically added once mining has started.
Admittedly, mining on this network is as easy as pie! You can start mining by going to your Pi Network application, then pressing the button with the green lightning bolt icon (see image below). Once that’s done, you can go about your business, close the application and even switch off your laptop.
lightning pi network
Source : Reddit
This is due to a dense web of active users. In fact, only a small number of miners are needed to validate operations. This validation takes place as soon as you connect to the application. Each investor therefore makes his or her own contribution to the overall operation of the application. As an indication, about one minute a day is enough to ensure that transactions run smoothly.
Using your smartphone instead of high-powered computers is a significant advantage. But it can turn into a big disadvantage, especially if your mobile is hacked, or even if you prefer to keep your personal life separate from your earning activities.
Financial assets available on Pi Network
For the time being, only the network’s native token is available, i.e. the PI token. If you want to exchange cryptocurrencies that are already in circulation, such as Bitcoin and other Altcoins, this is not currently possible. You will have to redirect yourself to another platform.
Buying on Pi Network
As the project is still in beta version, you cannot yet buy Pi tokens, or even other currencies. This will only be possible in the long term, when Pi has completed its decentralisation phase. When the final launch phase is under way, the application will serve as a wallet. So you’ll have to be patient before you can diversify your portfolio!
Value and forecasts for the Pi token
Value of the Pi token
In 2021, the Pi token has a price of 0 euros. This is because the project is not yet complete. Only when certain objectives have been achieved and the final phase of the project has been completed will the value of the token increase. The price of Pi cannot be predicted in advance, but anything is possible in the world of cryptocurrencies! The evolution of the token’s value will depend on its current performance and the speed at which it completes its objectives. Once the test phase is over and the Pi has entered the market, its price may change. One thing’s for sure, it won’t happen just yet! See the price of other cryptocurrencies.
Forecast value of the Pi Network token
According to Capital.com, it won’t be long before the price of Pi tokens starts to rise. In 2022, the token is expected to be worth $0.0127 (around €0.010), or $0.0212 in 2025 (around €0.017). In 7 years’ time, the estimated value of the Pi is more than $0.030 (around €0.025).
Pi Network vs eToro: which platform is right for you?
While platforms such as eToro have a proven track record, why turn to other networks such as Pi Network? Investing in Pi Network means looking to the future. The platform is not yet at its definitive stage. It still has some way to go before it can truly compete with other leading services such as eToro. Indeed, if you want to trade currencies like USD or EUR, you can’t yet do so on Pi Network. On the other hand, this feature is available on other services such as eToro.
Furthermore, eToro appears to be much more secure than Pi Network, so it remains to be seen whether this information will be verified in the future. To reassure and advise users, a 24/7 chat service is available. Although a minimum deposit of $200 (around €164) is required to register, the site appears to be safer than Pi Network for the time being. It should be pointed out, however, that the two platforms do not have the same objectives and are not at the same stage of development! In fact, eToro has been proving itself for a long time, and is even the best-known online broker. See our full guide to the eToro site.
Opinions on Pi Network
There are many different opinions about Pi Network. But we’re here to help you make up your mind!
Our favourite things about Pi Network
The platform is very accessible. That’s why it’s perfect for less experienced investors. Similarly, it’s perfect for any user who doesn’t have the financial means to buy a full set of “classic” mining equipment, as with more traditional cryptos.
What’s more, the application requires very little energy, unlike more conventional mining methods. In this sense, it consumes very little electricity and is therefore rather more environmentally friendly than its competitors. This gives Pi Network real strengths, but also great potential for development. It is similar to other eco-friendly blockchain initiatives such as Chia or SolarCoin.
But there are other, less flattering points for the application that also caught our attention.
What Pi Network lacks
Security remains a major issue for the future of the application. It is vital to reassure users who are increasingly wary of the use of their personal data. In the same vein, it is vital to be able to support customers with a service that is available as often as possible. A simple FAQ with a form is not enough.
Should you invest in Pi Network or not? The final word is yours!
