Pi Network (PI): A Complete Guide from Mobile Mining to Mainnet Launch

What exactly is Pi Network?

Developed by a team of Stanford University PhDs and launched in 2019, Pi Network is an innovative cryptocurrency platform aimed at bringing digital assets to the general public. Unlike traditional energy-intensive mining, Pi Network democratizes mining through mobile devices, allowing anyone with a smartphone to participate.

The network employs a unique consensus mechanism to maintain security while minimizing energy consumption. This eco-friendly design directly addresses the industry’s biggest issues: environmental impact and entry barriers. As of October 2024, Pi Network has over 45 million active users, making it one of the fastest-growing crypto projects.

However, the project is still in development. The highly anticipated mainnet launch is expected by the end of 2024, at which point Pi Coin will be traded on exchanges for the first time.

Why is Pi Network different?

Traditional cryptocurrencies (like Bitcoin) require specialized hardware. Pi Network takes a completely different approach—through a mobile-first design, it enables ordinary users to contribute to network security. This breaks down both technical and capital barriers.

The core innovation of the app lies in its simplicity: users only need to open the app and tap a button daily to start mining. This minimalistic design has attracted tens of millions of users.

Pi Network has built a unique user role system:

• Pioneers: Basic miners who log in daily to verify identity
• Contributors: Users who add trusted friends to their security circle
• Ambassadors: Promoters who bring new members into the community
• Node Operators: Run Pi nodes on personal computers to further decentralize the network

This community-driven structure allows Pi Network to distribute token rewards based on user participation and network contribution.

How does the Stellar consensus protocol drive Pi Network?

Pi Network operates on the Stellar Consensus Protocol (SCP), a federated Byzantine agreement. Compared to Bitcoin’s proof-of-work, SCP offers significant advantages:

Energy efficiency: The protocol consumes very little resources, making mobile mining feasible while protecting the environment.

High scalability: SCP can handle large-scale transactions, supporting future ecosystem applications.

True decentralization: Through federated consensus, Pi Network avoids centralized control, ensuring community-driven decision-making.

This mechanism enables Pi Network to provide an inclusive, eco-friendly path for crypto participation.

How does Pi Network mining work?

Getting started with Pi mining is surprisingly simple:

Step 1: Download the app
Pi Network is available on iOS and Android, downloadable directly from official app stores.

Step 2: Register and verify identity
Complete registration using your phone number or social accounts.

Step 3: Activate mining
Tap the lightning icon within the app; mining is activated once every 24 hours.

Step 4: Build a security circle
Invite friends to join your security circle to increase mining rate.

Step 5: Stay active daily
Log in daily to maintain mining sessions.

Pi Network’s advantage lies in its device friendliness—mining consumes almost no battery or data.

Beyond basic mining: ways to increase earnings

Simple daily mining is just the beginning. Pi Network offers multiple ways to boost rewards:

Security circle mechanism: Adding more trusted users enhances network security and increases your mining rate.

Referral program: Inviting new users earns you a percentage of their contributions.

Special event rewards: During periodic activities, continued app use and network participation can earn extra tokens.

By October 2024, the 45 million active users demonstrate the appeal of this model. Many are attracted by its low barrier to entry and sense of participation, but the true value of Pi Coin can only be determined once it enters exchanges.

Understanding Pi Network’s token economics

Pi Network’s token design reflects a community ownership and ecosystem development commitment. According to the white paper released in March 2019, a clear economic framework is established.

Total supply: Pi Network is capped at 100 billion Pi, with an 80/20 distribution between the community and core team.

Community allocation (80%)

From the 80 billion Pi allocated to the community, the distribution is as follows:

Mining rewards (65 billion Pi): Used to incentivize active users. Before mainnet, about 30 billion Pi have been mined, but KYC verification may reduce this to 10-20 billion. The remaining supply will be distributed gradually via the new mainnet mechanism, with decreasing annual limits to ensure stability.

Community building and ecosystem development (10 billion Pi): Managed by the future Pi Foundation, funding community activities, developer grants, and ecosystem projects.

Liquidity pool (5 billion Pi): Ensures trading liquidity within the Pi ecosystem, facilitating participation for early users and developers.

Core team allocation (20%)

200 billion Pi reserved for the core development team, with unlock schedules tied to community mining progress and possibly additional lock-up restrictions set by the team.

Mining reward structure and supply reduction

Pi’s rewards decrease annually through a capped supply mechanism to maintain stability. Each year’s mining budget is lower than the previous, encouraging early participation.

In addition to basic mining, pioneers can earn extra rewards through app usage, node operation, and token locking.

Future adjustment space

Once all allocations are distributed, the Pi Foundation and community may introduce inflation mechanisms or new incentive schemes to support long-term ecosystem growth, compensate for lost tokens, and maintain liquidity. This will be a decentralized decision-making process.

Mainnet launch: timeline and preparations

The transition to Pi Network’s mainnet is highly anticipated. Although no specific date has been announced, the core team hints at a late 2024 mainnet launch. This will mark Pi Coin’s shift from testnet assets to tradable spot assets.

Prepare for airdrops

Pi Network plans to conduct airdrops at mainnet launch, distributing Pi tokens to verified users. Key points:

Complete KYC verification: All users must pass Know Your Customer procedures to activate their Pi balances on the mainnet.

Prepare wallets: Ensure you have a compatible crypto wallet (e.g., Pi official wallet) to receive tokens.

Stay updated: Follow official channels for the latest news.

Airdrops are expected shortly after mainnet launch, giving eligible users their first opportunity to trade Pi on exchanges.

Pi Network’s three-phase roadmap

Pi follows a structured three-phase development plan aimed at building a fully decentralized, user-governed ecosystem.

Phase 1: Testnet launch (December 2018 – March 2020)
The project released a mobile app in December 2018, allowing “pioneers” to mine Pi through daily login. On March 14, 2019, the white paper was published, outlining core principles of accessibility, decentralization, and eco-friendly mining.

Phase 2: Testnet deployment (March 2020 – December 2021)
Testnet launched in March 2020, with global node operators verifying transactions. This phase provided node software and testing environments, laying the foundation for a secure, decentralized mainnet.

Phase 3: Mainnet launch
Closed chain phase (December 2021 – present): The mainnet runs in isolation, enabling secure development and KYC migration within a controlled environment.
Open network phase (expected soon): Once the ecosystem matures, Pi will become fully interconnected, allowing Pi Coin to be traded on exchanges and interoperable with other blockchains, ultimately realizing Pi as an open-source, community-governed cryptocurrency.

Post-mainnet trading options

After Pi Coin is listed, users will have multiple trading options:

Centralized exchanges (CEX)
Major exchanges may offer direct Pi trading services, allowing users to deposit Pi and place orders at desired prices. These platforms are known for convenience and liquidity.

Decentralized exchanges (DEX)
DEX platforms support peer-to-peer trading without intermediaries, appealing to Web3-savvy users. Connecting self-custody wallets, users can trade Pi against various cryptocurrencies.

P2P trading
Users wishing to exchange Pi directly with others can opt for P2P channels. Caution is advised due to potential fraud risks.

Important note: Since Pi mainnet is not yet live, the above are potential trading methods. Stay tuned to official announcements for confirmed details.

Risks and challenges to watch

Despite promising prospects, Pi Network faces notable risks:

Delayed mainnet
Repeated postponements of the mainnet launch have raised doubts among some users. Lengthy testing periods cast doubt on network scalability and readiness.

Uncertain value
As of November 2024, Pi Coin has no fixed value. While speculative markets attempt to price it, true valuation can only be determined in open markets.

Security risks
Rising awareness has led to increased phishing and scam activities targeting Pi users. Always verify information through official channels and avoid illegal trading platforms.

Regulatory uncertainty
Global crypto regulation remains strict. For Pi Network to list on mainstream exchanges, it must meet compliance requirements.

Latest updates: KYC verification key timeline

Since 2022, Pi Network has entered the mainnet closed chain phase. Pi Coin is currently only used within the project ecosystem for testing. The planned open mainnet (expected late 2024) will enable external trading.

Urgency of KYC verification

To prepare for mainnet, Pi Network has launched the Know Your Customer (KYC) process to verify user identities. Completing KYC is crucial for users wishing to transfer Pi balances at mainnet launch.

A deadline of November 30, 2024 has been set for KYC completion to maintain network integrity. Users who do not verify by then will face a countdown to prevent balance loss.

After the mainnet launches, Pi Network will publish a more transparent timeline and issue important updates affecting trading and token value.

Looking ahead: the future of Pi Network and Pi Coin

Pi Network has stirred industry interest with its innovative mobile mining approach and commitment to democratizing crypto. Its user-friendly platform and groundbreaking consensus tech provide a unique gateway for ordinary people into the crypto world.

However, the success of Pi Coin depends on the network’s smooth transition to an open mainnet, fulfilling promises, and maintaining market position.

Whether you plan to mine Pi, trade Pi tokens, or simply observe this bold project’s progress, Pi Network offers a window into the future of decentralized digital currency. As the mainnet approaches, stay informed through official channels and prepare in advance to seize the opportunities Pi Network presents.

Frequently Asked Questions about Pi Network

Q: When exactly will the Pi mainnet launch?
A: Expected to open in late 2024, but the specific date has not been confirmed.

Q: Can I trade Pi tokens now?
A: Currently, Pi only circulates within the Pi Network ecosystem. Trading on exchanges will be possible after mainnet launch.

Q: Will mining damage my phone?
A: No. Pi mining consumes very little energy and has minimal impact on device batteries and data.

Q: What is Pi IOU?
A: Pi IOU is an option for Pi tokens on some speculative platforms. These options are not endorsed by Pi Network officially.

Latest data: Current Pi price is $0.21, down -0.62% in 24h, with approximately $1.22 million in daily trading volume, a market cap of about $1.72 billion, and circulating supply of 8.37 billion Pi (total cap 10 billion Pi).