Pi Network launches a $100 million fund to promote the use of PI in real life — but the price has declined.
Restrictions continue to raise doubts about the long-term reliability of the project.
Pi Network [PI] just announced a $100 million investment fund, supported by 10% of the Pi Coin supply, aimed at dispelling the negative reputation of being a closed system.
This fund targets startups in the fields of AI, fintech, and Web3 – a significant step forward, at least in theory. However, within 24 hours, Pi Coin dropped over 30%, are we clearly seeing this ambition in the market?
Pi Network: Promoting real use with a $100 million fund
After months of little visibility and slow movement, the Pi Fund announced Pi Network Ventures, a $100 million fund aimed at promoting the real-world adoption of the PI Token.
This fund, supported by 10% of the total PI supply, will target startups from early stage to Series B in fields such as AI, fintech, e-commerce, and consumer applications.
Source: X
Notably, most investments will use PI rather than cash, demonstrating a commitment to developing the ecosystem — but it also raises questions about liquidity, risks, and whether projects will actually choose Token over traditional capital.
Price decline, OI cools down
Despite the Pi Fund's announcement of the $100 million fund on May 14, market sentiment changed rapidly. PI dropped over 30% shortly after, from over $1 to about $0.88.
Source: CoinMarketCap
The Open Interest in PI futures contracts has significantly decreased over the past week.
After peaking at around $11.2 million on March 1, the Open Interest amount gradually decreased to about $4 million by March 19 — a noticeable drop in trader participation.
Source: Coinglass
Although the initial price of the PI Token was above $2.00 in early March, it has since dropped below $1.40. Despite a slight price increase around March 13, both the price and Open Interest have decreased simultaneously since then.
Perhaps the previous price increase was primarily driven by short-term speculation rather than long-term confidence in the project's progress.
The question remains
Pi Network has built a huge user base — reported to be over 50 million — through a mining app on phones that promises future utility.
The project's closed network model has been criticized for a lack of transparency and real-world integration.
Although the new $100 million fund indicates a shift towards open adoption, skeptics argue that this may be more of a PR effort than real progress.
As the Pi mainnet has just launched, questions surrounding its purpose and execution may persist for a long time.
Source: https://tintucbitcoin.com/tai-sao-pi-network-dau-tu-100-trieu-usd-khong-tac-dong-gia-pi/
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