Recently, I have seen many KOLs judging Pi Coin from a moral high ground. Discussions about the launch of Pi Coin on a certain exchange have caused a stir, with many comments labeling it as a 'pyramid scheme,' claiming this marks the industry's decline and could even lead to legal and social risks. However, after careful consideration, I believe these statements are overly one-sided and overlook an important fact: the cryptocurrency world has never been a completely 'pure' market; any emerging cryptocurrency is bound to face similar doubts in its early stages. Aren't most VC coins and meme coins just junk? Hasn't SOL turned into a big casino? The emergence of Pi Coin is not entirely a 'revolutionary scam'; rather, it is an inevitable part of the growth process of the cryptocurrency world.
1. The History and Development of the Cryptocurrency World is Not 'Pure and Flawless'
From the birth of Bitcoin to the rise of Ethereum, and to the various projects of today, the cryptocurrency world has never been as 'perfect and flawless' as described in textbooks. In the early days, Bitcoin also relied on a small number of investors and miners for centralized operations; it can even be said that centralized exchanges and mining pools played a crucial role in its initial push. The initial Bitcoin also entered the market through centralized platforms and centralized marketing methods. Given this, why is it now labeled as a 'pyramid scheme' just because Pi Coin adopts a similar path?
It was these early centralized factors that drove the entire cryptocurrency market's inception. When Bitcoin was widely questioned and mocked in its early days, it was not recognized by most people; only when more and more people joined and went through the market's elimination mechanism did its value gradually prove itself. Therefore, we have reason to believe that Pi Coin may go through a similar journey, and its enormous user base should not be overlooked; on the contrary, it is this 'inclusiveness' that gives it the potential to compete with mainstream coins.
2. User Base Does Not Equal 'Pyramid Scheme'
Regarding Pi Coin being labeled as a 'pyramid scheme,' I would like to ask, did the early days of the cryptocurrency world not have similar mechanisms? Were there not cryptocurrencies in the early days that attracted users through 'fission'? Have these critics forgotten that many early cryptocurrencies, including Ethereum, Litecoin, and even Bitcoin, relied on early communities, active user promotion, and the allure of getting rich quickly to achieve their current market positions?
Criticizing Pi Coin for attracting users through the fantasy of sudden wealth essentially accuses it of relying on 'incentive mechanisms' to activate the market, but this is a common rule in any emerging industry. If we want to trace back to the roots, almost all successful projects have undergone a similar process. It is precisely these incentive mechanisms that allow users to participate that may cultivate a strong user community, and these communities are precisely the core factors in the success or failure of any blockchain project.
Moreover, the large user base of Pi Coin signifies its enormous potential. A project that started from scratch and managed to acquire over 60 million users in less than 6 years is noteworthy in any industry. If Pi Coin can attract such a scale of users under the label of 'pyramid scheme,' then its 'value' can no longer simply be measured through the lens of 'pyramid schemes,' but should consider the network effects it can bring.
3. The Value of Blockchain is Not Just Reflected on the Technical Level
Regarding Pi Coin's lack of a mainnet launch, many critics point out that the absence of a decentralized ledger means it has no technical value at all, and all coins are merely digital games in the background. However, this view is clearly too limited.
The essence of blockchain is the decentralized transmission of value, and the recognition of value has never relied solely on the technology itself, but rather on market consensus. Just as Bitcoin initially had little technology to speak of, it was still able to become the world's most popular digital asset through the power of network effects and consensus. Technology is a support, but not the only source of value.
Although Pi Coin lacks a traditional blockchain mainnet, it has accumulated a large number of users and traffic through a vast user network and efficient incentive mechanisms, which itself possesses immense market value. It is worth noting that the project team of Pi Coin is not operating without any technical support; rather, it is gradually advancing the process of technological development, and perhaps it will fulfill its technical commitments when it eventually launches its mainnet in the future.
4. The Role of Exchanges and the Reality of the Cryptocurrency World
The choice of a certain exchange to launch Pi Coin is by no means coincidental. Critics see this move as an act of 'scalping,' but we must acknowledge that the business model of the cryptocurrency world itself profits from constant user flow, transaction fees, and market fluctuations. Rather than saying that a certain exchange launched Pi Coin to cater to high profits, it is more accurate to say that it is responding to the diversification of market demand. The competition in the cryptocurrency world has entered an era that places increasing importance on 'user base,' and Pi Coin just happens to have this appeal.
Moreover, the launch of Pi Coin does not mean that all projects will follow the same path. Not all projects in the cryptocurrency world can gain recognition from exchanges, and being able to be listed on an exchange itself signifies a certain level of market recognition; whether it can ultimately exist long-term and succeed still requires market validation.
The Future of the Cryptocurrency World Depends on Diversification and Market Choices
Whether Pi Coin is a 'pyramid scheme' may have more answers in the years to come. In my view, any emerging cryptocurrency needs to undergo market validation, and whether it can survive ultimately depends on market choices and user consensus. The cryptocurrency world itself is a high-risk market; there is no 'right or wrong,' only 'market adaptability.' Perhaps what seems like a crazy Pi Coin today, after market cleansing, can survive and gradually fulfill its technical promises. Only those projects that have truly experienced market reshuffling can withstand the test of time, and these projects may ultimately become the next Bitcoin or Ethereum.
Therefore, certain KOLs should not hastily label Pi Coin as a 'pyramid scheme'; after all, isn't the essence of the world a CX (centralized exchange)? Tell me, who among you was not brought in by a CX? The history of the cryptocurrency world itself is a continuous evolution from 'centralization to decentralization.' And Pi Coin may just be a part of this process.