Pi coin listing controversy: opportunities, risks and market game
(Updated as of February 20, 2025) $BNB
1. Market Status and Exchange Attitude Divergence
1. Mainnet launch and exchange updates
The Pi Network mainnet was officially opened at 16:00 (Eastern Time) on February 20, 2025, ending the six-year closed beta phase. OKX, Bitget and other exchanges simultaneously launched Pi spot trading, and the opening price fluctuated violently. The price of Gate Exchange plummeted from 2.88 to 1.3 on the first day, with a daily drop of more than 50%. Binance initiated a community vote, with 86.2% of users supporting listing, but the final decision still needs to pass compliance review.
2. Comparison of Exchange Positions
· Supporters: OKX, Bitget, and others believe that the 60 million user base of Pi coin and the mainnet technology upgrade (such as the Stellar Consensus Protocol) have potential, with a trading volume of $1.56 billion on the first day, showing acceptable liquidity.
· Opponents: The CEO of Bybit has clearly rejected listing, stating that its model "easily leads to rights protection disputes," while HTX delisted the "fake Pi coin" IOU token, highlighting compliance concerns.
2. Core Logic Supporting Listing
1. User Base and Market Heat
Pi Network claims to have 60 million registered users, with 19 million completing KYC verification, and the community is highly active. The 86.2% support rate in Binance voting reflects market demand. If users can be successfully converted into traders, it could bring significant traffic and fee income to the exchange.
2. Technology Upgrade and Ecosystem Vision
After the mainnet is opened, Pi coin supports cross-chain interaction and DApp development, having integrated over 80 applications (such as payment and social scenarios). The team plans to expand merchant cooperation. If the ecosystem is implemented, it may enhance the utility of the token.
3. Risk Warnings Against Listing
1. Pyramid Scheme Model and Compliance Controversy
Pi coin has expanded through a "referral mining" mechanism. Police in several countries, including China and Vietnam, have identified it as suspected illegal fundraising. In 2022, police in Nantong investigated cases of shops soliciting elderly people to invest, revealing the risks of pyramid schemes. The U.S. SEC has also questioned the security of its KYC mechanism.
2. Price Bubble and Selling Pressure Risk
After the mainnet launch, early miners hold a large amount of coins (circulation of 6.041 billion coins), and some users eager to cash out may lead to selling pressure. Data from Gate exchange shows that most of the 49.3 million coins traded on the first day were for sale. If there is a lack of actual application support, the price may remain under pressure.
3. Regulatory Uncertainty
China has clearly banned Pi coin trading, and the EU's MiCA regulation requires exchanges to delist non-compliant stablecoins. If Binance lists, it must isolate users from mainland China and other regions, increasing operational complexity.
4. Key Variables for the Future
1. Ecosystem Construction Progress
Currently, the number of DApps in the Pi ecosystem is insufficient. If payment, DeFi, and other scenarios are not rapidly expanded, the token's value will depend on speculation rather than fundamentals.
2. Compliance Process
Project parties need to demonstrate the degree of decentralization to avoid being classified as a "team-controlled funding scheme." If more countries follow up with regulatory restrictions, exchanges may be forced to delist.
3. Market Sentiment and Bitcoin Correlation
The price of Pi coin shows a strong correlation with Bitcoin. If the Bitcoin bull market continues, it may drive speculation in Pi coin; conversely, it could accelerate a crash.
5. Investor Recommendations
· Short-term participants: Beware of high volatility and avoid leveraged trading (such as 50x contracts), and set stop-loss lines.
· Long-term observers: Pay attention to the implementation of Pi ecosystem applications and regulatory dynamics. The first 3-6 months after the mainnet launch are critical validation periods.
