A fan told me that pi coins have risen again recently. Everyone knows that when pi coins were first listed, they were $2 each, but then they fell all the way down to a low of $0.6. Unexpectedly, they have recently risen to $2.7. This fluctuation is truly puzzling.
I was a bit curious, so I went to check on the situation with pi coins. To be honest, I found quite a few problems. First, 1.6 billion pi coins were pre-mined, which sounds like a large number, but currently, the circulating amount that can be found on exchanges adds up to only about 210 million. In other words, the actual circulating amount in the market is very small.
Moreover, a key point is that the total amount of pi coins is actually 100 billion! But currently, only about 200 million are in circulation, which is a drop in the ocean compared to the total. Therefore, with such a small amount of coins circulating in the market, the price is almost entirely controlled by the behind-the-scenes investors.
Think about it, if there are few coins circulating in the market and the investors have a lot of coins, then they can control the price. If they want the price to rise, they release some good news to attract people to buy; if they want the price to fall, they sell off some coins to create panic and force everyone to sell.
Now there are quite a few elderly people in China holding pi coins, and seeing the price rise naturally makes them happy, thinking they’ve made a lot of money. But in reality, the pi coins they hold haven’t been reflected, meaning they can’t circulate in the market at all. In other words, their so-called wealth is just numbers on a balance sheet, and the real opportunity to convert it into cash is still a long way off.
You could say that holding pi coins is like having a lot of virtual currency in a game, feeling like a millionaire, but these virtual coins have no real value, can't be spent, and can't be exchanged for money.
Moreover, the significant fluctuations in coin prices definitely have elements of speculation behind them. Those with ulterior motives spread rumors, taking advantage of everyone’s desire to make quick money, driving up the value of pi coins and attracting more people to invest. But everyone should think, if there really were such easy money-making opportunities, why wouldn't those people just secretly profit themselves instead of telling others?
I know, maybe some people will say that once pi coins can be fully circulated, the price will rise, right? To be honest, even if it can be fully circulated in the future, with a total of 100 billion, how much can the market actually absorb? If a large number of coins flood the market, the price might actually plummet.
So, if there are elderly people in your family paying attention to pi coins, you really need to remind them not to be fooled by the current price increase. When it comes to investment, one must be cautious and not easily believe in seemingly easy money-making opportunities. There could be huge risks behind them.
We can't let our hard-earned money be deceived like this. For virtual currencies like pi coins, it's best to take a wait-and-see approach and not invest large sums of money lightly.