What Is Pi Network All About

When first-generation cryptocurrencies similar bitcoin and ethereum began making waves, interest in crypto mining boomed. Even so, it wasn’t long before the drawbacks of mining including expensive hardware components and power usage hinged many investors’ efforts. In an attempt to simplify the fashion we mine crypto,
Pi Network introduced a novel approach.

By simply installing an app on your phone and pressing a button, mining is now attainable to anyone. Though, this didn’t come without controversy. Nowadays, only the mention of Pi Network spurs up concerns regarding its legitimacy.
Learn all about Pi Network, how to mine pi cryptocurrency, and the latest scam theories in this ultimate guide below.

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In this guide

  • What is Pi Network?
    • How did Pi Network begin?
    • Roadmap
  • How does Pi Network work?
    • Membership tier
    • Consensus algorithm
  • What makes Pi Network unique?
    • Stellar consensus protocol
    • Mobile mining
    • MLM scheme
  • Pi coin (Pi)
    • Tokenomics and distribution
  • How does Pi coin work?
  • How to mine Pi cryptocurrency
    • Step 1: Register a complimentary account on the Pi Network app
    • Stride ii: Submit your invitation code
    • Pace 3: Start mining
    • Step 4: View your earnings
  • Is the Pi Network a scam?
    • Why Pi Network might be a scam
    • Why Pi Network might not exist a scam
  • Pi Network adds a new dimension to mining
  • Oft asked questions

What is Pi Network?

The Pi Network is a recent cryptocurrency project that aims to provide ease of
access to crypto mining using a digital mining app. The network integrates an MLM (multi-level marketing) scheme for its users, rewarding miners with pi coin for inviting others to join. The goal is to set the centralization of kickoff-generation currencies like bitcoin — which have given large mining pools more command — past allowing anyone to mine at no price.

Past using simply a mobile app and a referral code, you tin receive digital currency in the form of pi coins which tin be saved until the crypto is listed on exchanges. That said, pi coin currently has no value.

How did Pi Network brainstorm?

Development of the Pi project began equally early as 2018
when a couple of Stanford Academy researchers decided to revolutionize crypto mining. The goal was to provide equal opportunities to everyone who wishes to mine crypto without expensive equipment and high fees. The Pi Network has expressed concerns regarding the difficulties in mining, and they believe they have the perfect solution.

Later on the release of the Pi Network’s whitepaper, the projection successfully launched its app on international Pi solar day (Mar. 14, 2019). By June 2019, the network had reached 100,000 active users followed by a dramatic increase of more than than 3.5 one thousand thousand during its second stage. In March 2022, the Pi Network claimed that its user base of operations had reached 33 1000000 users.

Pi Network’s core team includes 2 Stanford University researchers
who founded the project in 2018. Head of Technology Dr. Nicolas Kokkalis is the instructor for Stanford’south first decentralized application course. During Kokkalis’ Ph.D. work, he created the framework for writing smart contracts before blockchain technology fifty-fifty existed. Aslope him, the head of product Dr. Chengdiao Fan holds a Ph.D. in computational anthropology with a focus on human-computer interaction.

Roadmap

Co-ordinate to the official Pi Network white paper, the projection’s roadmap is divided into 3 singled-out phases.

  • Stage 1 – Blueprint, Distribution, Trust Graph Bootstrap:
    Improvements in user experience and behavior are highlighted during this phase. Once the live net is launched, coin minting to users will be migrated.
  • Stage 2 – Testnet:
    The node software will exist deployed on a testnet before launching the mainnet and utilise the aforementioned exact trust graph but on a testing pi coin. The testnet will run parallel to the pi emulator in the first phase.
  • Phase 3 – Mainnet:
    Once the mainnet goes live, only validated accounts belonging to real individuals volition exist honored. The emulator and faucet of phase ane will and then exist close downwards and the system would run on its ain thereafter.

How does Pi Network work?

features

Users who wish to bring together the network and mine pi must download the Pi Network’s mobile app
available on both Android and iOS. With an easy and user-friendly interface, all y’all need to do is register with your phone number, Apple ID, or Facebook and provide the referral code. The success of the network is dependent upon its expansion. Therefore,
membership is via invitation. If a user doesn’t successfully refer another person, the mining sessions don’t achieve completion.

You can still mine without a referral, but the rewards volition be significantly less. Mining on the network is washed by but pressing a button daily equally the rewards replenish every 24 hours. Due to Pi’s regular halving —- an event in which the number of coins mined is reduced to half —- the network attracts more users due to its scarcity. In add-on, the network remains secure by Pi’s “security circle” whereby groups of iii–5 users vouch for i another’s credibility through trust graphs.

Membership tier

Participants tin can move upwardly in rank as they invite more users onto the network through their referrals. For case, the outset level is Pioneer which is rewarded according to the mining rate at the time of joining.
Equally yous move upwardly through the three membership levels, the hourly pi coin rewards increase. Afterward five or more than trusted referrals, you become promoted to the Contributor level. And after 23 referrals, you get an Ambassador. In add-on to the membership tier, one can move upwardly to the Node level if they run the Pi node software on their calculator.

Consensus algorithm

The network is governed by the Stellar Consensus Protocol. This consensus algorithm is built on the Stellar blockchain. This protocol was specifically chosen to aid in the user-friendly mobile mining experience by enabling users to incentivize their activities on the network by earning rewards. The mechanism it uses is the novel Federated Byzantine Agreement (FBA) which allows anyone to join the network and become a validator instead of a stock-still group.

What makes Pi Network unique?

Pi network features

Mining cryptocurrency certainly isn’t a new concept. However, many mining protocols require miners to invest in expensive hardware or employ up considerable electricity.
Pi Network is unique in that no hardware is needed
. In fact, yous don’t demand to invest any coin at all. Some of the features that set the Pi Network autonomously from others include:

Stellar consensus protocol

Created by a chief scientist at Stellar Development Foundation David Maziéres who developed the Stellar blockchain,
this protocol uses a real voting system.
In this example, the protocol enables an open membership network and allows fast and efficient messaging between nodes.

In the Beta stage, the mobile app simulates mining equally users take part in block validation. Every bit mentioned before, through its Federated Byzantine Agreement, each validator on the network decides which other validators they trust instead of being chosen by a fundamental dominance.
On the Pi Network, the list of trusted validators is referred to as the quorum slice.

Mobile mining

Normally, when mining crypto, investors need to purchase a piece of equipment that can run up to thousands of dollars. Just with Pi,
mining is done via a phone app which is free to register and utilize. Moreover, very little data usage and battery are used up during the mining. Instead of investing money upfront, users on the network tin earn pi coins by but referring others to the network or running their own node on their computer.

MLM scheme

Traditional mining is done individually, on your own time, and according to the work yous put in. Still, the success of the Pi Network depends on the number of participants via its multi-level marketing strategy.
To mine crypto and gain membership levels, you lot must invite others to join. For this reason, the project has been branded a pyramid scheme and possibly a scam.

Pi coin (Pi)

Availible on:


Pi coin is the native cryptocurrency that runs the Pi Network app. The network remains secure due to this coin. Yet, since the coin has non been listed on whatever exchanges,
it currently holds no real value. Its value is pegged to its scarcity which is achieved through its regular mining reward halving.

Tokenomics and distribution

Since the token has withal to exist listed and is governed past referrals, the formula for calculating the token supply and distribution differs.

  • Full Max Supply: M + R+ D where M represents “mining reward,” R represents “referral rewards,” and D represents “developer rewards.”
  • Mining Supply: A stock-still mining supply is established for every person who joins the network upwards to the first 100 one thousand thousand participants. Therefore, a fixed amount of pi is pre-minted and is released in time based on the user’s engagement.
  • Referral Supply: Based on fixed referral rewards minted per person and shared with or by referrer and referee.
  • Programmer Supply: Additional pi minted to support evolution as the network scales.

How does Pi coin work?

Currently, the pi coin cannot be bought or sold since it is not listed on any exchanges. Besides, the coins cannot exist withdrawn or transferred since at that place is no such matter as a pi wallet yet. Once the mainnet is launched, the app volition likewise serve as a wallet.
To earn pi coin, you must download the Pi Network app
and start mining with the click of a button.

How to mine Pi cryptocurrency

Pi mining

Since pi is non listed on the exchanges all the same, in that location’s no way to really purchase the coin. However, you can mine pi via the Pi Network app which can be downloaded on both iOS or Android devices.

Stride one: Register a complimentary business relationship on the Pi Network app

First, you need to download the app on your mobile device. Simply head over to your phone’s app store and search for Pi Network. Once downloaded, you volition be asked to sign up with Facebook, phone number, or Apple ID. You volition then choose a countersign and fill in your personal details.

Pi Network mining app

Footstep ii: Submit your invitation lawmaking

Users who take been invited to the network past referral will be asked to provide the invitation code. Otherwise, if you join without 1, your mining rewards volition be minimal. You miss out on the opportunity to mine 25% more of your base mining charge per unit.

Pi referral code

Step 3: Start mining

When you get started, you volition have the option to explore the carte. To get-go mining, just click on the button on the top-right side seen in the yellow circle. You will need to click the button every 24 hours to replenish your mining.

start mining pi coin

Step 4: View your earnings

In add-on, you tin can ever refer to the app to view your earnings, mining rate, and all the details of your membership when y’all click on the mining button once more.

mining details

Is the Pi Network a scam?

Is Pi Network scam?

The Pi Network has been labeled a scam or fraud.
This is due to the coin not having any value and the long wait fourth dimension earlier a mainnet is actually launched. In improver, MLM schemes take been given a bad reputation for allowing people on higher levels to earn more than those at lower levels. Yet, many argue this isn’t the case with Pi. The fact that only the developers are making coin from the network is besides a cause for suspicion.

Why Pi Network might be a scam

Many of the reasons circulating that indicate Pi Network may be a scam include:

  • No coin value
  • MLM (pyramid) scheme
  • Emphasis on the founder’southward academic credentials for marketing (like to other scams)
  • App provides no utility
  • Undetermined mainnet launch date

Why Pi Network might not be a scam

On the other side of the money, in that location are others who don’t believe the rumors that Pi Network is a scam. Some reasons to consider include:

  • The project’southward founders are highly experienced and respectable Standford University researchers
  • A stiff community of backers and users
  • Community development is underway to create more apps for their platform
  • Since the coin has no value, in that location’s nothing really to scam
  • Successful launch of an enclosed mainnet and Pi wallet in 2021

Pi Network adds a new dimension to mining

While many investors shy away from traditional mining due to expensive machines and ability usage, Pi Network may have provided a feasible solution. Given the controversial nature of the project such as no pi coin value, no mainnet, and no blockchain, the network remains speculative.

Nonetheless, if the developers of Pi Network manage to reach stage three of their plans, a new dimension of crypto mining would ensue. The innovative concept of mobile mining with no money down would give access to just about anyone. As of at present, the simply matter to lose is your time.

Oftentimes asked questions

Yes, Pi Network is costless to employ and free to mine. All you lot need is an invitation from another user or just start mining for fewer rewards on your own.

Pi money currently has no toll as information technology is non still listed on any crypto exchanges. The listing could happen after a mainnet launch.

Some people say it’s a scam because the coin has no value and they have nonetheless to meet a mainnet launch. However, those in favor of the projection debate that pi money is legit. Since no money is needed to utilise the network, there’s zilch really to lose.

The pi money doesn’t really be. Withal, the project, the founders, and the mining rewards on the Pi Network app are real. Whether or non the coins mined will be of value in the future is up to speculation.

Pi network is a relatively new digital currency projection that aims to provide a free and efficient means of mining cryptocurrency. The Pi Network app allows users to mine pi money and rewards are based on referrals.

Currently, there is no appointment prepare for stage three of Pi Network’south roadmap. This may happen in the future.

No. Pi coin is merely available to mine on the Pi Network app and is not still listed on crypto exchanges.

Since pi coins cannot be traded on exchanges, in that location are no pi coins currently in circulation. Almost 80% of mined coins are locked up which is more than 1 billion, with 200 million more bachelor.

Disclaimer

All the information contained on our website is published in expert faith and for full general information purposes simply. Any activeness the reader takes upon the information found on our website is strictly at their own risk. At Learn, our priority is to provide high quality information. We take our fourth dimension to place, research and create educative content that is useful to our readers. To maintain this standard and to keep creating awesome content, our partners might reward us with a commission for placements in our articles. Withal, these commissions don’t touch on our processes for creating unbiased, honest and helpful content.

Source: https://beincrypto.com/learn/pi-crypto-network/

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