Pi Network Unveils New Ecosystem, Promises to Bring the Token to the Real World

Despite the Open Network phase being live for over two months, the only notable development had been the shift from three central nodes to 23 global nodes

The Pi Core Team (PCT) has announced the formation of Pi Network Ventures and the Pi Foundation, a move that is intended to help facilitate the sustainability and functionality of the network for the future.

According to a statement on the official blog, Pi Network Ventures is a development initiative of $100 million held in Pi and U.S. dollars to strategically invest in startups and businesses, including those that advance the utility, adoption and real-world impact of Pi.

The goal is to bring Pi to the real world through strategic investments in startups and businesses that align with the vision and values of the Pi community.

Meanwhile, the Pi Foundation is an ownerless organization that will focus on the long-term development of the Pi ecosystem.

The foundation is meant to serve the common good of the Pi community and will be guided by principles of decentralization, open-mindedness and collective interest.

"We believe that by working together, we can create a brighter future for all," the team said.

However, many users expressed disappointment with the slow progress of the project.

"I was expecting a major price surge after May 14 when the PCT promised to launch a new ecosystem. That did not happen," said Hoang Ha, a Vietnamese Pi user since 2022.

He said he received around 500 Pi tokens last year through daily check-ins and recently spent over $1,000 to buy more tokens when the price dropped to $0.50 last month.

"Though I have not lost money, I am disappointed with how slowly the project is progressing after more than six years."

Many echoed this frustration on social media, questioning whether the project has the capacity to deliver what it promised. Some suggested the venture fund announcement was simply a strategy to attract new users.

"This is just a way for the PCT to say we are prolonging the project," said Hoang Khang, a Pi investor for over four years, in a Facebook group with 150,000 members.

His comment drew widespread support. "I do not see any serious effort to develop the ecosystem. If there is one, it is moving far too slowly and testing users’ patience."

Another user, Minh Anh, said: "The PCT once promised to release 100 decentralized applications by the Open Network launch in February, but we have yet to see any progress.

"Now, they announce a $100 million fund without providing transparency. So far it is all talk with no execution."

Market reaction to the announcement was similarly negative.

The token’s price plunged from $1.69 before the announcement to $0.81, a 52% drop, before recovering slightly to $0.88.

According to Hoang Anh, an admin of a Facebook group focused on Pi Network, users remain hopeful of a functioning ecosystem where the token could be used in real transactions.

"This move by the PCT really challenges the community’s patience, especially those trying to prove Pi is a serious crypto project, not just a check-in app to collect tokens."

Meanwhile, Nguyen Ha Minh Thong, founder of a private investment firm Cabo Capital in HCMC, said Pi Network could succeed if it seriously commits to its venture fund, builds the ecosystem and capitalizes on its 60-million-strong investor base.

But he cautioned that it is too early to judge. He pointed out several limitations, including the inability to withdraw Pi from exchanges, high price volatility, lack of transparency, and scam risks.

"Pi’s price dropped sharply after listing and remains unpredictable. This kind of volatility may result from pump-and-dump schemes or fear of missing out. Inexperienced investors could get trapped and face heavy losses."

Crypto experts have previously warned about the risks tied to meme-coin-style projects like Pi Network, which are vulnerable to pump-and-dump cycles.

Launched in 2019 Pi Network promoted itself as a way for users to mine the crypto for free by tapping a button in its mobile app daily.

Vietnam is among the countries with the most miners. The project has been controversial, taking nearly six years to launch its mainnet before finally allowing users to transfer Pi to exchanges for trading on Feb. 20 this year.

But the project is still viewed as an incomplete blockchain initiative, lacking smart contract functionality and open-source transparency.

To date the development team has only introduced limited updates, including a domain name auction feature, the PiFest shopping campaign and a few small-scale applications.