Is Pi Network a scam or not?
Key Takeaways:
Pi Network Mainnet launch is nowhere in sight
The project has not been audited and has a low-security score.
PI coin has flatlined for several months.
YEREVAN (CoinChapter.com) – Pi Network keeps making headlines despite being unable to deliver on its long-extended mainnet launch promise. The project’s initial intent was to launch it on Pi Day, i.e., April 14. However, as April came and went, Pi Network news did not include a set date.
The team’s disregard for their followers raised the question – is Pi Network a scam or not?
Pi Coin is security-challenged, but is it a scam?
Pi Network recently announced that the Pi community, or ‘Pioneers,’ had grown to over 47 million users. Furthermore, the network announced new initiatives on June 28, or Pi2 Day (6-28), proposing a ‘Utility Challenge,’ which was designed to engage community members and possibly distract them from the absence of the promised Mainnet.
Pi Network celebrated the growth of its community on Pi2Day
The challenge also aimed to incentivize interactions with recent apps and “foster utility creation and ecosystem building,” Pi Network said in an announcement.
Meanwhile, the deep dive into Pi Network audits to determine whether it’s a scam or not wasn’t deep at all. According to a crypto security company CertiK, Pi Network might be afloat on Pioneer enthusiasm alone. Pi scored highest on the “community trust” front and Twitter activity, securing a place in the top 15% percentile.
However, the security score was not as promising. While some publications claim that Pi Network has a CertiK audit under its belt, the website says otherwise. Instead, the Certik Analytics team reviewed the project, giving it a 56 score out of 100, which does NOT equal an Audit process.
The breakdown on the right shows that the Network earned the most points for Operational Resilience and Community Trust. Code security only scored 37 out of 100, and governance strength stood at 30, along with Fundamental health.
Pi coin Price flatlines
Notably, the platform creators also shilled the coin ahead of Pi Day on March 14, and as a result of the social media hype, the Pi coin price rose nearly 60% from March 11 to 14. However, the token pared all the gains in the following three days, confirming the “buy the rumor, sell the news” strategy.
However, the PI coin price has been flatlining around $22 for the entire Q2. Additionally, the token traded over 91% lower than its record price, unable to break a down-sloping resistance trendline.
As a result, the PI coin traded only 20% above its all-time low.
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Filed under: Bitcoin - @ July 6, 2023 8:17 am