Pi Network is struggling with multiple challenges, from KYC problems to declining user interest the market sentiment towards Pi is fading. Adding to the woes, the Pi Network has seen its price dip below the crucial $1 mark from its all-time high of $3, leaving many Pioneers questioning its long-term potential.
Despite efforts to expand the ecosystem with projects like PiDaoSwap and the launch of .pi domains, concerns over the network’s structure have overshadowed its progress. Now, fresh scrutiny over its SuperNodes has sparked debate over whether Pi Network is truly decentralized or just another centralized system in disguise.
SuperNodes: A Centralization Problem?
Pi Network claims to be a decentralized, community-driven project, but in reality, its core team (PCT) controls the SuperNodes that validate transactions. Unlike Bitcoin or Ethereum, where thousands of independent nodes secure the network, Pi’s system remains tightly managed. Initially, only three SuperNodes existed, all controlled by PCT in Canada and Finland. While the number has now grown to 42 as per Piscan.io, there’s little transparency.
The team hasn’t shared a list of these SuperNodes or explained how they are selected, leaving many Pioneers confused about the process.
However with the recent price drop, KYC details, controversy over its claims of decentralization. Many Pioneers are growing frustrated with the lack of rewards and participation opportunities. A Reddit post asking, “What is a SuperNode?” received vague responses from the team, only detailing their technical role without clarifying how one could become a SuperNode.
On the other side, regular Pioneers who have been running nodes for months report no progress or rewards, further fueling skepticism. Some fear that only a select group with insider knowledge or powerful hardware can qualify, contradicting Pi Network’s vision of making crypto accessible to all. If participation is restricted, then is Pi Network really as decentralized as it claims to be?
Whom to Blame?
Meanwhile, the Pi Network Core Team reassured users that they are working hard behind the scenes to give Pi the value it deserves. They blamed the price drop on Pioneers who are only selling Pi instead of buying. According to them, once people start buying, the price will surge.
Is Pi Network a Scam?
Crypto analyst Justin Bons, Founder & CIO of Cyber Capital, has openly called Pi Network a scam. He pointed out flaws in its technology, tokenomics, and centralization, arguing that Pi relies heavily on Stellar’s technology and lacks true decentralized finance (DeFi) potential. Bons also criticized its mining model, likening it to a Ponzi scheme.
For Pi Network to regain trust, PCT must address these concerns by making the SuperNode selection process transparent, publishing a list of approved nodes, and ensuring fair rewards for participants. Until then, doubts will continue to overshadow Pi’s vision, and its price may struggle to recover.
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FAQs
Pi’s price is falling due to declining interest, lack of utility, unclear decentralization, and users selling instead of buying as per the core team.
Critics, including analysts like Justin Bons, argue Pi lacks true decentralization and resembles a Ponzi scheme, sparking scam concerns.
Pi Network claims decentralization, but its SuperNodes are controlled by the core team, raising concerns over centralization and transparency.
