Pi Network Token Dips 86.5% Amid Controversy Over $100M Fund and Token Unlock

Pi Network is currently navigating a period of volatility as its token price hovers near a recent low of $0.355, raising concerns among its large and active community. The decline, which followed a peak of $2.99 in April 2025 after the mainnet launch, has been attributed in part to the announcement of the Pi Network Ventures initiative—a $100 million fund aimed at expanding the project’s real-world utility through e-commerce, AI, and social platform investments. While this was intended to drive long-term growth, it instead triggered backlash from users, with 60.6% of those surveyed expressing “deep disappointment” [1].

The price drop has intensified scrutiny around the token unlock process, with 160 million PI tokens set to be released by 2025. Analysts warn that without sufficient demand, this could lead to increased price volatility, echoing past patterns observed in Pi Network’s market history [1]. Market analysts suggest that this unlock event could further strain investor confidence, especially if the supply increase is not matched by growing demand or utility [1].

Community sentiment remains divided. On one side are long-term supporters who continue to emphasize Pi Network’s technological advancements and its potential to reshape the digital landscape. Dr. Nicolas Kokkalis, the project’s founder, has reiterated the team’s commitment to a gradual, transparent development process, stating, “The future of Pi is being built carefully, brick by brick.” On the other side, critics like Dr. Altcoin argue that the project has failed to deliver on key promises, including functional decentralized applications (dApps) and clear governance structures for referral and reward systems [1].

A key point of contention has been the “Purity Badge,” a status reserved for Picoin that has never been transferred to an external wallet or exchange. According to Binance Square, only about 1 million Picoin retain this badge, and coins sent to centralized exchanges permanently lose it and may be excluded from full mainnet features. This has sparked debate over individual ownership rights versus project governance [1].

Amid the growing discontent, the Core Team has emphasized its focus on real-world utility over short-term price performance. The @PiNetwork_info account on Twitter stated, “Pi doesn’t need exchanges—it needs utility. Price follows utility,” a sentiment that resonates with a segment of the community that believes in the project’s long-term vision [1]. However, others are pushing for listings on major exchanges like Binance and Coinbase, arguing that broader market access is essential for liquidity and price discovery.

The upcoming launch of the Open Network in Q1 2025 is expected to mark a major milestone, as Pi Network transitions to full decentralization. This will allow the community to run their own nodes and expand the token’s use cases in Web3, including staking and DeFi. Despite the current challenges, Pi Network remains a significant project in the blockchain space, with over 10 million verified users who have migrated to the mainnet [1].

Criticism from industry figures has also intensified. Bybit CEO Ben Zhou has reiterated his stance against Pi Network, calling it a scam and confirming that his exchange will not list its token. Meanwhile, rumors have circulated on social media that tokens traded on exchanges may be deemed invalid and burned, with the GCV-based economy remaining intact [1].

As Pi Network moves forward, the community faces a crossroads. Whether the project can regain trust and deliver on its ambitious vision will depend on the cooperation between the Core Team and the user base, as well as the project’s ability to demonstrate tangible progress and value in the months ahead.

Source: [1] Pi Network Core Team Accused of Betrayal? Facts ... https://www.hokanews.com/2025/08/pi-network-core-team-accused-of.html