Pi Token Drops 3.5% Despite Kraken Futures Launch

Kraken has introduced the first-ever perpetual futures for Pi Network’s PI token, providing traders with a new avenue to gain exposure to the asset. Despite the excitement surrounding this significant exchange debut, the price of PI has decreased by 3.5% in the last 24 hours, currently trading at $0.7821. This decline underscores growing concerns about the token's volatility and centralization.

With the launch of these new perpetual futures contracts, users on Kraken Pro can now take long or short positions on Pi with up to 20x leverage. The contract supports over 360 markets and accepts more than 40 different collateral options. This development simplifies access to Pi futures for U.S. traders, eliminating additional regulatory or platform barriers.

Unlike traditional futures, perpetual contracts do not have an expiration date, allowing traders to maintain their positions indefinitely, although funding fees may apply based on market conditions. This listing is seen as a potential indicator of increasing institutional interest in Pi, despite its absence from major exchanges like Binance and Coinbase.

Despite ongoing development efforts, Pi Network continues to face criticism over its token distribution and privacy practices. Approximately 60% of the total PI supply remains under the control of the core team. Dr. Altcoin, a prominent supporter of the project, has expressed serious concerns about the lack of transparency from the Pi Core Team, particularly regarding how user data is collected and utilized. He warns that this data could potentially be used for AI training, identity theft, or tracking users’ real-world movements. Without proper disclosure, he believes user trust and data privacy remain at serious risk.

Amid these controversies, Pi Network has introduced several ecosystem improvements, including the integration of five new community apps into the Pi Mainnet Ecosystem Interface and a simplified account recovery process. These updates aim to enhance Pi’s utility and ecosystem engagement, though questions about transparency and market readiness persist.

Pi Network’s listing on Kraken’s futures platform represents a significant milestone, increasing the project's visibility and providing traders with more market tools. However, the price slump, transparency concerns, and centralized token holdings may continue to impact sentiment. As institutional attention grows, the Pi Core Team’s next steps, particularly regarding communication and decentralization, will be closely monitored.