September Token Flood Tests Pi Network's Survival Strategy

Pi Network is encountering growing concerns over potential oversupply amid the unlocking of a substantial number of tokens scheduled for September. These developments coincide with the project’s recent expansion in accessibility and ongoing protocol upgrades, which have been designed to enhance real-world utility and ecosystem participation. The token’s price trajectory, however, remains weak, with analysts attributing this to a combination of elevated supply on centralized exchanges and limited liquidity.

According to data from Piscan, more than 164 million PI tokens are set to unlock in September 2025, adding to the existing 420 million PI tokens held on centralized exchanges (CEXs) as of mid-August. This represents a significant increase in available supply within a market environment characterized by low trading volume—currently below $100 million per day—raising concerns about the potential for further price declines. The pressure is compounded by a history of underperformance in September for the broader cryptocurrency market, suggesting a bearish outlook for the near term.

To combat this, Pi Network has taken strategic steps to improve ecosystem accessibility and adoption. On September 1, 2025, the token was listed on Onramp Money, allowing users in over 60 countries to purchase Pi using local payment methods such as GCash, Maya, and Alipay. This listing enhances liquidity and expands the token’s global footprint, aligning with the project’s goal of fostering real-world utility through decentralized finance (DeFi) and peer-to-peer commerce.

Simultaneously, the project has made significant technological advancements, including a major protocol upgrade from version 19 to 23. This update introduces expanded functionality inspired by the Stellar blockchain and aims to enhance control layers, improve network consistency, and address compliance challenges. The upgrade is expected to be rolled out in stages, starting with Testnet1, followed by Testnet2 and Mainnet in the coming weeks.

Despite these developments, Pi coin has struggled to maintain positive momentum. The token briefly reached $0.40 following the Linux Node update but quickly faced strong selling pressure, retreating to around $0.35. Over the past 24 hours, Pi has fallen by 4.52%, and over the last six months, it has declined by 80.98%. Analysts suggest that the token could face additional downward pressure in the short term due to the scheduled unlocks, but the long-term trajectory may stabilize once these pressures subside.

A controlled token distribution strategy has been emphasized by Pi Network, with tokens being issued to KYB-approved onramp partners rather than being dumped on centralized exchanges. This approach, advocated by crypto analyst Dr. Altcoin, aims to prioritize ecosystem utility over speculative trading. By limiting the influx of tokens into speculative markets, the project seeks to encourage participation through apps, services, and peer-to-peer transactions. The strategy also aligns with regulatory compliance, as demonstrated by the project’s partnership with platforms like Onramp Money, Banxa, and TransFi.

While the price action remains weak, some analysts remain cautiously optimistic about Pi Network’s long-term potential. The recent protocol upgrade, expanded accessibility, and focus on real-world utility could lay the foundation for sustainable growth. However, the immediate market reaction suggests that the ecosystem may face a period of consolidation as it absorbs the increased token supply and navigates broader market conditions.

Source:

[1] Pi Network Secures Major Listing, Boosting Pi Coin's Adoption (https://coingape.com/pi-network-secures-major-listing-boosting-pi-coins-adoption/)

[2] Pi Network's Latest Update Explained - And Why It's a Big Deal (https://cryptopotato.com/pi-networks-latest-update-explained-and-why-its-a-big-deal/)

[3] Pi Coin Faces Classic Pump and Dump Despite Recent Pi Network Upgrade (https://finance.yahoo.com/news/pi-coin-faces-classic-pump-160820513.html)