Stellar News Today: Pi Network's Protocol 23: Can Stellar Integration Turn the Tide Against Liquidity Crisis?

Pi Network has announced significant progress in its mainnet expansion, with the Protocol 23 upgrade expected to launch by late Q4 2025 or early 2026. The upgrade integrates Stellar Core v23.0.1, enhancing scalability, transaction efficiency, and smart contract capabilities. Developers are currently testing the protocol on Testnet, with plans to transition to Testnet 2 before final deployment on the mainnet Pi Network Mainnet Update: Pi Coin Price Prediction …^[1]. The upgrade aims to position Pi Network as a competitive blockchain platform by introducing decentralized finance (DeFi) tools, including a decentralized exchange (DEX) and automated market maker (AMM), enabling users to trade tokens and create liquidity pools in a secure environment Pi Network Nears Major Protocol v23 Upgrade—Mainnet Launch …^[2].

The Rust Software Development Kit (SDK), modeled after Stellar's Soroban toolkit, is being developed to streamline smart contract deployment for developers Pi Network Mainnet upgrade Q4 launched! protocol v23 …^[3]. This toolset is expected to lower entry barriers for application development, fostering ecosystem growth. The Pi Core Team emphasized a deliberate approach to implementation, prioritizing precision over speed Pi Network Mainnet Update: Pi Coin Price Prediction …^[1]. Analysts like Dr. Altcoin noted that while technical advancements are critical, addressing liquidity challenges through token buybacks or burns may be necessary to stabilize Pi Coin's price Pi Network Mainnet Update: Pi Coin Price Prediction …^[1].

Pi Coin, currently trading at approximately $0.2368, has faced prolonged downward pressure, with its market capitalization dropping to $1.92 billion from a peak of $18 billion Pi Network’s Mainnet Set for Major Upgrade in Q4 2025^[4]. Despite the decline, technical indicators suggest potential for a short-term rebound. The Relative Strength Index (RSI) for Pi Coin has fallen to 24, indicating oversold conditions, while recent token unlocks-releasing fewer than 120 million Pi-have reduced selling pressure Pi Network’s Mainnet Set for Major Upgrade in Q4 2025^[4]. Additionally, 2.5 million Pi tokens have been moved to self-custody wallets, signaling long-term holder confidence Pi Network Mainnet Update: Pi Coin Price Prediction …^[1].

However, challenges remain. The upcoming release of 110 million Pi tokens in 2025 could exacerbate supply-side pressures, and low trading volumes ($28–30 million daily) highlight liquidity constraints Pi Network Mainnet upgrade Q4 launched! protocol v23 …^[3]. Analysts caution that without strategic interventions, the network may struggle to regain momentum Pi Network’s Mainnet Set for Major Upgrade in Q4 2025^[4]. The Protocol 23 upgrade is seen as a pivotal test of Pi Network's ability to transition from an experimental project to a functional blockchain ecosystem Pi Network Mainnet upgrade Q4 launched! protocol v23 …^[3].

The integration of Stellar Core v23.0.1 includes key improvements such as parallel transaction execution, reduced smart contract costs, and enhanced data handling . These updates align with Pi's vision to compete with established blockchains like Ethereum and Solana by offering scalable, low-cost solutions for decentralized applications Pi Network’s Mainnet Set for Major Upgrade in Q4 2025^[4]. The success of the upgrade will depend on its ability to attract developers and users, as well as address market confidence issues Pi Network Mainnet Update: Pi Coin Price Prediction …^[1].