The cryptocurrency market started October in strong form, with global capitalization climbing to $4.13 trillion, up more than 1.4% in the past day. Bitcoin is trading above $120,000, Ethereum has pushed past $4,540, and XRP crossed $3 again. Against this backdrop, Pi Network has fallen more than 3% in 24 hours to $0.26, raising questions among its community.
A major factor behind Pi’s weakness is the absence of its second-largest whale. This wallet, which accumulated 383 million Pi tokens worth over $100 million, abruptly stopped buying ten days ago. For a token that lacks exchange listings and broad liquidity, the loss of one big buyer carries significant weight.
Community concerns focus on Pi’s tokenomics. Unlike Bitcoin, which is capped at 21 million, or Ethereum, which burns supply with every transaction, Pi has chosen not to permanently remove tokens from circulation. Instead, supply is recycled back into the system.
With a maximum supply of 100 billion coins and no scarcity mechanism, many investors view Pi as inflationary. Pioneers who mined Pi for years now face dilution, while outside capital is reluctant to enter.
The Core Team recently launched a Testnet decentralized exchange and co-founder Dr. Chengdiao Fan appeared at TOKEN2049, but updates lacked clarity on tokenomics or exchange timelines.
Meanwhile, Bitcoin’s rally is drawing liquidity into altcoins, yet Pi has failed to benefit. According to experts, the project is at a crossroads: either adapt its supply model or risk losing relevance in a market that increasingly rewards scarcity-driven assets.
Mr Spock argues that Pi must rethink its economics. Options include introducing a buyback program, where ecosystem revenues purchase and lock away tokens, or implementing token burns tied to transactions and app usage. Without these measures, Pi risks becoming a token with circulation but no incentive for long-term holding.
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