The price of the PI currency was under pressure last week after the long -awaited ecosystem news occurred disappointing. Coin Network Coin was traded at $ 0.80 on Wednesday, a 52 % decrease from the highest point this month. This article explores whether the PI is a ghost chain and a price effect.
PI aims to change the encryption industry
Pi Network is a encryption project that started seven years ago to solve a major problem facing Bitcoin: the cost of mining. Bitcoin’s mining has continued over the years, and is now dominated by the large companies circulating for the public such as Mara and Riot Platforms, which manages huge mining farms.
Pi Network has become common by creating a platform that enables anyone with a smartphone to replace the coin. Users only need to download an application and then start mining coins by clicking on a button.
PI also expressed the challenge solution that Bitcoin lacks the features of the smart nodes, making it almost impossible for developers to build a DAPS over it. Developers’ tools were provided to build applications in industries such as e -commerce, games and decentralized financing (Defi).
The goal of PI was to use its currency in the physical and digital worlds, giving it benefit. Also, as with other chains, the Pi Network hoped that these transactions costs are used to burn the distinctive symbol, which reduces those in trading and enhances their price.
The presence of an ecosystem was so important that it was a condition for Mainnet. She had to have at least 100 ready -made applications.
Do I have a chain of ghosts?
Therefore, the question is whether the PI network is a ghost chain or not. The ghost chain is the Blockchain project that has no developers and applications in its ecosystem. It also indicates these chains with ecosystems that people do not use.
A closer look at the PI’s ecosystem shows that there are market applications. PI maps are a search engine that shows the sites of companies that accept the PI.
PI fruits are a game that has become somewhat common in the ecosystem. Other network applications are WorkforcePool (A UpWork of PI), MyfestMap, PET for PI and ChatGPT for PI.
The challenge facing the PI network is that there are signs that developers do not build on their technology staple. Also, no application was ready for the prevailing employee in the past few months.
This explains the reason for the launch of the Network Ventures last week. This initiative will witness that the company is publishing $ 100 million to finance startups that benefit from the PI’s ecosystem.
The ecological system fund is a good initiative launched by other Blockchains similar initiatives. Solana has an environmental fund worth $ 300 million, while Ethereum launched a $ 1.03 billion fund. Kava, Skale, Harmony, Kadena and Velas are other chains with similar funds.
The challenge facing the PI network is that the process of identifying projects represented in its financing will take time. After that, the process of building long requests will be.
Other chains such as Harmony, Kadena and Velas have also explained, it is not possible for projects to receive funding. KDA’s KDA’s KDA value is now $ 183 million, while Velas, which launched a $ 100 million fund worth $ 11 million.
Central problem
In addition to being a ghost chain, the PI also faces accusation as a very central network.
This accusation stems from the fact that it is supervised by two entities: Pi Core Team and Pi Foundation.
For a project with a fully diluted evaluation of more than $ 70 billion, holders of the distinctive symbol should learn more about these entities. Also, there should be a clear review by the higher reviews.
There is nothing known to the PI Core team and the institution, if it is present. Besides, the PI Foundation today controls more than 90 billion. As such, the PI contract gives this basis the benefit of suspicion that it will do the right thing and not empty the symbols.
There is also a risk of penetrating these titles, which leads to great losses for the distinguished symbol holders.
The fact that it is a chain of ghosts and it is very central explaining why many prevailing exchanges such as Binance and Coinbase have not been included. This also explains the reason for the collapse of the price of PI.
Read more: Prediction at the PI network: Will the PI currency be recovered from this diving?
Publication behind the noise: Is the PI network a 70 billion dollar ghosts? First appeared on Invezz
