Pi Network – crypto mining app

One of the earliest mobile crypto currency – Pi Coins by Pi Network.

Is this real or just another scam? Well I am no crypto expert but I believe that this has at least some potential to be successful compared to the various other “mobile mining crypto” currencies out there. And yes we do have a lot such “mining” applications nowadays. Mining is actually not the correct term for it as you don’t actually do any mining. The Pi Network application basically connects to their server and issue the user coins once per day. You don’t actually do the resource intensive work (as in proof of work) on your phone. The idea is for the users to spread the word and let more users join, which actually strengthens the network.

Basically you download the application, sign up with your real name (yes your real full name) and tap a button everyday. You will need to use your real name, as in the future there will be KYC (Know Your Customer) to verify the user. Tap the button. That is it! You are “mining” already.

As to whether it is a scam, it is very unlikely considering the amount of work the developers have put into it. It was started around 2019 and thus been around for 3 years. Their “Testnet” is now in full swing and their digital wallet has been released. I tested it with a few users and the transactions were working fine. And a little bird told me that the developers were Stanford Graduates, which I guess would stand for something right?

Pi Network uses the Stellar Consensus Protocol (SCP) which basically a sort of an agreement between various “decentralized” parties. For those who are into the technology behind SCP – It is a “federated Byzantine agreement system” that allows decentralized, leaderless computing networks efficiently to reach a consensus outcome on some decision and to provide a consistent view of the network’s transaction history to all participants.

For anyone thinking that you could make a quick buck by joining this network – well you will be disappointed. It takes a very long time to mine a sizeable amount of Pi Coins. I have been mining for a few months and I got like 500 coins only. So this would most likely be for someone who can be patient. I would expect that it would be end of this year or even next year before Testnet is over and their Mainnet (phase 3) begins. Until then, we won’t know the value of the Pi Coins. And for those who believes that the Pi Coin will be worth the same as Bitcoin or even close, yes you will most likely be disappointed as well. It will never hit like a few thousand dollars per Pi Coin in the foreseeable future. Dream-much eh? However I take it as just another way to make a little passive income which I am always a proponent of. I am a phone freak anyway, so just a few seconds everyday to tap a button wouldn’t make me lose any sleep. As long as I am not paying for anything, I guess there is no real loss to me – just a few seconds of my time per day.

There are several ways for you to improve the speed of your mining. One of the ways is to introduce your friends the application and have them sign up using your referral code. That is how the Pi Network is to grow – by users spreading the word and supporting the Pi Network. You will get bonus Pi Coins per hour in relation to the number of “ambassadors” you have. And as part of the SCP, you will be able to create a “security circle” to help improve the network security. That too will earn you more Pi Coins per hour as a reward. However overall, it will be a slow process as the “mining” rate of Pi is rather low. Honestly I don’t mind that much. Some users might not. So if you are the impatient type, then this will not be for you.

Oh and as time goes by, the “mining” rate will be halved. So it is actually better to start “mining” earlier rather than later. Those who started mining way before when the Pi Network just started would probably be laughing at us right now. I guess that is how such network goes. Those who started the earliest probably will be making the most. Of course they would have to be the ones who have lots of patience to continue “mining” right?

Furthermore they have SDK for developers to work on applications running on the Pi Network. But till now I only see one application which is a little app asking users to update on their condition due to the Covid situation. Yes I would prefer to see a little more activity but in the grand scheme of things, the Pi Network is still pretty new. And once it reaches “Mainnet” we will probably see an increase in the number of applications on the Pi Network. Cross my fingers. Their community is pretty active though. Their chat is active too but most of the comments and questions are basically the same – how do I sell the Pi Coins and what is it worth now. People still think it is “free money”. But technically they are not wrong. It is “free” considering that you don’t have to directly pay for it. However if the mindset of these “miners” are to dump the Pi Coins once there is a chance to exchange for fiat currency or other Cryptocurrencies, the Pi project itself is in serious trouble.

So if you are still interested in the Pi Network, you can make use of my referral link (https://minepi.com/u27g8mdm) or my code (u27g8mdm) as your invitation code when installing the app. It is available for Android and iOS. You get a free Pi Coin immediately. However if your friends or relatives have their own code, I would highly suggest that you use theirs as it will help improve the security of the network as they can add you to their security circle. You can then add more users to the network by sharing your code with your friends or relatives. That is exactly how the Pi network would grow.

I have a review on the Bee Network App if you are interested. I believe they are a direct clone (with a better interface) of Pi Network. Check out my little review.