Pi Network, a crypto project that was meant to disrupt the industry, has become one of the biggest flops in 2025 as it plunged from a record high of $3 in February to the current $0.2040.

The token has erased billions of dollars in value as the market capitalization dropped from nearly $20 billion to the current $1.7 billion. This article explores what went wrong with the token and whether it will rebound.

Pi Network is a cryptocurrency project that was launched by Dr. Nicolas Kokkalis and Dr. Chengdiao Fan to disrupt the crypto industry by solving some of the existing challenges.

For example, unlike Bitcoin, anyone can mind Pi Coin using their smartphone. Also, its transaction costs are much lower than other cryptocurrencies.

Launched in 2019, the project went viral globally, attracting over 60 million people who hoped to make a fortune mining the token. Its tools, including its browser and mining application, gained millions of users.

The project transitioned to the enclosed mainnet in December 2021, a period where the mainnet was ready but limited to external connectivity.

The enclosed mainnet period ended in February this year, allowing the token to be listed by a cryptocurrency exchange. Some of the companies that listed it are OKX, MEXC, Gate, and LBank.

However, pioneers had to pass a rigorous know your customer (KYC) process to move their tokens from the enclosed mainnet to the mainnet. The goal was to ensure that all tokens that move to the mainnet are associated with a real individual.

Also, as part of the transition from the enclosed mainnet to the real mainnet, the project needed to have at least 100 mainnet-ready applications, a move that was intended to give it utility.

READ MORE: Pi Network: From a global sensation to a crypto ghost chain

Pi Network is now widely seen as one of the biggest flops in the crypto industry, with many of its users seeing it as a waste of time. 

Besides, many people who spent years mining the token have not benefited, with many of them being locked up in the KYC process and many seeing their investments flop.

There are several reasons why the Pi Network flopped. First, unlike many new cryptocurrencies, it did not receive substantial listings by exchanges, with Bybit’s CEO calling it a fraud. 

No other major exchange has listed the token since its launch in February this year, with the most important companies like Upbit, Binance, and Coinbase ignoring it. The lack of these listings means that millions of people don’t have access to the token and that its liquidity remains low.

Pi Network price crashed because it is widely seen as a ghost chain that has no major users. While some applications exist in the network, many people don’t find them useful.

Additionally, the token is highly dilutive, with millions of new tokens coming online each week. It is estimated that over 1.2 billion tokens will be unlocked in the next 12 months.

Pi Network’s price also plunged because of its centralization, where the obscure Pi Foundation controls billions of tokens. There is no voting process and the community has no say on anything.

To be fair to Pi, the ongoing crash also coincided with the weakness in other cryptocurrencies, including blue-chip names like Ethereum and Bitcoin.

The team is also making some major changes to boost the network and its token.. For example, they are now working on a testnet of its token generator, automated market maker (AMM), and decentralized exchange (DEX) tools. The hope is that its DEX platform will be as successful as other large players like Aave and Raydium.

The developers have also made two investments: CiDi Games and OpenMind, which are meant to grow its ecosystem in the long term. CiDi Games will introduce gaming features, while OpenMind will make it an AI platform.

They have also registered the coin for Europe’s MICA, a move that will see it listed by major exchanges in the region.

Therefore, while Pi Network price has plunged, a rebound cannot be ruled out in the coming year, especially when Bitcoin and other tokens like Ethereum rebound.

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