π Pi Cryptocurrency Mining
Updated: Jul 30, 2021
I am sending you 1π! Pi is a new digital currency developed by Stanford PhDs, with over 10 million members worldwide. To claim your Pi, follow this link https://minepi.com/JayTee121 and use my username (JayTee121) as your invitation code.
Pi Network is a digital currency project that aims to keep crypto mining accessible as the centralisation of the first generation of currencies like Bitcoin has put them out of reach of everyday users. The Pi Network, developed by a team of Stanford graduates, enables users to mine coins using its mobile phone app, validating transactions on a distributed record.
With branding based on the number π, Phase 1 of the project launched in 2019 on Pi Day, March 14, with its free Pi mining app. By June 2019, the network had more than 100,000 active users, and a year later when Phase 2 launched there were more than 3.5 million. The app started running ads in May 2020 to provide a source of financing for the project. The user base reached 14 million in March 2021, having crossed the 12 million mark in February.
Pi Coin is the cryptocurrency that runs on the Pi network, and as with other cryptos such as Bitcoin, PI was designed to undergo regular “halving” to protect its scarcity. Halving is when the number of coins that a miner receives for processing new transactions are reduced by half when a certain milestone is reached.
Pi’s mining rate halved from 1.6 π per hour when it reached 100,000 users, halved again to 0.4 π per hour when it reached 1 million and again to 0.2 π when it reached 10 million. It will continue to halve, reaching zero at 1 billion users.
During the current second phase of the project, users can volunteer to test out Pi Node desktop software on their computer. But when will Phase 3 launch – will it be in 2021? According to the developers, the start of the third phase has not been predetermined but depends on the progress made in the second phase.
Unlike nodes in networks such as Bitcoin or Ethereum that use proof-
of-work protocols, Pi Nodes use an algorithm based on the Stellar Consensus Protocol (SCP). Pi Nodes validate transactions on
a distributed ledger and reach a consensus on the order of new transactions that the ledger records.
Under the SCP, PI No
des form security circles, or groups, of three to five trusted people known to each of the networks’ users. Security circles build a global trust network that prevents fraudulent transactions, as transactions can only be validated on the shared ledger if the trusted nodes approve them.
Pi Coin remains in pre-release
If you are wondering how to buy Pi Coin for your portfolio, it is not yet possible. Users that have mined the Pi cryptocurrency will only be able to withdraw or exchange their coins during the third phase of the project when Pi moves to a completely decentralised blockchain. Pi cannot be transferred during the testing phase, to prevent fake accounts from accumulating coins, according to the project website. Pi wallet balances are expected to be honoured when Pi shifts from the testnet to a mainnet, when the blockchain protocol comes out of development and is fully deployed.
As a result, Pi Coin is not yet available to trade on any of the cryptocurrency exchanges or trading platforms.
Once Phase 3 launches, holders will be able to take full control of their private and public wallet keys and use the coin to buy products and services on Pi’s peer-to-peer marketplace or exchange it for fiat currency. Without the keys, users cannot transfer or spend the currency they hold.
The Pi mobile app acts as a cryptocurrency wallet, linked to a user’s phone number or Facebook account. As with other public blockchains, the Pi blockchain will allow external wallets to hold Pi coins and transact with them by submitting transactions directly to the blockchain. However, unlike other blockchains, its developers have not yet released its source code.
In December 2020, the Pi developers introduced a new Pi Brainstorming app to allow users to propose app ideas, join projects and engage other users.
Early adopters are accumulating Pi crypto in anticipation that the price will rise sharply after Phase 3 goes live. Although the coin’s mining rate has been reduced by halving, users can increase their mining rate by connecting with other active miners. New users can only join the Pi Network if they have a referral code from another user.
The project’s developers claim that the security of the Pi Network is enhanced by personal networks, encouraging users to bring in friends and family – which is prompting scepticism that it is a multi-level marketing or pyramid scheme. However, it is worth noting that users can only earn coins from their own direct networks – and not from their connections’ networks as with an MLM scheme.
Some cryptocurrency observers have already started to make their Pi Network value prediction. Let’s take a look at what the Pi price is likely to be when it does start trading.