tl;dr
Moonrock Capital CEO, Simon Dedic, has raised concerns about the legitimacy of Pi Network's trading activities, calling it a "giant Ponzi" with red flags. He questions the authenticity of Pi Network's trading volume and its lack of substantial involvement from the Web3 community. Dedic also referenc...
Moonrock Capital CEO, Simon Dedic, has criticized Pi Network's legitimacy and trading activities, labeling it as a "giant Ponzi" with red flags. He questions the authenticity of Pi Network's trading volume and its lack of substantial involvement from the Web3 community. Dedic also references a Chinese police report labeling Pi Network as a scam project targeted at the elderly.
Despite some defending the project, there are ongoing criticisms and warnings about its operations, with concerns raised by industry leaders and legal experts. There is also anticipation and controversy surrounding the potential listing of Pi token on Binance, with some predicting a surge in Pi's price if listed.
In a detailed post on social media platform X (Twitter), Dedic highlighted several red flags associated with the Pi Network, pointing out the giant Ponzi nature of the project and its lack of substantial involvement from the Web3 community. He also suggested that a significant portion of Pi’s reported daily trading volume is the result of wash trading, a manipulative practice. Additionally, Dedic referenced a Chinese police report shared by Bybit CEO Ben Zhou, which labeled Pi Network as a scam project targeting the elderly.
Two years ago, Vietnam’s Cybercrime Unit initiated an investigation into the project, reflecting ongoing concerns about its operations. Legal experts have also issued warnings about potential risks associated with Pi Network, and analysts have questioned the prudence of listing Pi on major exchanges.
Some analysts defend Pi Network, arguing that it offers a unique approach to cryptocurrency adoption. Additionally, businesses in Florida have begun accepting Pi Coin for transactions, indicating a degree of real-world utility. Despite its listing on exchanges like OKX, its price declined after listing.
The Binance exchange is still mulling listing the Pi token, which has sparked a mix of anticipation and controversy within the crypto space. Some investors predict a price range of $5 to $10 in April if listed on Binance.