Pi Network tokenomics: Will mined Pi tokens be part its circulating supply?
Mined Pi tokens is also a part of the network’s circulating supply. The protocol adopts a lock-up mechanism in place to control volatility. Here we will briefly explain the Pi Network tokenomics, revealing essential information about its circulating supply.
First of all, here’s a detailed summary of everything we’ve covered on Pi network thus far that you may be interested in:
- Launched on Pi Day, March 14, 2019, Pi Network is a mobile blockchain mining project on a mission to give everyone access to the crypto revolution.
- This is accomplished by allowing anyone to mine Pi coins on their mobile devices without negatively impacting their battery life.
- Pi crypto project uses Stellar’s FBA mechanism, making it safer and more modern than the PoW consensus algorithm.
- Users’ mining capacity depends on the growth of their ecosystem, as the network uses halving to protect the value of Pi coins.
- Pi Network launch date: Pi Network has evolved over the years and is currently at a vital stage of its Enclosed Mainnet development leading up to the Open Mainnet launch. The final stage of opening the mainnet to the public is on schedule, but there is no definite timeline yet.
- Though several exchanges such as Huobi have listed Pi coin for trading in late 2022, the Pi Core team asserted that all these listings are conducted independently of the team, which are not approved and are not in line with the network’s policies. The team is calling for the removal of the coin from these exchanges and is warning users not to engage in trading at this time.
- As the hype around Pi ecosystem has been going on for years and the Pi network launch date remains unknown, some experts believe that it is just a scam.
Deep dive into the Pi Network tokenomics and mining
Recently, there have been some misconceptions about the PI native token among pioneers in the Decentralized Finance (DeFi) space. One misinterpretation is the role of mined Pi in the protocol’s tokenomics.
Many Pi enthusiasts are faced with the problem of misunderstanding the tokenomics of the widely adopted crypto asset. In this light, we will briefly explain the Pi tokenomics below.
Given the network’s size of over 30 million users, the total mainnet supply of Pi coin is 100 billion. Of which, 80% is issued to the community, and the remaining 20% is for the Pi Core team. Therefore, the community will receive 80 billion Pi tokens, while the team will get 20 billion tokens.
The community’s PI allocation is further divided as shown in the table below:
From the table, mined Pi is part of the coin’s circulating supply. Further, the Pi Core team has integrated a lock-up system for Pi mining rewards. Hence, 80% of the circulating supply is locked for three years to sustain the token’s value in the long run.
In summary, Pi’s total circulating supply is 100 billion tokens. Mined Pi is included in the circulating supply. However, there is a lock-up mechanism imposed on the token’s circulation. For more information about Pi tokenomics, visit the Pi mobile application and read its new whitepaper.