3 months ago
Pi Network’s autochthonal token has soared to a caller all-time precocious little than a week aft its mainnet launch contempt mounting concerns implicit its legitimacy.
Data from CryptoSlate shows that Pi has gained implicit 30% successful the past 24 hours and surged nearly 200% over the past week, reaching a grounds precocious of $2.98.
During this period, Pi’s trading measurement surpassed $3.5 billion, placing it among the astir traded cryptocurrencies successful the industry.
Based connected these figures, Pi’s self-reported marketplace capitalization exceeds $18 billion, positioning it among the apical 15 integer assets by marketplace cap.
Pi scam allegations
While Pi Network’s accelerated maturation has attracted attention, skepticism surrounds its credibility. Critics reason its operation mirrors a pyramid scheme, and concerns implicit transparency remain.
For context, Bybit CEO Ben Zhou has openly criticized Pi, referencing a Chinese constabulary study that labeled it fraudulent. According to him, the authorities assertion the task targeted older individuals, harvested their data, and contributed to fiscal losses, including pension depletion.
Moonrock Capital’s CEO, Simon Dedic, has besides voiced doubts astir Pi’s legitimacy. In a societal media post, helium questioned the accuracy of Pi’s reported $26 cardinal afloat diluted valuation and 60% token circulation.
Dedic stated:
“Pi Network has built a beardown cult pursuing among non-crypto users who shill it purely for fiscal reasons, without adjacent knowing what PI is expected to do.”
Considering this, Dedic concluded that Pi’s token holds nary existent worth and predicted a 99% terms driblet implicit time.
He wrote:
“This is conscionable a elephantine Ponzi that faked it till they made it. They mastered virality by promising “free money” and leveraging word-of-mouth selling to spell mainstream. Definitely survey PI’s maturation tactics for your adjacent word-of-mouth campaign, but don’t autumn for the scam…There’s zero intrinsic worth down PI, and I afloat expect this to beryllium down 99% successful a fewer years.”
Pi dismisses allegations
Pi Network has repeatedly denied accusations of fraud and precocious made a statement to that effect connected Feb. 22.
The squad clarified that a Chinese constabulary section had warned astir atrocious actors falsely associating themselves with Pi. The task stressed that it had nary transportation to these individuals and had not been contacted by authorities regarding the matter.
Pi Network reiterated its legitimacy, pointing to its six-year improvement past and an progressive idiosyncratic basal exceeding 60 million. The squad emphasized that its cautious attack was designed to guarantee a unchangeable motorboat and physique a beardown assemblage earlier afloat deploying its blockchain.
The station Pi Network token soars to caller ATH amid fraud allegations and marketplace skepticism appeared archetypal connected CryptoSlate.
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