The desktop and mobile apps for The Pi Network, created by a team of Stanford University alumni, let users mine PI cryptocurrency tokens while validating transactions on a distributed record.
Pi nodes employ an algorithm based on the Stellar Consensus Protocol, as opposed to nodes on networks like Bitcoin that use proof-of-work (PoW) protocols (SCP). A distributed ledger’s Pi Nodes verify transactions and agree on the sequence in which to record new transactions.
When connected to a user’s cell phone number or Facebook account, the PI mining app functions as a cryptocurrency wallet. The Pi blockchain will permit external wallets to keep PI currency and submit transactions directly to the blockchain, just like existing open blockchains. But unlike other blockchains, its creators haven’t yet made the source code available.
The PI mining app serves as a cryptocurrency wallet when linked to a user’s mobile phone number or Facebook profile. Like other open blockchains, the Pi blockchain will allow third-party wallets to store PI currency and submit transactions directly to the blockchain. However, its developers haven’t yet made the source code accessible, unlike other blockchains.
Pi Day, March 14, 2019, marked the beginning of Phase 1 of the project, which featured branding based on the mathematical constant and a free PI mining app. By the month of June, the network had over 100,000 users who were actively using it. A year later, there were more than 3.5 million users when Phase 2 was released.
The app started airing adverts in May 2020 to raise money for the project.
Pi Network announced on March 15, 2022, that its user base has more than doubled from 14 million in March 2021 to 33 million in March 2022.
Like other cryptos like Bitcoin, the regular “halving” of PI serves to maintain its rarity. When it is divided in half, the amount of coins a miner receives for processing new transactions is “halved”. It usually occurs following a particular success.
When PI reached 100,000 users, its mining rate decreased from 1.6 to 0.8 per hour. It then decreased once more to 0.4, and then when it reached 1 million users, it decreased once more to 0.2 per hour. The network’s user base will start to decline at 1 billion people and keep halving until it reaches nothing.
In November 2021, the development team started releasing software and product updates. These included the experimental Know Your Customer (KYC) app and Block Explorer.
The KYC App Pilot was tested with community moderators before being made “on a limited basis” available. Its goals were to improve machine automation and usability as well as to start the Pioneers validation process. The Pi Block Explorer was also introduced, enabling Pioneers to examine transaction specifics including sender, receiver, and amount, as well as transaction history.
The developers were also able to create push alerts to notify Pioneers when they receive payments on the blockchain thanks to a problem that prohibited Android users from accessing their wallet passcode.
Before its formal launch, Pi Network created a “Enclosed Mainnet” on December 28, 2021, to conduct extra testing. Along with “infrastructure to provide Pioneers a simulation of the coming mining formula,” a new mining mechanism was also implemented.
The KYC app was first made available to just a small number of thousand pilot customers for testing, with a cap of 100 Pioneers per country or region.
On Pi Day this year (March 14, 2022), the development team unveiled two further improvements: the adoption of a widespread KYC solution and a new PI mining method that permits more diversified mining rewards. These acts may boost the value to advertisers.
The developers added that they would start rolling out KYC “on a broad scale” to eligible consumers on March 16th.
Pi Network asserted on May 19 that it had engaged 35 million Pioneers.
On August 23, 2022, Pi Network polled its followers on Twitter. The results revealed that 61% of Pioneers (Pi Network members) had received a referral from a friend. Coworkers and family received 17% and 4%, respectively. 18%, or 54,722 people, selected “Other.”
