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Pi Network token soars to new ATH amid fraud allegations and market skepticism
Pi Network’s native token has soared to a new all-time high less than a week after its mainnet launch despite mounting concerns over its legitimacy.
Data from CryptoSlate shows that Pi has gained over 30% in the past 24 hours and surged nearly 200% over the last week, reaching a record high of $2.98.
During this period, Pi’s trading volume surpassed $3.5 billion, placing it among the most traded cryptocurrencies in the industry.
Based on these figures, Pi’s self-reported market capitalization exceeds $18 billion, positioning it among the top 15 digital assets by market cap.
Pi scam allegations
While Pi Network’s rapid growth has attracted attention, skepticism surrounds its credibility. Critics argue its structure mirrors a pyramid scheme, and concerns over transparency remain.
For context, Bybit CEO Ben Zhou has openly criticized Pi, referencing a Chinese police report that labeled it fraudulent. According to him, the authorities claim the project targeted older individuals, harvested their data, and contributed to financial losses, including pension depletion.
Moonrock Capital’s CEO, Simon Dedic, has also voiced doubts about Pi’s legitimacy. In a social media post, he questioned the accuracy of Pi’s reported $26 billion fully diluted valuation and 60% token circulation.
Dedic stated:
“Pi Network has built a strong cult following among non-crypto users who shill it purely for financial reasons, without even understanding what PI is supposed to do.”
Considering this, Dedic concluded that Pi’s token holds no real value and predicted a 99% price drop over time.
He wrote:
“This is just a giant Ponzi that faked it till they made it. They mastered virality by promising “free money” and leveraging word-of-mouth marketing to go mainstream. Definitely study PI’s growth tactics for your next word-of-mouth campaign, but don’t fall for the scam…There’s zero intrinsic value behind PI, and I fully expect this to be down 99% in a few years.”
Pi dismisses allegations
Pi Network has repeatedly denied accusations of fraud and recently made a statement to that effect on Feb. 22.
The team clarified that a Chinese police department had warned about bad actors falsely associating themselves with Pi. The project stressed that it had no connection to these individuals and had not been contacted by authorities regarding the matter.
Pi Network reiterated its legitimacy, pointing to its six-year development history and an active user base exceeding 60 million. The team emphasized that its cautious approach was designed to ensure a stable launch and build a strong community before fully deploying its blockchain.
The post Pi Network token soars to new ATH amid fraud allegations and market skepticism appeared first on CryptoSlate.
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