CAPITALB AMA Recapitulation - Pi Network

Introduction

Pi delivers on the true promise of blockchain: a massive, open community powered by the world’s most widely distributed cryptocurrency that delivers accessibility and enables a robust ecosystem for members, merchants and developers alike. The blockchain platform offers a mobile-first mining approach, with no financial costs and a light environmental footprint within the crypto space. The community boasts an engaged 35M+ members in over 230 countries or regions.

Questions From Host!

1: Can you introduce yourself to the community and the story behind creating "PI Network"?

Kozii π:
My name is Kris Kozma, the Pioneer community know me as Kozii, as that is my Pi username in Pi Network. I have been the longest standing Hungarian moderator in the Pi app, in the Hungarian chatroom. I have first stepped into the cryptocurrency scene in 2017. Since then, I have traded many cryptocurrencies, mined Ethereum, ran masternodes and contributed to different projects.

However, in June 2019, things have changed for me: I found out about Pi Network on a business forum. Just like most people, I was also confused, so I downloaded the free app from the Play Store on my mobile phone, then started mining. After a few days, I’ve read through the FAQ and whitepaper itself, which opened my eyes to the possibilities of the project. Ever since that moment, I’ve been captivated, and even though there are over 40000 cryptocurrencies out there, Pi has stuck with me since then and I share the grand vision that Pi Network is all about.

The story behind Pi Network goes like this: a couple of Stanford graduates combined their passion and expertise to create a new cryptocurrency, that solves the biggest problems with Bitcoin - not an uncommon story, right? Dr. Nikolas Kokkalis, one of the founders, was also the professor of Decentralized Applications class at Stanford University, who wrote his thesis paper on Distributed Ledger Technologies BEFORE Bitcoin was even a thing.

Back to the point, that Pi is unique, however, because Pi Network does indeed solve the biggest problem of Bitcoin which is accessibility. In order to mine Bitcoin, you need tens of thousands of dollars worth of mining equipment, with a chunky monthly electricity bill alongside to keep the operation going - to even stand a chance at earning Bitcoin.

On top of that, you need technical knowledge too.

So, for those reasons, most people can’t participate in Bitcoin mining. Their only option is to buy Bitcoin.

Therefor, Pi Network is on a mission to become the most widespread cryptocurrency and platform, that is available to anyone with a smartphone. This system is operated and ran by everyday people and the fuel that it uses is the Pi cryptocurrency itself, which is a quick and cheap method of payment, based off the Stellar (XLM) project, which derives from Ripple (XRP).

2: What's your slogan in Crypto mining Industry? How mining actually woks?

Kozii π:
“The first digital currency you can mine on your phone.” is the official slogan of Pi Network. In the Hungarian Pioneer community, I just say, “If you got a phone, you can earn Pi.”

Just so everybody is very clear: before 2009, if you asked any person on planet earth what mining was, the answer would relate to a pickaxe and someone digging away for some precious metal such as gold or silver.

Bitcoin changed this by introducing the Proof of Work consensus algorithm, where people can set up a node and use computational power from their hardware to solve complex, mathematical puzzles, and if they successfully do that, they get rewarded with Bitcoin.

What needs to be said here is that PoW is undoubtedly proven itself over the years, but due to competition as in that everybody wants to mine and earn bitocin, it has simply become unfeasible for the common man.

Pi Network, on the other hand, uses a delegated proof of stake algorithm, that derives from Stellar (XLM), which derives from Ripple (XRP) - both are established and been proven to work for over decade. Pi builds on top of the Stellar Consensous Protocol and also uses Federated Byzantine Agreeements for reaching consensous.

Essentially, this algorithm is so lightweight, that anyone can set up a node on their computer to support the Pi blockchain, but most importantly, anyone with a mobile phone can download the app and start earning Pi.

This is because individuals and nodes contribute to the consensus algorithm, in which return they receive Pi as reward on the Pi protocol. When Pioneers mine Pi, they contribute to a trust graph, which is information for the nodes (that are running on computers) to reach consensous.

So, since 2019, we now have a new way of crypto mining for the everyday man and that is by utilizing our already existing resources such as social contacts and computers. It’s a quick, easy and simple way for anyone to get started in crypto.

It’s not gold mining, it’s not bitcoin mining, it’s Pi mining.

It’s a new way of mining. :)

3: In simple words please explain how we can get started with mining PI? Also how we can cash out or exchange PI?

Kozii π:
All you have to do is search “ Pi “ on the Play Store / App Store and download it for free. You simply register an account. You can enter without a registration code, but if you use an existing pioneer’s username - like “ kozii “ - when registering, you both earn 25% more when are actively mining.

We are currently in the enclosed mainnet phase of the project. Basically, we have had the Pi Testnet running for 3 years & the Pi mainnnet running for over a year, but this is a strategic decision by the Core team to focus on building utilities for the Pi ecosystem before we launch on the market. Right now, you can buy and sell products for Pi only, that is the only way, but once open mainnet has launched, then there will be no limits.

How I look at it is that until everything is certain, there is more risk, but we get rewarded much more Pi in exchange. Once Pi becomes established and proven, the rewards go down as there are will be way more users.

4: Please tell us about $PI utility and usecase, also how to send mined PI tokens to Houbi and Bitmart?

Kozii π:
Before the usecases part... please be aware:

Pi cannot be traded on any exchanges. You cannot send Pi there, they all have deposits/withdrawals disabled for their Pi IOU assets. Pi Core Team has a firewall that prevents the Pi blockchain to be connected to outside sources, so technically, nobody can list Pi on exchanges right now. Pi can be listed at the open mainnet phase, which is the next stage of the project.

What these exchanges have done, like Huobi or Bitmart and such, is list Pi IOUs which stands for “ I Owe You “. Literally nobody asked for this, but they can do whatever they want... I wrote a thread on this, feel free to read it after the AMA. https://twitter.com/Kozii9/status/1608912421258657792

Usecases: Pi is accessible for everyone - I want to emphasize this before anything else. In crypto there are many cool things such as: NFTs, metaverses, play to earn, yield farming, DeFi and so on… but how useful is that for your friends, family or your neighbourhood? We all know that 95% of current technologies are simply NA - as in "Not Applicable" for most people. If that was not true, we would have billions of people using crypto.

Pi innovates by allowing anyone with a smartphone to get involved in the crypto mining scene, to step inside and be part of a new blockchain on a protocol level, be rewarded for their efforts in Pi. The more you do for Pi Network, the more you rewarded in Pi. It’s a whole new web 3.0 experience and arguably the largest one in the crypto scene.

One usecase is for any developers that is reading this: we have over 35 million users, so if you integrate Pi payment to your app, you’re likely to get a lot of traffic. The Pi Core Team is building the developer sandbox and toolkits to allow app developers to easily be able to integrate Pi as payment. There is currently a Pi Hackathon taking place as we speak, where over 2500 teams are building on the Pi blockchain.

What we’re trying to do is make it as easy as possible for existing apps as well to use Pi, not just new apps. So whatever apps you have on your phone right now, chances are, there is already a similar one in the works that will run on the Pi blockchain, where you pay in Pi. Because we have many users, our apps will get traction, which will attract more developers. There is of course a smart contract platform like Soroban on Stellar, which can be utilized later to create tokens on the Pi blockchain, just like there are countless tokens on Ethereum.

So usecases for any Pi holders or anyone wanting to earn Pi or potentially invest in Pi later: you are literally before ground 0 of launching a Layer 1 blockchain with 35M users. You either start mining now, or you can buy later from the market - there is no other way for anyone to get a slice of the Pi. Just imagine any of your favourite layer 1 blockchains - NEAR, SOL, AVAX, APT, ADA… what if they had 35 million users?

5: Can you tell us about your roadmap and what are your achievements uptil now? Also when PI actually gets listed won't it be dumped to 0?

Kozii π:
Sure, so since 2019, we come a long way. The mobile app was launched in beta, with 0 users and since then a lot has happened. We grew to 35 million users. The app itself is the main entry point to the Pi ecosystem, that's how people can start mining. Once in there, users can chat with others on the app. The app is translated to many languages, which was done by the community as well.

As mentioned previously, we have been running the Pi testnet for 3 years and the mainnet is operational for over a year.

We also got the Pi Browser, which provides a web experience into a decentralized world. In addition to supporting any Web2.0 applications just like existing web browsers, Pi Browser enables people to browse, interact and transact in decentralized applications - applications that integrate with blockchain technology - with seamless and friendly user experience.

There is a Pi KYC solution created by the Pi Core Team, which serves as a filter to get rid of bad actors and cheaters of the system - this is the way to ensure 1 person has only one account and doesn’t cheat. People pay 1 Pi for the KYC check and it’s a bespoke solution that is optimized for Pi Network's unique needs.

Furthermore, we just started seeing Pi dApps appear, like PiNews, PiChainMall, PiToGo, PiScrow, all those provide different utilities to users like a publishing platform for pioneers, web shopping experience in exchange for Pi, travels paid for using Pi or escrow services to facilitate safer transactions using Pi - there’s many many more but most are in the works still, being developed daily.

Questions From Community!!

Q1) Can you list the outstanding features of Pi that you think are the strengths that will help Pi succeed? In the future, will the $Pi token be developed with more utilities?

Kozii π:
Sure! There’s obviously the fact that Pi can be earned by anyone and they can easily get involved. That’s a huge strength because where other cryptocurrencies have a hard time to bring in new users, Pi Network actually is able to grow on a large scale thanks to its mining mechanism that allows anyone to earn earn a crypto income, and even scale that crypto income much higher if they help to secure the network or help the network grow, or do different tasks for the network :)

Pi is a layer 1 blockchain solution that derives from Stellar XLM, that already has a smart contract platform and quite a lot of useful tools that developer can use to build on Stellar such as create tokens, NFTs, metaverse, games etc - so why is this important? Because developers are also able to utilize those tools to build on top of the Pi blockchain cool new tech, but if they do that, they’ll also enjoy exposure to our huge community of around 35M users. This is important, so their dApps are actually going to be used by people.

A core strength for Pi Network is that there is a Pi Software Development Kit (Pi SDK), that allows developers to simply integrate Pi payments into their existing applications. Think of how many apps there are in the world… Pi Network allows developers to simply set up Pi payments in their apps, regardless of what code the app is written it. This is very handy in the future as it allows Pi Network to have a vibrant ecosystem, full of usecases because developers can easily integrate Pi in their apps and they’ll love our audience/traffic.

Pi users can also lockup portions of their Pi, in exchange for an accelerated mining rate. This is useful as it incentivizes holding and we see that it works as close to 80% of the circulating supply is locked up already, according to the Pi blockchain explorer.

Q2) What is your top 3 things for priorities in 2023? Could you share some plans for the upcoming year?

Kozii π:
1. Majority of the network to successfully pass KYC - essentially, the only entry point to the ecosystem is mobile mining itself and to make sure those that are mining are real humans and not fake accounts or bad actors, they need to pass KYC. Pi Network created it’s own Pi KYC, which uses machine algorithm & AI. The system is still being worked on to allow more people to pass KYC sooner.

2. Create new usecases in the meantime and make better developers tools - it’s not really the core team that is building usecases - they are creating systems that allows 3rd party developers to create their own dApps and usecases. So there is a Pi Hackathon right now where over 3000 teams are building on Pi. Pi Core Team is working with those developers to help their creations come to life and they are testing and making better the developers tools so they developers have an easier job making things on Pi Network

3. Scale core infrastructures, including fixing bugs and polishing things - mainly for the blockchain, KYC infrastructure. But of course, a lot of new features could be added or the app itself could be polished to function/look better.

Overall, those are critically important parts before transitioning over to the open mainnet phase, so it's important those listed points are addressed sufficiently before open mainnet.

Q3) Why PI Network launched Pre launched tokens on Huobi and Bitmart? Is it fake or real token?

Kozii π:
Those “listed on exchanges” are Pi IOUs - not real Pi. There is a large warning on CoinMarketCap stating “ Please note that mainnet has not launched yet and the price displayed below for certain exchanges reflect the value of the IOUs and it may not be transferable across exchanges. “ Even though there is this warning, I’m not quite sure why Coinmarketcap shows Pi IOU prices when in reality, the real Pi is not listed..

Exchanges see the huge demand and are facilitating supply in forms of Pi IOU, which is pretty risk free for them, right? They just created Pi IOU because they trust Pi Network to deliver Pi open mainnet - then allowed traders to trade and speculate on the price of Pi. Whatever happens, happens, those users simply trust the exchange, that if and when the open mainnet launches, they will be able to redeem those Pi IOUs for real Pi. It’s all kinda fishy, I’m sure all of you agree, but exchanges are already kind of confirming that “as soon as Pi is ready to be listed on exchanges, we will list it ASAP, you guys just trade with these Pi IOUs and we make some profit in the meantime”.

Again: nobody asked for this, the Pi core team even issued a press release and are actively seeking ways to get those removed. If you’re interested in exactly what happened, feel free to check out a thread, covering this topic: https://twitter.com/Kozii9/status/1608912421258657792

Q4) Can you tell us about the vision behind Pi_Network , and why are you launching it?

Kozii π:
The founders first looked at Bitcoin’s faults, which stops majority of people being able to participate in the Bitcoin mining niche. They came up with a solution to allow everyday people to mine crypto using their mobile phones. Mobile phones are the most widespread hardware technology in today’s day and age and it’s still growing. Because most people have one, it’s an ideal technology to use to bring in new people to crypto space and get involved in mining.

On top of that, they made the tech easy and simple to use for anyone, so this innovation can effect not only smart or wealthy individuals, but the common man too. If you got a phone, you got Pi. It’s that simple.

Pi delivers on the true promise of blockchain: a massive, open community powered by the world's most widely distributed cryptocurrency that delivers accessibility and enables a robust ecosystem for members, merchants and developers alike. The blockchain platform offers a mobile-first mining approach, with no financial costs and a light environmental footprint within the crypto space. The community boasts an engaged 35M+ members in over 230 countries or regions. The vision is to reach a critical level of mass adoption and enable everyone to participate in Pi mining and the Pi ecosystem itself to buy and sell goods and services for Pi, as well as to allow developers to easily create on the Pi blockchain different applications that is fueled by Pi.

Q5) How has the experience of your co-founders and team been instrumental in the success of the PiNetwotk Project, with their impressive backgrounds? Could you please talk a little bit?

Kozii π:
Dr. Nicolas Kokkalis, one of the founders, finished his studies at Stanford in Computer Science and was also the professor of Decentralized Applications class at Stanford University, where he wrote his thesis paper on Distributed Ledger Technologies BEFORE Bitcoin was even a thing. He was also chief technological officer at StartX, which is a Stanford Startup Incubator programme that helped numerous Stanford startups kickstart their project - those companies’ combined valuation is over 26 billion dollars.

Similarily, Dr. Chengdiao Fan also went to Stanford, and she completed her studies in Anthropological Sciences, gaining expertise in human behavior and human groups studies. Her interests have focused on human-computer interaction and social computing -- specifically, how we use technology to positively impact human behavior and societies.

Both their studies, experience and expertise go hand in hand in what they are creating: a technological innovation that has the potential to positively impact society on a massive scale.

Learn more about Pi network at the link below!

Website :https://minepi.com/

Telegram :http://T.me/PiAnnouncements

Twitter :http://Twitter.com/PiCoreTeam

AMA RECAP BY CAPITAPB TEAM