Pi Network’s latest funding initiative has triggered unexpected turmoil in crypto. The project’s new $100 million fund, aimed at supporting startups building with Pi Coin, has instead sparked concern among investors.
Backed by 10 percent of the Pi Foundation’s token allocation, the fund was introduced to push real-world adoption. It extends the Open Network phase, enabling Pi to communicate with external systems for practical applicability. However, the announcement sent Pi’s value sharply down, plunging over 45 percent and erasing almost $5b in market capitalization.
Pi Coin tumbled from $1.5 to approximately $0.88, eliminating it from the top 20 cryptos. The recent 5.2 million token unlock created more pressure for increased sell-offs. Trading volumes rose 35 percent to $951 million, adding to volatility.
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Community Frustration Grows Over Lack of Delivery
The fund is part of Pi’s broader strategy to scale through business partnerships and user-driven innovation. While the core team focuses on startup funding, global users are encouraged to build through hackathons and open development tools.
However, many long-time supporters claim the movement has ground to a halt. For crypto analyst Dr. Altcoin, the new fund feels like “a betrayal,” especially with unmet promised milestones. He stressed that after six years, the team has not provided the promised 100 decentralized applications.
Pioneers also raise concerns about insufficient token awards, inconsistent communication, and transparency. Although they engaged and supported the network from the beginning, many users felt neglected due to its size, which has already reached about 70 million users.
Conclusion
Instead of boosting confidence, Pi Network’s $100 million fund has intensified market doubts. The sharp price decline and growing user frustration reveal deep challenges in turning Pi’s vision into reality. Moving forward, trust and clear progress will be crucial to regain momentum.
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