The lawsuit against Pi mainly comes from losses in unofficial IOU trading, not from the real Pi Network itself. Pi Core Team has repeatedly warned that IOU markets are unofficial, risky, and unrelated to Mainnet, yet some traders ignored this and lost money.
It’s not fraud by Pi — it’s a case of people gambling on unapproved (non-KYBed) markets and facing the consequences.
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$PI Summary:
The lawsuit against Pi mainly comes from losses in unofficial IOU trading, not from the real Pi Network itself. Pi Core Team has repeatedly warned that IOU markets are unofficial, risky, and unrelated to Mainnet, yet some traders ignored this and lost money.
It’s not fraud by Pi — it’s a case of people gambling on unapproved (non-KYBed) markets and facing the consequences.