Pi Network faces difficulties after mainnet launch: Warnings from regulatory authorities trigger market concerns

In just one day, the joy of the Pi Network mainnet launch quickly turned into disappointment. The token $Pi has fallen below $1, experiencing a 100% decline, and a public statement from a well-known exchange executive has cast a shadow over the project’s prospects.

Chinese Police Official Warning Rings Alarm

It is reported that Chinese police issued an official warning about Pi Network in 2023, listing it as a suspected scam project. The warning pointed out that the project illegally collected data from the elderly, leading to financial losses such as pension funds. The existence of this official document provides strong support for recent doubts.

Exchange Executive’s Candid Remarks

Ben Zhou, the head of a major trading platform, recently expressed his stance on Pi Network openly on social media. He stated that he had received an invitation to list the project but refused it as “ridiculous,” citing his experience in forex trading—having witnessed clients lose everything to scam projects multiple times. Zhou clearly stated, “I think you are a scam, and our platform will not list any scam projects.” This statement directly rules out any possibility of Pi Network being listed on that exchange.

Community Divisions and Counterattacks

Zhou’s remarks sparked fierce reactions among Pi Network supporters. Some community members began to accuse the exchange of losing relevance by refusing to list the project, while others claimed that the exchange actively applied to list Pi Network but was rejected by the project team. However, Zhou quickly clarified these claims, emphasizing that his statement was based solely on an assessment of the project’s compliance and security.

He further stated that the Pi Network team should face scam allegations directly rather than attacking critics. This attitude reflects industry expectations for project transparency.

Market Observation

With the token price plummeting after the mainnet launch and senior officials explicitly opposing the project, Pi Network faces a severe market test. The attitudes of other trading platforms will be crucial in determining the project’s future prospects. For investors, this incident serves as an important lesson in due diligence.