Pi Network (PI) Mining Guide: Everything You Need to Know Before the Mainnet Launch

Understanding Pi from Scratch: Why Is This Project So Popular?

Pi Network is a mobile cryptocurrency platform launched by a team of PhDs from Stanford University in 2019, dedicated to breaking down the high barriers of traditional mining. Unlike Bitcoin, which requires specialized mining hardware and huge electricity costs, Pi has created a new approach—allowing ordinary people to participate using just their smartphones.

As of October 2024, Pi Network has gathered over 45 million active users, and this number continues to grow. However, the project is still in development, with a major milestone set for the end of 2024—the mainnet launch—when PI coins will be tradable on exchanges.

Key Data Overview:

• Current Price: $0.21
• 24-Hour Change: -0.03%
• Market Cap: $1.72B
• Circulating Supply: 83.719 billion coins
• Max Supply: 100 billion coins

How does pi mining work? Unveiling the core mechanism of Pi mining

Why is Pi’s mining model completely different?

Traditional crypto mining is like a power race—those with more powerful equipment and cheaper electricity earn more. This keeps most ordinary people out.

Pi Network breaks this rule. It adopts the Stellar Consensus Protocol (SCP), a federated Byzantine consensus mechanism that ensures network security and transaction confirmation without consuming massive energy. In other words, mining on your phone doesn’t drain your battery or data as traditional mining rigs do.

The three main advantages of this mechanism:

• Low Energy Consumption: Even old phones can participate without damaging the battery
• High Scalability: SCP can handle massive concurrent transactions smoothly
• True Decentralization: Federation consensus prevents centralization; major changes require community approval

Five Steps to Quickly Start Pi Mining

Step 1: Download the official Pi Network app from the iOS or Android app store

Step 2: Register and verify your identity using your phone number or Facebook account

Step 3: Tap the lightning icon inside the app to activate mining; just tap once every 24 hours

Step 4: Invite trusted friends to join your “Security Circle” to boost your mining rate

Step 5: Stay active daily by logging in to maintain mining

The entire process is designed to be extremely simple—that’s exactly what Pi aims for, making it easy for anyone to participate.

Pi’s four-tier user system: Which category do you belong to?

Pi Network innovatively divides users into four roles, each contributing differently to the ecosystem and earning different incentives:

1. Pioneers: Basic miners who earn rewards just by logging in daily and verifying their identity

2. Contributors: Add trusted members to your Security Circle to improve mining efficiency and network security

3. Ambassadors: Actively invite new users and earn a share of their mining rewards

4. Node Operators: Run Pi Node software on a computer to participate in transaction validation, further promoting decentralization

This system essentially rewards activity and trust—your greater contribution to the ecosystem results in higher returns.

Token Economics Breakdown: How are 10 billion PI coins allocated?

Pi’s total supply cap is 100 billion coins, divided using an 80/20 split:

Community Distribution (8 billion PI)

Mining Rewards (6.5 billion)
This is the largest portion. About 3 billion coins have been mined before the mainnet launch, but due to KYC verification, some fake accounts may be filtered out, so the actual confirmed amount could be only 1-2 billion. The remaining will be released gradually through a new mainnet mechanism, with annual caps decreasing over time to ensure long-term balance.

Community Building & Ecosystem Development (1 billion)
Managed by the future Pi Foundation, used to fund community activities, developer grants, and ecosystem incentives to promote app development.

Liquidity Reserve (500 million)
Ensures sufficient liquidity once listed on exchanges, allowing early participants to buy and sell smoothly.

Core Team Allocation (2 billion)

The 2 billion coins allocated to the Pi Core Team will be gradually unlocked based on community mining progress and will be subject to lock-up periods set by the team to prevent large sell-offs.

Mining Reward Decay Mechanism

Pi uses an exponential decay model—each year’s mining cap decreases compared to the previous year, similar to Bitcoin’s halving but more gradual. This guarantees a stable supply growth curve and prevents runaway inflation.

Countdown to Mainnet Launch: Coming at the end of 2024

Pi’s mainnet will proceed in two phases:

Current Status—Closed Network Phase (since December 2021)
The mainnet is operational but isolated from external networks, used for testing applications and handling KYC migration, ensuring everything is secure.

Open Mainnet (expected by late 2024)
This is the critical turning point—PI coins will connect to external exchanges and other blockchain networks, becoming truly tradable assets.

Preparing for mainnet launch: You must complete KYC

To receive your mined PI coins after the mainnet goes live, you must complete KYC verification before November 30, 2024. This is a strict deadline; users who do not verify will get an extended grace period, but there’s no guarantee they can retain all their balance.

Three essential steps for KYC:

1. Complete identity verification (submit ID documents, etc.)
2. Prepare a compatible crypto wallet (e.g., Pi Wallet)
3. Follow official notifications for airdrop instructions

After mainnet launch, how to sell your PI coins?

Once PI coins are tradable, there are three main ways to exit:

Centralized Exchanges (CEX)
Major exchanges may list PI, offering direct swaps from PI to fiat or other cryptocurrencies, usually with good liquidity.

Decentralized Exchanges (DEX)
Connect your Web3 wallet to trade P2P on DEXs, no KYC required, but more on-chain experience needed.

Over-the-Counter (OTC)
Negotiate directly with buyers for a flexible trade, but with higher risk—be cautious of scams.

Review of Pi’s three-phase roadmap

Phase 1: Testing & Launch (Dec 2018 – Mar 2020)
Launched mobile app in December 2018, published technical white paper in March 2019, establishing principles of accessibility, decentralization, and eco-friendly mining.

Phase 2: Testnet Phase (Mar 2020 – Dec 2021)
Global nodes launched, community gained node software, developers built DApp prototypes with test coins, preparing for the mainnet.

Phase 3: Mainnet Phase (Dec 2021 – present, with two sub-stages)

• Closed network: security testing, KYC, application migration
• Open network (ongoing): PI coins linked to external markets, enabling cross-chain interoperability

Real risks facing Pi Network

While the project’s prospects are attractive, some issues cannot be ignored:

Delays in mainnet launch damage trust
Repeated postponements and long testing phases have led some users to question the network’s scalability and readiness.

Price remains uncertain
PI has not yet established a clear market price; current secondary market prices are purely speculative. The true value will be determined after the mainnet opens.

Security threats increase
As user numbers grow, phishing and scam cases targeting Pi users are rising. Always verify information through official channels and avoid illegal trading platforms.

Regulatory uncertainties
Different countries have varying attitudes toward cryptocurrencies. To be listed on mainstream exchanges, Pi must comply with local regulations, which could introduce new challenges.

Final reminder: Official KYC deadline and future plans

Completing KYC before November 30, 2024, is a key milestone. Afterward, the project will announce a more detailed mainnet timeline and disclose important updates that could impact PI’s tradability and valuation.

As a participant, your immediate action items are:

• If you haven’t completed KYC, start the verification process now
• Prepare a usable crypto wallet
• Keep an eye on Pi’s official community and announcements
• Beware of false information and scams

Pi Network redefines the vision of “everyone can participate in the crypto world.” Regardless of the final outcome, this experiment itself is worth paying attention to.