Pi Network Hits 10M KYC Milestone: Why Users Still Can't Trade Their Tokens

Pi Network announced a significant achievement on April 16, crossing the 10 million mark for identity-verified users through its proprietary KYC system. This accomplishment brings the project closer to its stated mainnet launch requirement of 15 million verified accounts. Yet despite this growth, a fundamental problem persists: Pi tokens remain non-tradeable on any exchange, and users cannot convert their holdings into fiat currency.

The KYC Achievement and Its Significance

The 10 million verified users represent what Pi calls “Pioneers”—individuals who have completed identity verification through Pi KYC, the platform’s native solution combining machine automation with crowdsourced local verification. According to Pi Network’s official statement, this approach delivers “secure, accurate and efficient” identity verification without relying on traditional financial infrastructure.

Nicolas Kokkalis, Pi’s co-founder and technology lead, framed this milestone as proof that the blockchain industry can operate independently from established fiat systems. He further suggested that Pi’s KYC framework could serve as a model for other Web3 applications requiring identity verification for asset ownership.

The path to mainnet launch still requires 5 million additional KYC completions. Beyond the user threshold, Pi Network has outlined other preconditions: 100 apps must be developed on the platform, core technical and legal infrastructure must be finalized, and market conditions must remain favorable.

The Value Question: Skepticism From Industry Analysts

Despite the user growth, critics question whether these achievements translate into tangible benefits for participants. Business analytics firm AIMultiple raised concerns that Pi Network may ultimately deliver “no value to users,” primarily because tokens cannot be exchanged for real money or transferred between users through wallets. Currently, users generate Pi by pressing a button daily within the app’s closed environment.

Analyst Cem Dilmegani pointed to structural issues with Pi’s model, characterizing it as resembling direct selling or affiliate marketing systems. In this framework, early participants are incentivized to recruit new users with promises of future rewards. Dilmegani argued this design primarily serves the developers, who monetize the platform through advertising revenue from its growing user base. The Pi team already introduced optional video ads early on, supporting this interpretation.

Dilmegani further speculated that launching an open network and enabling token trading could backfire. If mainnet goes live and tokens become exchangeable, rapid selling pressure might devalue Pi significantly. This would eliminate the incentive for users to remain active, ultimately undermining the platform’s value to advertisers and defeating its commercial purpose.

Pi Network’s Defense: Time, Development, and Novel Approach

When contacted by Cointelegraph, a Pi Network representative emphasized the deliberate, phased strategy behind the project’s development. Rather than rushing to launch an open network immediately, Pi opted for an “Enclosed Network period” to allow platform utilities and KYC processing to mature before full decentralization.

The team highlighted accomplishments across multiple domains: the mining mobile app, Pi Browser as a Web3 ecosystem interface, Node application, Testnet and Mainnet blockchains, integrated Wallet, developer platform, and the proprietary KYC solution. According to the representative, this comprehensive infrastructure development justifies the timeline, and “anything worthwhile takes time and patience.”

The cautious rollout reflects broader industry pressures. Rapid mainnet launches have historically created volatility and poor user experiences. Pi’s extended timeline aims to build a robust foundation before public trading begins.

The Bottom Line

Pi Network’s reach of 10 million KYC-verified users demonstrates significant adoption momentum for a centralized mobile application. However, the inability to trade tokens or transfer them between users remains a critical limitation. Whether the forthcoming mainnet launch will address these concerns, or whether structural economics will prevent meaningful value creation, remains uncertain. The project’s success ultimately depends on delivering real utility beyond user acquisition incentives.