Pi Coin Suffers Major Decline: What Happened and Why Binance Is Not Listing It
Published: March 26, 2025
In a significant turn of events for Pi Coin, the native cryptocurrency of the Pi Network, the token has seen a dramatic decline in both its market cap and ranking. After recently losing its status as the 11th largest cryptocurrency by market capitalization, Pi Coin now holds the 24th position, with its value plunging approximately 73% from its all-time peak.
Recent Market Performance
As of the latest trading report, Pi Coin is priced at $0.8215, marking a decline of 10.44% within the day and nearing an intraday low of $0.811. This rapid decrease has brought Pi Coin’s market cap down to $5.55 billion, despite a significant uptick in trading volumes, which have surged by 57% over the last 24 hours to reach $288.41 million.
The coin’s decline is even more pronounced when considering its all-time high of $2.98 recorded on February 26. Since then, it has dropped over 72.5% and is now perilously close to its record low of $0.6152, which was documented on February 20. Over the past week alone, Pi Coin has slumped by roughly 27.3%, particularly stark compared to gains in other major cryptocurrencies like Bitcoin and Ethereum, both of which have seen increases of around 6% during the same timeframe.
Why the Plunge?
One of the critical factors contributing to the downturn in Pi Coin’s value is the reported rejection by Binance, one of the world’s largest cryptocurrency exchanges, to list Pi Network’s native token. This announcement has sent ripples through the crypto community, particularly among Pi Network proponents who were hoping for enhanced legitimacy and trading opportunities through a Binance listing.
According to Ceo Crypto25, a trader and crypto analyst, Binance’s decision stems from several key concerns:
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Mainnet Status: Pi Network is still operating under an enclosed mainnet. Unlike fully decentralized cryptocurrencies, this limitation makes it less attractive for listing, as transactions occur within a controlled environment.
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Regulatory Compliance: There have been ongoing questions regarding Pi Coin’s compliance with financial and security regulations in various jurisdictions. This raises red flags for Binance as they prioritize regulatory clarity with new listings.
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Centralization Concerns: Pi Network has been criticized for the high degree of control its developers maintain over the platform, which contrasts sharply with the decentralized nature of leading cryptocurrencies like Bitcoin and Ethereum.
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Lack of Liquidity: For any cryptocurrency to be listed on Binance, it is expected to have substantial trading activity and liquidity. Pi Coin’s current market structure limits its external liquidity, hindering free trading on decentralized exchanges.
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Community Size vs. Listing Criteria: While Pi Network boasts a global community of millions who mine Pi via mobile applications, having a large user base does not suffice for a listing on major exchanges without meeting foundational criteria.
Insights from Analysts
Analysts have speculated on the implications of the ruling for future trading potential. Kim H Wong shared insights on social media, noting that despite the initial setbacks, Pi Coin’s trading trajectory could stabilize, with potential future listings and partnerships anticipated to drive interest and price.
Plans for auctioning .pi domain names and expanding its Web3 ecosystem have been flagged as potential avenues for enhancing Pi Coin’s presence and usability. The auction process may not only engage the community but could also impact the token’s market value by limiting supply, potentially setting a precedent for a designed scarcity that echoes the early internet’s domain trading market.
Conclusion
The current predicament faced by Pi Coin highlights the volatile nature of cryptocurrency markets, particularly surrounding newer or developing projects still in the process of establishing their market presence and compliance. As the situation develops and more information unfolds, investors are encouraged to remain vigilant and consider multiple factors influencing the market.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Readers are encouraged to conduct their own research and consult with a qualified financial advisor before making any investment decisions.
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