This January saw a 1.27% decrease in the base mining rate for the Pi Network, bringing it down to 0.0139974. This is in compliance with the project’s white paper’s provisions.
When PI reached 100,000 users, its mining rate dropped from 1.6 to 0.8 per hour, then again to 0.4 and 0.2 per hour at 1 million and 10 million users, respectively. As the network reaches one billion users, the benefits will eventually zero out.
Pi provides a fixed quantity of Pi for each participant in the network up to the first 100 Million, as opposed to Bitcoin, which created a fixed amount of coins for the entire world’s population. In other words, a specific number of Pi is pre-minted for each member of the Pi Network.
Afterward, depending on how actively and helpfully that member contributes to network security, this supply is released over the course of their membership. Over the course of the member’s lifetime, the supply is released using an exponentially diminishing function similar to that of Bitcoin.
Every first day of the month, the Pi base mining rate will fall until it zeroes out.
What is Pi Network?
Nicolas Kokkalis and Chengdiao Fan of Stanford University founded the Pi Network. To make digital money available to everyone, they began working on it in 2018. They created the Pi Network app and published a whitepaper on March 14, 2019.
The initiative makes environmental sustainability a priority, which can entice investors who are concerned about the environment. It may be particularly effective given that the crypto market has frequently received criticism for its high energy usage as a result of processes like proof-of-work (PoW), which harms the environment.
Users must press a button on their phone once every 24 hours to complete the mining process via the Pi Network app. Since no mining is happening, Pi mining isn’t actually cryptocurrency mining.