Pi Network is currently facing backlash from its community as its native token, PI, experienced a significant drop of over 50% in value within the last five days. This sudden decline has sparked concerns among users about the possibility of a rug pull, especially as individuals have discovered substantial token transfers associated with project insiders.

Recently, a community member named Dr. Picoin raised serious accusations against the Pi Core Team, alleging that the team had sold off millions of PI tokens when the price was approaching $1.60. Providing evidence from blockchain data indicating a transfer of 12 million PI tokens, Dr. Picoin suggested that the team had manipulated the price during a time when the community was preoccupied with project updates.

These allegations, though not yet verified, quickly spread across online platforms, causing distress among token holders and igniting discussions about transparency and trust within the Pi Network project. While some users expressed concerns about potential insider trading, others argued that the transfers were related to moving user balances from the testnet to the mainnet.

The controversy emerged following Pi Network's participation in Consensus 2025, where the unveiling of Pi Network Ventures—a $100 million fund to support builders in the Pi community—failed to meet the community's expectations of a full mainnet launch or widespread dApp introduction. This unexpected turn of events likely contributed to the subsequent drop in token value.

Despite the recent criticisms and market performance, Pi co-founder Dr. Nicolas Kokkalis utilized the Consensus conference to outline the future direction of Pi Network, emphasizing plans for integrating artificial intelligence and decentralized identity tools to enhance Web3 applications. Dr. Kokkalis also revealed the decommissioning of the network's central node, a move towards full decentralization, and introduced the Horizon upgrade for Pi Node operators, a crucial step towards mainnet readiness.