- All About PI Cryptocurrency
- What To Know About Mining PI Cryptocurrency
- How To Start Mining Pi?
- Potential Use Cases Of Pi Cryptocurrency
- Economics Of Pi Cryptocurrency
- Key Differences Between Pi And Other Cryptocurrencies
- Roadmap Of The Pi Cryptocurrency
Pi Cryptocurrency is a new crypto platform set to change the crypto mining sphere by integrating the “smartphone mine and earn feature”.
What Is Pi Cryptocurrency? Pi Cryptocurrency is an eco-friendly, mobile-first crypto that offers users a truly decentralized network where they can mine and earn coins with their smartphones.
Developed by a group of Stanford graduates, Pi Cryptocurrency seeks to correct upon the mistakes of Bitcoin by offering a platform where users collectively control the network as well as the ownership of coins in an effort to prevent the shift to a centralized system.
With most people having mixed feelings about the Pi Cryptocurrency and its claim to be a truly decentralized network, this piece will dive fully into what it is, how it works, and how it differs from Bitcoin and other altcoins.
All About PI Cryptocurrency
The Pi Cryptocurrency is a pioneering platform in its niche. As clearly mentioned earlier, it is the only cryptocurrency that affords you the opportunity to mine on your smartphone without necessarily draining your battery life or your mobile data.
Built on the advanced blockchain technology, the Pi Cryptocurrency is secure, immutable, inoperable, and legitimate. This cryptocurrency being immutable simply means that all information recorded on the network cannot be altered, modified, or changed by anyone on the network.
One interesting feature of the Pi Cryptocurrency is that it affords you the opportunity to scale massively without large power consumption. As rightly stated by the team of developers, this crypto project happens to be miles ahead of Bitcoin in several ways. We’ll use an example to buttress this claim.
If you’re a crypto enthusiast, then you’ll definitely remember Bitcoin and how easy it was to mine back in 2009 and 2010 when the platform was recently launched.
Miners on the Bitcoin network back then could conveniently mine over 50 BTC by simply running mining software on their computers. As the years went by and the market value of Bitcoin continued to soar attracting more investors, companies with sophisticated mining rigs and hardware began to spring up.
These companies continued to develop and launch sophisticated and advanced mining rigs after another. The influx of these advanced and sophisticated mining rigs meant that struggling miners without funds to own these advanced rigs had to stop as they could not compete with their well-equipped counterparts.
This led to the creation of mining farms that required sufficient power and computational resources to mine. The Bitcoin network that was designed to be decentralized became centralized with most of the miners not being aware of this massive change.
Currently, only about 1% of the total Bitcoin users control 87% of the total number of BTC. The developers of Pi Cryptocurrency being innovative and forward driven integrated the Stellar Consensus Protocol which happens to be completely different from Bitcoin’s proof of work consensus algorithm.
What To Know About Mining PI Cryptocurrency
The creators of the Pi Network wanted to make it different and more efficient than any other crypto asset and to help them achieve that, it was critical to them that the Pi Cryptocurrency does not fall into the same problems Bitcoin and other cryptocurrencies face today.
To help them achieve this, they chose the Stellar Protocol as the consensus mechanism for the Pi. Before we dive fully into the various mining levels available on the Pi Cryptocurrency, it is best that we get an idea of what the Stellar Consensus Protocol is and how it differs from the proof of work consensus.
This consensus algorithm is simply an FBA (Federated Byzantine Agreement) system that offers all decentralized networks on the Pi Cryptocurrency network an opportunity to reach consensus as fast as possible.
On this consensus algorithm, nodes are not in competition with each other, rather each node is charged with the responsibility of determining if a transaction made by a user is valid or not. Once a block (transaction) is identified by a node, a message is sent across to others on the network and a series of voting will ensue to determine which block will be recorded on the network’s blockchain.
The Stellar Consensus Protocol provides the network with four different adaptations which represent the different mining levels on the Pi Cryptocurrency network. These mining levels are;
- Pioneer Level; on the Pi Cryptocurrency, this simply refers to a miner on the network can that provides substantial proof that he is not a robot. To make this proof, pioneer miners will simply have to initiate a mining session on the network. Pioneer level miners can also initiate peer-to-peer (P2P) transactions on the network.
- Contributor Level; contributors are pioneers that contribute to the growth of the network by providing a list of pioneers that are trustworthy. These trustworthy pioneers will help to build the trust graph.
- Ambassador Level; this is simply a network user whose job on the network is to introduce new members to Pi Cryptocurrency.
- Nodes; these are users that are both contributors and pioneers on the network. They also help to run Pi nodes on their personal computers. These nodes are those that are responsible for the validation of blocks on the network. Pioneers and contributors can run the Pi node software on their PC.
How To Start Mining Pi?
There are a couple of steps to follow if you want to mine on the Pi network. The various steps are;
- Step 1; Download The Pi App; this is the first step to take if you want to start mining on the Pi network. Depending on the operating system of the device you own, you can either download the app from the Google Playstore or the IOS App Store or use this link here.
- Step 2; Sign-up; once you have successfully installed the Pi Cryptocurrency app, the next step to take would be to sign up or register. During the registration process, you’d be required to provide your real name and other personal information. It is important that you input your legal name as doing otherwise may ruin your chances of getting PI once it is launched.
- Step 3: Start Mining; once your legal name and other personal information required has been provided, you can start mining by simply tapping the “Lightning” tab on the home screen. On the Pi network, each mining session lasts for 24 hours, after which you’ll have to tap on the “Lightning” tab again.
Once you have completed three mining sessions, you can automatically begin adding people on the network as a contributor.
Potential Use Cases Of Pi Cryptocurrency
Like some of the other cryptocurrencies launched prior to this time, there are several potential use cases of the Pi Cryptocurrency network.
- Shared Market Place; this is an Instagram format social media platform where members can post on the network and either stake or spend Pi to get the attention of others on the network. This simply means that users on this social media platform can make posts and pay the network to have users view these posts. This is just like the “Ad Promotion” feature on Instagram.
- Ledger And Graph Trust; this is simply a map that contains the rating of the nodes, pioneers, and contributors on the network based on the number of people they recruit and also the overall behavior of the node. This trust graph will connect new users to the best or nearest node each time they receive or want to send Pi across the network.
- Decentralized App Store; this is an app store where developers on the network can develop and sell their newly developed apps without having to bootstrap. This is similar to the popular Google Playstore.
- Pi Governance Under 5 Million; this is a similar governance principle adopted by Bitcoin and Ethereum networks; the only difference being that PI is the closed source whereas, on the Ethereum and Bitcoin networks, developers can put up codes to improve the network.
- Pi Governance Over 5 Million Users; this will be a committee on the network. This committee will determine where the network goes now and in the months to come. Only contributors, nodes, and pioneers that rank high on the trust graph will make up this committee.
Economics Of Pi Cryptocurrency
As at the time of writing, there is no fixed Pi supply or total supply of this cryptocurrency. However, we can expect this announcement to be made once the project is completed.
According to the developers of this cryptocurrency, the total maximum supply will strike a balance to ensure that there is a sense of scarcity at the same time ensuring that most of the Pi coins do not end up in the hands of a few network users.
Total Supply Formula
To ensure that there is fair scarcity, distribution, and meritocratic earning of Pi, a formula for the supply has been devised. The formula is;
Total Maximum Supply = M + R + D where;
- M stands for total mining rewards
- R stands for total referral rewards
- D stands for total developer rewards.
Key Differences Between Pi And Other Cryptocurrencies
Some of the key differences between the Pi Cryptocurrency and others include;
- Pi network makes use of the Stellar Consensus Protocol while most of the others use either the PoW, PoS, or the DPoS.
- On the PI network, rewards for blocks found are paid daily after each mining session.
- Miners on the Pi network earn Pi as long as users interact on the network.
Roadmap Of The Pi Cryptocurrency
While there are no specific dates of the roadmap, there is an outline of what the developers of this crypto network plan to do. They are in phases.
- Phase 1; is the first phase, and it includes the development of the trust graph bootstrap. It also covers the recruitment of more users for the network while increasing the number of apps downloaded.
- Phase 2 – Testnet; this phase is currently running hand in hand with stage 1. Anyone already running the node on his PC is running on Testnet.
- Phase 3 – Mainnet; tagged the final phase of this project, there is no date for this at the time of writing.
We have extensively talked about PI Cryptocurrency, what is, how it works, and how it differs completely from most of the other cryptocurrencies.
While most people are still skeptical of this project and may have tagged it as a scam, the level of expertise and advanced features it offers is why we think otherwise. If all goes according to plan, it is safe to say the Pi Cryptocurrency will be among the most revolutionary digital creations in the early 21st century.
If you want to be among the first beneficiaries of this amazing platform click on https://minepi.com/CryptoMinerTips and use CryptoMinerTips as your invitation code to get some exclusive membership benefits.