Newcomer Pi stirs up the market

Mr. Phan Duc Trung, Chairman of the Vietnam Blockchain Association (VBA), said Vietnam ranks seventh globally in cryptocurrency ownership. In 2024, Vietnam received over $105 billion in digital currency, down from $120 billion in 2023. Alongside popular cryptocurrencies like Bitcoin (BTC), ETH, SOL, DOGE, and KAITO, the Vietnamese crypto community is now abuzz with excitement over a newcomer—Pi.

Pi is among the most controversial digital currencies to date. Launched in 2019 by a group of former students and later faculty members at Stanford University, Pi gained significant attention in Vietnam in early 2021 because it can be mined using the Pi Network mobile app without the need for complex mining equipment like Bitcoin.

Currently, 60 million people worldwide are mining Pi, with Vietnam having the highest number of users accessing Pi Network. On February 20, the Pi Network team officially launched its open network, and Pi has since been listed on major cryptocurrency exchanges such as OKX, Bitget, Gate, and MEXC.

Since being listed on exchanges, Pi has experienced sharp fluctuations. It debuted on February 20 at $2 per Pi (VND50,000), dropped to a low of $0.6 per Pi (VND15,000), then surged to $3 per Pi (VND75,000) on February 27. As of March 10, Pi was trading at $1.44 per Pi (VND38,000).

Le Hoang, an office worker, said years of mining Pi have finally paid off. “I sold 10 Pi at nearly $2 per Pi and withdrew almost VND500,000. After mining Pi for free for years, I’ve finally cashed out real money, which makes me very happy,” he shared.

However, not everyone who has mined Pi can trade it on exchanges, as the process is complex. It requires multiple steps, including identity verification (KYC), before transferring Pi to a wallet for trading. Additionally, the platform restricts trading volumes and follows a structured release plan, making Pi transactions relatively limited.

Despite these restrictions, social media is filled with Pi-related groups, each with tens to hundreds of thousands of members. These communities share updates, discuss the project, promote mining, and provide guidance on buying and selling, with many hoping to “get rich easily.”

Some groups have even facilitated direct Pi transactions, with certain individuals accepting Pi as payment for goods and services.

Buying "virtual money," losing real money

Nhu Nguyen, who works in media, had heard about Pi for years but never mined it. Recently, she joined a Pi mining community on Facebook to learn more and was advised to buy Pi on an exchange instead, as mining now takes too long.

“I created an account to mine Pi, but it now takes 15 days to mine just one. Following the group’s advice, I spent around VND12.5 million to buy 200 Pi at $2.5 per Pi. However, the process was complicated—I had to spend over three days setting up an account and a wallet on OKX, then deposit VND, convert it to USDT, and only then could I buy Pi. After I purchased it, Pi’s price dropped 30 percent to $1.8 per Pi, meaning I lost about VND3.5 million,” she said.

Beyond losses from price drops, many Pi community members have reported losing both money and Pi due to hacking. A user named H. Nam in the "Pi Network Global Investment Group" shared that his OKX account was hacked despite having all five security layers enabled.

“I lost 7,000 USDT and nearly 2,000 Pi, worth over VND300 million. I’ve filed a complaint and requested an explanation from the exchange, but I haven’t received a response,” he said.

Cybersecurity expert Ngo Minh Hieu noted that digital currency deposits and withdrawals currently rely on intermediary services managed by foreign entities, exposing investors to significant risks. In addition to price volatility, Vietnam’s legal framework for cryptocurrencies remains incomplete, leaving investors vulnerable to cyberattacks, online scams, and asset loss due to poor security measures.

Amid the recent surge in crypto trading, particularly with Pi, the State Securities Commission has issued a warning that digital currencies such as Bitcoin, USDT, and Pi are not classified as securities and do not fall under the Securities Law. As a result, cryptocurrency transactions are not legally protected.