Due to concerns, Vietnam’s authorities recently started a special inquiry into the Pi Network and its cryptocurrency. These worries stem mostly from its complicated and unpredictable nature. Because of its promise to generate tokens, the Pi network, a mining-incentivized crypto network, has acquired appeal in Vietnam. However, Vietnam’s Department of Cybersecurity and High-Tech Crime Prevention is not convinced.
The department’s head highlighted concerns about the Pi Network’s lack of transparency and resemblance to multilevel marketing schemes. He underlined that extremely high-income levels from internet business operations trigger red flags. They have the potential to be utilized for fraud and even data collecting.
The Pi network, which was founded in 2019, grew in popularity in Vietnam and India as a result of the 2021 cryptocurrency bull market. One of its key draws is the possibility to mine PI tokens with your smartphone. This eliminated the need for expensive mining equipment. However, it appears that the network’s role is limited to serving as a medium of exchange for PI tokens.
While the Pi Network claims to have 47 million engaged users globally and a team of 35 key members, questions regarding its credibility remain. The team comprises two successful persons with academic credentials who are co-founders.
NEWS: 🇻🇳🔍 Vietnam's cybercrime unit investigates Pi Network & cryptocurrency amid concerns! #PiNetwork
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Vietnam is a country with a strong interest in cryptocurrencies, ranking first in terms of adoption in 2022. It should be noted, however, that crypto assets are not regarded as legal money in Vietnam.
A major event occurred when Huobi listed PI without authority, causing the Pi Network to confront a token listing disaster. This led the price to briefly rise at the time. The Pi Network team was forced to clarify that the listing was illegal, and no exchanges have officially listed PI for trading.
Conclusion
The inquiry into the Pi Network aims to answer concerns about the network’s complexity. It serves as a reminder to individuals to exercise caution and completely comprehend the nature of any blockchain investment possibility.
