TechPression

Tag: Cryptocurrency

  • Google to enforce stricter crypto advertising rules in Europe under MiCA framework

    Google to enforce stricter crypto advertising rules in Europe under MiCA framework

    Starting April 23, Google, the world’s leading digital advertising company, will begin enforcing stricter advertising policies for cryptocurrency services in Europe, which will require exchanges and wallet providers to comply with the Markets in Crypto-Assets (MiCA) regulations.

    The move signals a significant shift for digital finance in Europe, particularly affecting exchanges and wallet providers aiming to market their services online.

    Stricter licensing requirements

    Under the new policy, crypto advertisers must hold a MiCA license or be registered as a Crypto Asset Service Provider (CASP) in their respective countries. Google also mandates adherence to local legal requirements and certification by the tech giant. The rules apply to most EU nations, including Germany, France, Italy, and Spain.

    While violations won’t trigger immediate account suspensions, Google will issue warnings at least seven days prior. The policy follows MiCA’s full implementation in December 2024, marking the EU’s first comprehensive crypto regulatory framework.

    Speaking on the development, Hon Ng, Bitget’s chief legal officer, called the policy a “double-edged sword,” noting that while it filters out unregulated players and reduces scams like ICO fraud, it risks being overly restrictive. “Smaller exchanges may struggle with MiCA’s capital requirements or dual certification hurdles,” he said. Transition periods for national licenses vary, potentially creating temporary enforcement gaps.

    Mattan Erder of Orbs questioned whether the changes protect investors or Google itself. “If MiCA registration is burdensome, smaller players will struggle to compete,” he warned.

    Meanwhile, the EU’s strict stance contrasts with approaches in the U.S., India, and Singapore, where regulatory clarity and lighter compliance burdens attract crypto firms. Particularly, MiCA’s rigid rules could stifle innovation, pushing startups to more crypto-friendly jurisdictions.

    Impact of Google’s ad policy on African crypto firms

    While Google’s new crypto ad policy under Europe’s MiCA regulation targets the EU, its effects may still reach African crypto communities.

    Many African-based exchanges and blockchain startups rely on Google Ads to reach European users, especially the diaspora market. Without EU licensing, these firms could be shut out of a key advertising channel, limiting visibility and growth opportunities.

    However, the policy doesn’t directly apply within African nations, meaning local operations remain unaffected for now. The bigger concern lies in reduced access to European markets, which could pressure African crypto startups to navigate complex and costly compliance requirements.

  • Malta fines OKX $1.2 million for breaching anti-money laundering laws

    Malta fines OKX $1.2 million for breaching anti-money laundering laws

    The OKX cryptocurrency exchange in Malta has been fined €1.1 million ($1.2 million) by the nation’s Financial Intelligence Analysis Unit (FIAU) for violating anti-money laundering (AML) regulations.

    The penalty follows an on-site compliance examination conducted in April 2023, which reportedly uncovered “serious and systematic failures” in OKX’s operational procedures.

    Read also: OKX suspends DeFi service, citing EU investigation and media criticism

    Compliance deficiencies uncovered

    According to a Bloomberg report, Maltese authorities published a notice informing the trading platform of its failure to adequately examine potential money laundering risks associated with its offered products.

    The FIAU specifically noted deficiencies in the exchange’s Customer Risk Assessment (CRA) procedures. The watchdog stated that the company failed to carry out a CRA upon establishing a business relationship for around 50 percent of the customer files reviewed as part of the compliance examination.

    Furthermore, authorities alleged that OKX did not correctly monitor or follow up on cryptocurrency transactions conducted on its platform, with the value of these transactions exceeding $20 million.

    Meanwhile, a spokesperson for OKX, as reported by Bloomberg, stated that the FIAU had acknowledged the platform’s “remedial action out of its own volition” in response to the penalty. The spokesperson added, “Over the past two years, we have implemented a comprehensive compliance program, including technology upgrades, enhanced monitoring, and robust remediation efforts.”

    In particular, the FIAU commended the company for making notable improvements over the past 18 months.

    Read also: African women in crypto: Binance champions financial inclusion

    Recent OKX regulatory challenges

    This fine from Maltese authorities is the latest in a series of regulatory challenges for OKX. In late February, the Seychelles-based parent company of OKX agreed to pay over $500 million to settle allegations with U.S. authorities for failing to register as a money-transmitting business.

    Additionally, Thailand’s securities regulator has filed a criminal complaint against OKX for operating without a license in the country. In addition to that, Bybit CEO Ben Zhou alleged that OKX enabled hackers to launder funds from a February 2025 hack, allegations firmly denied by OKX, which has labelled Bybit’s statements as misinformation.

    Despite the fine, OKX retains its operational licence in Malta, where it secured pre-approval under the EU’s Markets in Crypto-Assets (MiCA) framework earlier this year, potentially allowing it to offer services across the European Union from its Malta hub.

  • Bitcoin, Ethereum, Solana, others gain as cryptocurrency hits $2.84 trillion in 24 hours

    Bitcoin, Ethereum, Solana, others gain as cryptocurrency hits $2.84 trillion in 24 hours

    In the last 24 hours, the total market capitalisation of cryptocurrencies rose by 2.94 per cent to $2.84 trillion.

    Early trading on Monday saw notable increases in Bitcoin and other major cryptocurrencies, with Bitcoin hitting about $87,480. This is an increase of 3.712 per cent

    Ethereum had a significant increase as well, rising 4.05 per cent to $2,093.

    Despite looming worries over impending U.S. tariffs and the expected publication of important economic data later in the week, the market’s upward momentum remained, indicating strong investor confidence in the cryptocurrency sector.

    Read also: U.S. Secret Service recovers $7 million from cryptocurrency scam

    Other cryptocurrencies performance 

    With gains of three percent, two percent and 3.8 percent, respectively, XRP, Cardano, and Dogecoin were other noteworthy performers.

    Growth rates for Chainlink, Avalanche, Hedera, and Stellar ranged from three per cent to 10 per cent.

    “Bitcoin is holding above $86,000, registering a three per cent gain today. The key resistance level to watch is $86,700; a breakout could pave the way for $90,000,” said Vikram Subburaj, CEO of Giottus.

    Market value of Bitcoin jumped to $1.727 trillion 

    The market value of Bitcoin jumped to $1.727 trillion, while its market share increased to 60.73 per cent.

    According to CoinMarketCap, stablecoin transactions made up 94.74 per cent of all cryptocurrency trade, amounting to $57.58 billion, while its 24-hour trading volume increased by 93 per cent to $18.2 billion.

    Solana leads with 7%

    Solana was a remarkable performer, rising more than seven per cent on the last day to trade above $139.

    Reports indicating that President Trump’s tariffs on April 2 would be more targeted than first thought, allaying market fears, drove the rally.

    The momentum behind Solana coincides with previously unheard-of acceptance rates.

    Solana’s total value locked (TVL) hit 54.87 million SOL, the most since June 2022, according to DeFiLlama.

    A record 11.09 million addresses currently have SOL, according to Ali Charts, highlighting the rising use.

    Ethereum and Solana bridged assets totalling over $72 million 

    Furthermore, Ethereum and Solana have just bridged assets totalling more than $72 million.

    Ethereum’s weekly active addresses (1.8 million) are greatly outnumbered by Solana’s (17 million), and Binance’s increasing SOL wallet balances suggest new stockpiling after previous selling activity.

    Read also: Bybit and AltSchool Africa offer $100,000 scholarship to equip African youths with tech skills

    Institutional adoption of Solana 

    Volatility Shares launched two Solana futures ETFs (SOLZ and SOLT) on the Nasdaq on March 21 as evidence of the growing institutional adoption of Solana.

    Significant asset managers have also expressed interest in the cryptocurrency by applying for spot Solana ETFs, including VanEck and Franklin Templeton.

    Bitcoin’s trajectory is encouraging, according to BitMEX co-founder Arthur Hayes, who said, “The Fed’s policy orientation could help Bitcoin achieve $110k before it retests $76.5k.”

  • South Korea cracks down on unregistered crypto exchanges, targets KuCoin and BitMEX

    South Korea cracks down on unregistered crypto exchanges, targets KuCoin and BitMEX

    South Korea’s financial regulators are intensifying efforts to crack down on unregistered cryptocurrency exchanges operating within the country.

    According to a March 21 report by local media outlet Hankyung, the Financial Intelligence Unit (FIU) is considering blocking access to platforms like BitMEX, KuCoin, CoinW, Bitunix, and KCEX, which allegedly offered services to South Korean users without proper registration.

    Read also: South Korea’s Central Bank rules out bitcoin as reserve asset amid volatility concerns

    Foreign exchanges under scrutiny

    Under the country’s Specified Financial Information Act, crypto exchanges must register as Virtual Asset Service Providers (VASPs) to operate legally. Failure to comply with this directive may result in criminal penalties and administrative sanctions.

    The financial watchdog focuses on exchanges that have reportedly targeted South Korean users through localised websites, marketing, and customer support without adhering to regulatory requirements.

    These platforms are accused of bypassing the mandatory registration process, which includes strict anti-money laundering (AML) and know-your-customer (KYC) protocols.

    This move follows a 2022 crackdown, during which 16 unregistered foreign exchanges, including KuCoin and MEXC, were blocked, prompting many to exit the South Korean market.

    Due to the country’s ongoing strict measures, only 31 crypto trading firms are currently registered, down from 42 in 2024. Platforms like GDAC, ProBit, and Huobi Korea have been delisted due to compliance failures or their inability to meet the FIU’s requirements.

    Read also: Czech central bank official questions bitcoin’s suitability as reserve asset

    Implications for users and exchanges

    For South Korean users, the crackdown could mean restricted access to unregistered platforms, forcing them to transition to compliant exchanges.

    This may involve transferring their assets and adapting to new platforms, which could disrupt trading activities. On the other hand, registered exchanges will likely see increased user traffic as they remain the only legal option for crypto trading in the country.

    Meanwhile, the stakes are high for the targeted exchanges. Non-compliance could lead to significant reputational damage and loss of access to one of the world’s most active crypto markets.

    The ongoing financial regulation actions highlight the growing global trend of stricter oversight in the cryptocurrency industry, emphasising the need for exchanges to prioritise regulatory compliance.

  • Russia adopts cryptocurrency to evade oil trade sanctions

    Russia adopts cryptocurrency to evade oil trade sanctions

    Russia has turned to cryptocurrency and other digital assets to execute oil deals with China and India in order to bypass Western sanctions, according to a Reuters report on Friday citing sources familiar with the matter.

    While Moscow has long supported digital currencies in international trade, the use of crypto in its oil transactions has not been widely reported. Sources told Reuters that some Russian oil companies now use bitcoin, ethereum, and stablecoins like tether (USDT) to convert payments made in yuan and rupees into rubles.

    Read also: Russia sells military technology to Mali, Niger, and Burkina Faso

    Russia’s expanding crypto strategy

    The use of cryptocurrency in oil trade remains a small but growing part of Russia’s overall $192 billion oil market.

    “It’s a convenient tool and helps run operations faster,” the international newspaper cited their source as saying, emphasising that crypto could remain a preferred method even if sanctions were lifted.

    To carry out these transactions, a Chinese buyer pays a trading intermediary in yuan through an offshore account. The intermediary then converts the funds into crypto and transfers them through multiple accounts before the final conversion into rubles in Russia, two sources explained.

    Other countries under U.S. sanctions, such as Iran and Venezuela, have also turned to digital currencies to sustain trade and limit reliance on the dollar. Russia, in response to tightening financial restrictions, has set up multiple alternative payment systems, with crypto being one of them.

    Despite the growing role of digital assets, traditional currencies still dominate Russia’s oil transactions. Some trades rely on fiat currencies like the United Arab Emirates dirham. Additionally, Russia’s largest banks are preparing to support a digital ruble for commercial and retail use.

    Read also: Ethiopia, Russia forge long-term nuclear cooperation with NSTC project

    Broader economic impact and alternative currencies

    Meanwhile, the impact of sanctions continues to reshape global energy markets. In January 2025, Portugal announced plans to increase liquefied natural gas (LNG) imports from Nigeria and the United States to further reduce dependence on Russian supplies.

    “Portugal is now practically independent of Russian gas … but we want to reduce this figure further,” said Environment Minister Maria da Graça Carvalho at the World Economic Forum.

    According to data from REN, Nigeria supplied 51 percent of Portugal’s LNG imports in 2024, while the U.S. accounted for 40 percent. Russia’s share had fallen to just 4.4 percent, a sharp decline from 15 percent in 2021, indicating the shifting energy system amid ongoing geopolitical tensions.

  • Trump vows to make U.S. global cryptocurrency leader at first-ever White House Crypto Summit

    Trump vows to make U.S. global cryptocurrency leader at first-ever White House Crypto Summit

    President Donald Trump on March 7 declared his commitment to positioning the United States as a global cryptocurrency leader during the first-ever White House Crypto Summit.

    The event brought together top crypto industry executives, cabinet officials, and lawmakers, many of whom praised Trump for reversing what they described as the previous administration’s unfair attacks on digital assets.

    Read also: Bitcoin drops below $91,000 amid market turmoil and legislative setbacks

    The crypto community played a key role in Trump’s victories

    “I thought it was very important that we stay at the front of this one,” President Trump said, emphasising the need for the U.S. to maintain its competitive edge in the rapidly evolving crypto sector.

    Once a crypto-sceptic, President Trump has warmly embraced the industry, which has shown significant support for him in return. The crypto community played a key role in helping the president and other Republicans secure victories in last year’s election, with industry leaders like Elon Musk spending heavily to back his campaign.

    Cameron Winklevoss, co-founder of the crypto exchange Gemini, expressed his enthusiasm, saying
    “It’s truly wonderful to see how things have changed and how the pendulum has swung back.”

    The summit noted the industry’s grievances with the Biden administration, which they claim unfairly targeted digital assets. Attendees, including prominent crypto executives and lawmakers, took turns applauding President Trump’s leadership on the issue, signalling a renewed alliance between the emboldened crypto sector and the Trump administration.

    This historic gathering marks a significant shift in the U.S. government’s approach to cryptocurrencies, with Trump vowing to champion the industry on the global stage.

    Read also: President Touadéra unveils $CAR coin to boost Central African Republic’s global presence

    About the crypto community

    The crypto community is a diverse and rapidly growing global network of individuals, organisations, and businesses actively involved in developing, adopting, and promoting cryptocurrencies and blockchain technology.

    Core participants include developers and technologists, as well as investors and traders. Furthermore, it also features entrepreneurs, startups, miners, and validators.

  • SteadyXchange launches in Nigeria, promises transparency and speed to restore trust in crypto trading

    SteadyXchange launches in Nigeria, promises transparency and speed to restore trust in crypto trading

    SteadyXchange, a new cryptocurrency platform, has officially launched in Nigeria, aiming to tackle the country’s trust issues in digital asset trading by offering fast, secure transactions and a commitment to transparency.

    The platform, which debuted on Tuesday, enters a market often plagued by unreliable trading platforms. To address these challenges, the crypto platform will offer instant payouts, competitive rates, and a user-friendly interface.

    Read also: Moroccan government warns citizens as fraudsters impersonate Prime Minister to promote fake crypto

    Abdulrahman emphasised the platform’s mission

    Danjuma Abdulrahman, Director of SteadyXchange, emphasised the platform’s mission to build trust and provide transparency in Nigeria’s cryptocurrency space.

    “Many Nigerians struggle with delays and security risks when trading digital assets. We built SteadyXchange to provide a transparent and reliable alternative—one that ensures speed, security, and fair value for users,” he stated.

    The platform is positioning itself as a dependable solution for cryptocurrency and gift card exchanges, addressing challenges like delay in transactions and other security concerns.

    Beyond its core trading services, SteadyXchange is also committed to improving financial literacy in Nigeria’s growing digital economy. The company has announced plans to launch an educational campaign to help users better understand cryptocurrency markets, security best practices, and emerging opportunities in digital finance.

    The platform’s core values include trust and transparency, innovation, and reliability. It will ensure secure and fair transactions through clear communication, while its innovative approach aims to deliver the best financial services to Nigerian customers.

    Additionally, the platform prides itself on consistently providing smooth and efficient exchanges with competitive fees.

    Read also: Tunisia adopts blockchain for diploma verification to tackle credential, forgery 

    SteadyXchange existing users’ experiences

    Early users have already praised the platform’s services for exceptional customer service.

    One user remarked, “I feel secure using SteadyXchange. Their customer support is top-notch and always ready to help.”

    With features like instant naira payouts from crypto coins and quick gift card redemptions, SteadyXchange is poised to become a trusted name in the country’s cryptocurrency ecosystem.

    The cryptocurrency platform may be used by stockbrokers, file-sharing sites, decentralised exchanges, and payment processing platforms.

  • Bybit bounces back from $1.5 billion crypto heist, restores reserves

    Bybit bounces back from $1.5 billion crypto heist, restores reserves

    According to blockchain data from Lookonchain, cryptocurrency exchange Bybit was able to recover its $1.46 billion loss from a recent cyberattack via a combination of loans, whale deposits, and Ethereum (ETH) purchases.

    Lookonchain said in an X post on Monday that Bybit had received 157,660 ETH (about $437.8 million) from a single address, most likely as a result of over-the-counter purchases.

    Read also: Bybit loses almost $1.5 billion in landmark crypto heist, North Korea tops key suspects

    Breakdown of the contribution 

    An organisation that purchased ETH from both centralised and decentralised exchanges contributed an additional 109,033 ETH ($304.1 million).

    Over $127 million in ETH loans were made by whales and institutions; Bitget, a cryptocurrency exchange, contributed 40,000 ETH ($106 million), while MEXC contributed 12,653 stETH ($33.9 million).

    Another address sent 22,609 ETH ($61.9 million), which could have been from an over-the-counter purchase.

    Mirana Ventures sent 10,000 ETH ($28 million), an unidentified company sent 20,000 ETH ($53.7 million), and another account that may have been connected to Fenbushi Capital sent the same sum. Users connected to “@yuchao” (2,499 ETH) and DWF Labs (2,200 ETH) contributed less.

    Audited proof-of-reserves report to be ready soon to regain users’ trust

    A fresh audited proof-of-reserve report will be released by Bybit in an effort to restore user confidence.

    To ensure complete transparency and safety, the report will use a Merkle tree structure to confirm that all client assets are safely backed at a 1:1 ratio.

    Bybit CEO Ben Zhou wrote on X that the exchange has “fully closed the ETH gap” in response to Lookonchain’s statement. There will be a fresh audited proof-of-reserves report “very soon to show that Bybit is again back to 100% 1:1 on client assets through Merkle tree,” he continued.

    Direct on-chain connections between the Bybit attack and the most recent Phemex breach were discovered by anonymous blockchain researcher ZachXBT.

    Using the same initial theft addresses, the attackers combined funds from both instances, according to on-chain data. This strategy is comparable to that employed by the Lazarus Group, which is supported by North Korea, to link several exchange thefts.

    After one of the largest attacks in cryptocurrency history, Bybit apparently bought $742 million worth of Ethereum (ETH) to recover. As a result of this action, the price of ETH has recovered six percent from its decline the week before.

    Read also: Altvest Capital acquires one bitcoin, targets $10 million to expand holdings

    Bybit paid almost $742 million for 266,694 ETH  

    Blockchain analytics company Lookonchain claims that Bybit paid almost $742 million for 266,694 ETH. The action seems to be a part of the exchange’s attempt to stabilise its reserves following the hack, which caused it to lose a substantial sum of money.

    The attack, which was purportedly carried out by the state-sponsored hacking group Lazarus in North Korea, targeted Bybit’s multisignature cold wallet and caused the loss of about $1.5 billion.

    According to Lookonchain’s study, Bybit obtained 446,870 ETH, or roughly $1.23 billion, from a number of sources, including direct purchases, loans, and deposits from major investors.

  • Bybit loses almost $1.5 billion in landmark crypto heist, North Korea tops key suspects

    Bybit loses almost $1.5 billion in landmark crypto heist, North Korea tops key suspects

    On Friday, Bybit, a major cryptocurrency exchange, announced that it had been hacked with losses estimated at approximately $1.5 billion. This incident marks the most prominent cryptocurrency theft to date.

    Read also: Paratus Namibia enlist foreign cybersecurity experts to contain systems breach

    The nature of the hack

    The hack involved a sophisticated attack on one of Bybit’s Ethereum cold wallets. Ben Zhou, CEO of Bybit, stated, “The signing message was to change the smart contract logic of our ETH cold wallet,” he wrote on X. 

    He explained that the hacker “took control of the specific ETH cold wallet we signed and transferred all ETH in the cold wallet to this unidentified address”. 

    The attackers exploited vulnerabilities by manipulating transaction interfaces and using advanced phishing techniques.

    Blockchain analysis suggests North Korean hackers might be responsible for this breach, given its similarities with previous attacks like those by Lazarus Group. Funds were moved through multiple platforms and privacy protocols, complicating recovery efforts.

    Read also: 33,320 recovered in Nigeria-Japan cybercrime operation; 11 arrested for romance scams

    Bybit processes withdrawals despite hacking

    Following the hack, Bybit received over 350,000 withdrawal requests but assured users that all withdrawals were processed normally despite initial delays. 

    CEO Ben Zhou said, “Bybit is Solvent even if this hack loss is not recovered; all clients’ assets are 1 to 1 backed; we can cover the loss”. The company secured bridge loans covering about 80 per cent of stolen assets and collaborated with law enforcement agencies to recover assets.

    Bybit maintains over $20 billion in assets under management (AUM), ensuring financial stability even if recovery fails. Despite these measures, concerns remain high due to recent trends showing increased crypto-related criminal activity globally in 2024, with losses exceeding $2.2 billion.

  • After years of hype, Pi coin’s price plummets within 24 hours of launch

    After years of hype, Pi coin’s price plummets within 24 hours of launch

    Pi Coin’s highly anticipated launch has quickly turned into a rollercoaster ride, as the cryptocurrency’s price crashed dramatically within just 24 hours of going live. After years of promises, delays, and growing expectations, the digital asset saw its value plummet from $2 to $0.80, a 60 percent decrease that has raised questions about its future stability.

    Thursday marked a historic milestone in the cryptocurrency world as Pi Coin, the innovative mobile-mined digital currency, officially launched its Open Mainnet at 8:00 a.m. UTC (9:00 a.m. WAT). After years of anticipation, development, and multiple delays, the Pi Network has transitioned from an enclosed ecosystem to a fully operational blockchain, enabling millions of “Pioneers” worldwide to trade, transfer, and use their Pi coins in real-world applications. 

    However, the launch has been accompanied by significant price volatility, with CoinGecko reporting a drop from $2 to $0.8 within hours, reflecting the dynamic challenges and opportunities facing this groundbreaking cryptocurrency.

    Read also: South African fintech 6DOT50 partners with 1,400+ car dealerships to enable crypto payments

    The journey to launch

    Founded in 2019 by Stanford graduates Dr. Nicolas Kokkalis and Dr Chengdiao Fan, Pi Network aimed to democratise cryptocurrency by making mining accessible via smartphones. Unlike Bitcoin, which demands energy-intensive hardware, Pi allows users to mine coins by tapping a button on the Pi Network app every 24 hours. This unique approach has built a massive global community, with over 19 million Pioneers completing Know Your Customer (KYC) verification and more than 10 million migrating their coins to the Mainnet by the January 31, 2025, deadline.

    The road to this launch was not without hurdles. Initially planned for earlier dates, the Open Mainnet was postponed multiple times—from December 31, 2024, to February 20, 2025—to ensure extensive KYC verifications and the development of at least 100 ecosystem applications. Meeting the target of 10 million migrated users was a critical prerequisite, reflecting the network’s commitment to a robust and secure launch.

    What Pi launch means

    The Open Mainnet launch represents a monumental shift for Pi Coin. During its “enclosed” phase, transactions within the Pi ecosystem were previously limited to the firewall. The removal of the firewall now allows Pi to interface with external blockchain systems. Pioneers can engage in transactions beyond the network, trade on exchanges like OKX, Bitget, and CoinDCX, and leverage a growing suite of decentralised applications (dApps). Speculation is rife that Binance may list Pi following a community poll that concluded on February 27, 2025.

    Technologically, Pi Network boasts a blockchain that processes transactions 120 times faster than Bitcoin, with a 5-second block time compared to Bitcoin’s 10 minutes. At launch, only 1 billion of the 6.1 billion mined Pi tokens are immediately tradable, with the remainder locked in users’ wallets for months or years to control supply and stabilise value—a strategy tested by today’s market dynamics.

    Pi price volatility: From $2 to $0.8

    The market response to Pi Coin’s launch has been marked by significant volatility. According to CoinGecko, Pi Coin opened trading at $2 but plummeted to $0.8 within the first few hours, a 60 percent decrease. This rapid decline reflects the typical behaviour of newly launched cryptocurrencies, where early adopters sell their holdings to realise profits, exerting downward pressure on the price. The selling pressure was evident despite the limited tradable supply of 1 billion tokens, suggesting a rush among early miners to cash out.

    Before the official launch, Pi Coin’s IOUs (I Owe You tokens) on exchanges like HTX showed different volatility patterns, surging from $49 to $92—an 80 percent spike—after the February 12 confirmation, only to drop later. The CoinGecko data post-launch, however, paints a stark picture of the real-time market adjustment, with the $2 to $0.8 drop highlighting the discrepancy between pre-launch speculation and post-launch reality. This volatility, while concerning, is not uncommon for new digital assets navigating initial supply and demand dynamics.

    Pi Coin’s launch offers a promising opportunity to enhance digital inclusion in regions like Nigeria and Africa. Its mobile-first approach aligns with high smartphone penetration, potentially fostering financial empowerment for millions. The ecosystem already features approximately 80 community-built applications—like Map of Pi and 1pi Mall—with more in development, laying the groundwork for broader utility.

    However, the risks are significant. The rapid price drop has fueled concerns about stability and long-term value, compounded by the absence of a clear use case beyond mining rewards. Scepticism persists from years of delays, with some labelling Pi a “scam” or Ponzi scheme, though the network’s transparency with KYC and community-driven model counters such claims. While aimed at controlling supply, the locked token strategy could lead to future volatility as tokens are released, posing additional challenges.

    Read also: Busha launches cNGN: Nigeria’s private-sector stablecoin for fast cross-border transactions

    Market reactions and analyst perspectives

    Analysts are divided on Pi Coin’s trajectory. Some see the potential for stabilisation as initial selling subsides and adoption grows, buoyed by the large user base and ecosystem development. A higher-level recovery—potentially $100 as speculated pre-launch—could occur if momentum persists. Others warn of further declines if utility or regulatory issues falter, with a break below $0.8 possibly testing lower support levels. The 60 percent drop from $2 to $0.8 underscores the speculative nature of the market, with success hinging on real-world application and regulatory collaboration.

    Pi Coin’s launch is not the end but the beginning of its journey to prove its worth in a competitive crypto landscape. Adoption and utility will be key, with the network’s growing ecosystem and technical advantages providing a foundation for optimism. Collaboration with regulators and financial bodies will be critical to ensure sustainability and legitimacy, particularly in markets like Africa, where digital infrastructure is a priority.

    The global crypto community watches closely as Pi Coin navigates its first day in the open market. Whether it stabilises after the initial $2 to $0.8 drop or faces further turbulence, today’s launch marks a bold step forward for the Pi Network. The challenge is translating its massive user base and innovative model into lasting value, proving that mobile-mined cryptocurrency can redefine the digital economy.