- Crypto investigator Atlas alleges $8B insider dump as 12M PI tokens offloaded amid PI price crash.
- Token unlock adds 5.7M PI to exchanges as centralized holdings surge, fueling new sell-off fears.
- Community demands answers as wallet control allegations deepen and only seven PI wallets are traceable.
Pi Network (PI) is facing its biggest crisis to date after a leading crypto investigator alleged a possible $8 billion insider dump linked to the Pi Core Team. Viral posts from investigator Atlas set off a wave of panic in the PI community, with claims that more than 12 million PI tokens were dumped by a wallet reportedly controlled by core developers, timed directly with PI’s sharp price collapse.
Atlas shared data showing the wallet offloaded tokens just as PI crashed, raising questions about a coordinated pump-and-dump. This movement coincided precisely with PI’s recent crash, raising suspicions of an orchestrated pump-and-dump strategy.
As per CoinMarketCap data, PI trades at $0.7312, down over 35% in the past week. “Stop watching announcements. Watch the wallets,” Atlas warned, sharing a timeline of the token’s behavior:
- May 1: PI price at $0.6135
- May 12: PI peaks at $1.6704 (a 113.2% increase)
- May 14 onward: PI collapses by over 56%, now trading around $0.7270
While the Pi Core Team has not issued an official statement, some supporters claim the token movements were part of a standard testnet-to-mainnet migration. Atlas dismissed the explanation, pointing to wallet linkages and a lack of transparency around the transactions.
Related: Pi Network (PI) Price Corrects Sharply Post-$100M Fund News; Analyst Cites “Overbought Euphoria”
Token Unlocks and Centralized Exchange Balances Fuel Fresh Fears
Adding to the market’s unease, 5.7 million PI tokens unlocked today, flooding an already pressured market. The number of PI coins held on centralized exchanges has now surged to a record 397 million, increasing fears of another wave of sell-offs.
Market analysts warn that the unlocked supply could further suppress PI’s price unless buying volume increases significantly.
Community Demands Accountability as Wallet Allegations Mount
Crypto influencer Dr. Altcoin claims the Pi Core Team operates more than 10,000 wallets and sub-wallets, most hidden from public view. He called for transparency, urging PI holders to demand answers instead of defending the project blindly.
Related: Analyst Flags Major Risk in Pi Network, Draws Comparisons to Terra Luna 2022 Crash
On-chain analysts say only seven major wallets are fully traceable, further deepening the community’s concern about undisclosed supply and insider control. With the token’s unlocked supply hitting the market and multiple wallets under scrutiny, market analysts warn that PI’s price could remain under pressure unless investor demand returns in force.
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