Pi Network Adds AI to KYC to Speed Mainnet Migration; Validator Rewards Delayed to Q1 2026
Pi Network has integrated artificial intelligence into its Standard KYC process to accelerate identity verification and reduce Mainnet migration bottlenecks. The AI—adapted from the Fast Track KYC system—pre-screens straightforward applications for automatic approval, anonymises sensitive data, and forwards ambiguous or complex cases to human validators. Pi says the upgrade roughly halves queues for human review, eases regional validator shortages and preserves human resources for oversight, AI refinement and reinforcement training. Current rollout metrics show about 17.5 million Pioneers fully KYC-verified and 15.7 million migrated to Mainnet; roughly 3 million users remain tentatively verified pending liveness checks. The Pi Core Team also confirmed validator reward distribution will begin only after audits and adjustments for tasks dating back to 2021, targeting completion by the end of Q1 2026. Separately, market indicators show the PI token has fallen about 4.8% in 24 hours and ~10.7% over the week, trading below its 30-day simple moving average; the project also faces a U.S. lawsuit alleging unauthorized withdrawals. Traders should note that AI-driven KYC can materially speed Mainnet onboarding and increase short-term on-chain activity and token utility, but the delayed reward schedule and active legal risk are likely to continue weighing on PI sentiment near term. Key actions for users: complete the Mainnet checklist (wallet confirmation, 2FA, accept terms) to enable secure token transfers.
Bearish
Short-term bearish: The AI-driven KYC upgrade reduces verification bottlenecks and should increase Mainnet onboarding and on-chain activity, a positive operational development. However, immediate market reaction is likely muted or negative because the PI token is already showing recent price weakness (down ~4.8% 24h, ~10.7% weekly and trading below its 30-day SMA). More importantly, validator rewards have been delayed pending audits and adjustments, with distribution targeted only by end of Q1 2026—this prolongs uncertainty around tokenomics and incentives. The active U.S. lawsuit alleging unauthorized withdrawals adds regulatory and legal risk that can further depress sentiment. Taken together, operational improvements support medium-term utility, but near-term catalysts are limited and downside risks (reward delay, legal issues, weak momentum) make the short-term price outlook bearish for PI. Over the longer term, successful AI KYC rollout and completed audits could turn sentiment neutral-to-bullish if rewards are distributed and legal exposure is resolved, but that depends on execution and outcomes.