Is Pi Network the Next Shiba Inu? Exploring the Token Supply Challenge and Market Potential

In the unpredictable world of cryptocurrencies, where millionaires are minted overnight and hype often outweighs fundamentals, Pi Network is rapidly capturing attention. But with growing buzz comes a pivotal question: Is Pi Coin the next breakout digital asset—or just another hype-driven token destined to struggle under its own supply weight like Shiba Inu?

Pi Network’s Meteoric Rise: Hype or Hope?

The Pi Network began as an exclusive, invitation-only project that promised a decentralized digital currency mined on mobile phones. Today, it boasts one of the largest crypto communities in the world. Its grassroots-style growth and promise of accessibility have made it a hot topic in crypto forums and on social media platforms.

But while the project’s vision is grand, its market dynamics are now under scrutiny—particularly its tokenomics and circulating supply. Comparisons with Shiba Inu (SHIB), the notorious meme coin that once shocked the market with parabolic growth and equally steep declines, are becoming increasingly common.

Pi Coin’s Token Supply: Boon or Burden?

As of now, Pi Coin (PI) has a circulating supply of 7.11 billion, with a maximum supply cap set at 100 billion tokens. Roughly half of this supply is currently locked, a move aimed at controlling price volatility and promoting long-term stability. However, the gradual release of tokens into circulation—meant to incentivize ecosystem participation—also raises concerns.

This strategy mirrors the challenges faced by high-supply cryptocurrencies, where inflationary pressure can suppress price action unless offset by significant demand, compelling utility, or sustained network engagement.

The Shiba Inu Case Study: A Warning Sign?

To understand the potential pitfalls Pi might face, one only needs to look at Shiba Inu’s journey. Launched in 2020 as a meme coin, SHIB became a global sensation, fueled by viral campaigns, Elon Musk tweets, and an incredibly passionate community known as the “SHIB Army.”

However, Shiba Inu’s tokenomics posed a major obstacle to its long-term valuation: a total supply nearing 590 trillion tokens. Despite aggressive token burn initiatives aimed at reducing supply and increasing scarcity, SHIB has never reached the much-hyped $1 price point. Simply put, the market cap required to support such a valuation would be astronomical.

Even with strong community support and periodic price spikes, the oversupply issue continues to limit SHIB’s growth potential in real terms.

Why Pi Network Could Be Different

Unlike Shiba Inu, Pi Network isn’t built on memes or social media momentum alone. Its token release strategy is more methodical, focusing on rewarding ecosystem growth, app development, and real-world utility.

Moreover, Pi’s locked token mechanism ensures that nearly 50% of its total supply remains out of circulation, which helps stabilize its price dynamics in the short to mid-term. This structure could give Pi an edge in maintaining investor confidence and avoiding the kind of supply-induced stagnation experienced by SHIB.

Technical Analysis: SHIB vs PI Coin

Shiba Inu (SHIB)

• All-Time High: $0.00008845 (October 28, 2021)

• Current Price: $0.00001530 (82% below ATH)

• Market Cap: $9.03 billion

• Trend: Bearish, trading below the 200-day EMA

• Community Sentiment: Still bullish (88% of holders optimistic per CoinMarketCap)

• Challenges: Overwhelming token supply, limited real-world use cases, reliance on hype

Pi Coin (PI)

• Current Price: $0.8657 (as of writing)

• Market Cap: $6.17 billion

• Trend: Bullish crossover on technical charts

• Recent Movement: Sharp correction (-31% intraday), yet still showing strength from recent rallies

• Support Level: Looking to bounce above $1.5 if momentum resumes

• Community Support: Strong, with active grassroots participation and positive sentiment driven by the Pi Foundation’s strategic initiatives

Will Pi Coin Succeed Where Shiba Inu Struggled?

To answer the question—Is Pi Network destined to follow Shiba Inu’s path?—we must separate tokenomics from token utility.

Pi Network is not inherently doomed due to its high supply. In fact, its relatively lower total supply (compared to SHIB) and structured emission strategy give it a better fighting chance. However, supply alone does not dictate success. The real determinant will be Pi’s ability to:

• Deliver real-world use cases

• Foster demand-driven adoption

• Maintain community engagement

• Establish a functional ecosystem that supports decentralized apps, payments, and services

If Pi can execute on its roadmap and continue building momentum, it has the potential to transcend the fate of meme coins and emerge as a serious player in the Web3 space.

Final Thoughts: Hype is Temporary, Utility is Forever

The crypto world has seen hundreds of coins rise and fall on speculation alone. While Pi Coin shares similarities with Shiba Inu in terms of community size and hype-driven early interest, its fundamental strategy is far more structured.

The future of Pi Coin will hinge on one thing: its ability to translate vision into tangible value. Only then can it escape the gravitational pull of excessive supply and cement its place in the next generation of decentralized finance.