A few months ago, a group of Stanford graduates, Nicolas Kokkalis, Chengdiao Fan, and Vince McPhillip, launched a social cryptocurrency dubbed Pi Network. While the aforementioned cryptocurrency is launched only a few months ago, the creators of Pi Network claim that it dominates bitcoin in environmental aspects.
Clarifying the point, McPhillip who is acting as Pi’s head of community elaborated that bitcoin was dependent on bitcoin mining which is not an environment-friendly process. He explained as large amounts of carbon dioxide were emitted during mining, the impact of bitcoin mining on the environment was quite drastic.
Besides its effect on the surroundings, McPhillip also told that bitcoin mining was expensive as miners had to deploy high computing powers which in turn means high electricity consumption to mine bitcoin. In this regard, his exact words were:
Bitcoin’s proof-of-work consensus protocol relies on nodes using lots of electricity in competition to be the first to solve a math equation.
Than putting forward the benefits of Pi Network, he stated that Pi was built on another consensus algorithm, Stellar Consensus Protocol (SCP). Further describing SCP, McPhillip explained that several nodes voted on Pi’s Network to validate a transaction.
Opposed to bitcoin where only one miner is able to validate the transaction and get rewards for it, several nodes in Pi validating the transaction make sure that the computing power is distributed. Hence, unlike bitcoin mining where a single miner has to deploy as much computing power as possible, computing power in Pi Network is far less than required for bitcoin mining.
At the moment, as per the creators of Pi Network, the number of people installing the project just surpassed 500,000. Moreover, it was revealed in this bitcoin exchange list for beginners that these people were spread to at least 180 countries in the world.
Apart from lessening the burden on the environment, Pi Network is said to ease the lives of people interested in mining new tokens as they could easily do so with the help of their smartphones. In addition to the low-cost process, mining Pi is also regarded as a low power consuming process, therefore, needing minimal battery power. Aiming to further bring improvements to Pi, McPhillip said:
As we approach testnet and mainnet, we are also designing mechanisms that ensure people have something at stake when they vouch for each other.
Pi Network might outclass bitcoin in several departments, however, there’s a long way for Pi Network to go before becoming as favorite among investors as bitcoin currently is.