Pi Network Hit With $10 Million Fraud Lawsuit as Community Disputes Key Claims

Kamina Bashir

Mon, December 8, 2025 astatine 5:14 AM CST 3 min read

SocialChain Inc., the institution down Pi Network, is facing a $10 cardinal suit aft an capitalist accused it of orchestrating a fraud scheme.

The ailment alleges that the institution conducted unauthorized token transfers, secretly sold 2 cardinal Pi tokens, and deliberately delayed web migration. These actions reportedly triggered a melodramatic illness successful the token’s price.

According to tribunal documents, the suit was submitted connected October 24 successful the US District Court for the Northern District of California. It is assigned to Judge Nathanael M. Cousins. The ailment targets Pi Network founders Chengdiao Fan and Nicolas Kokkalis, arsenic good arsenic SocialChain Inc.

The plaintiff, Harro Moen Moen of Arizona, alleges a multi-year strategy that resulted successful important fiscal losses. He is seeking $10 cardinal successful damages.

Moen claims that 5,137 Pi tokens were transferred from his verified wallet to an chartless code without his authorization connected April 10, 2024. He further added that the concern was worsened by the nonaccomplishment to migrate his remaining 1,403 tokens to the Pi Network Mainnet.

"The complaint, brought by Bulldog Law connected behalf of an Arizona cryptocurrency investor, alleges that the suspect and its executives conducted a monolithic fraud strategy done unauthorized token transfers, concealed income of 2 cardinal Pi tokens and deliberate migration delays that caused token values to plummet from $307.49 to $1.67," the summary read.

The ailment besides argues that contempt selling Pi Network arsenic decentralized, the defendants allegedly maintained centralized power by operating lone 3 validator nodes.

"He's besides accusing pi of being an unregistered information which is simply a full different problem," a marketplace watcher added.

The Pi Core Team has not publically addressed the lawsuit. However, the Pi assemblage has been speedy to situation respective of the plaintiff’s claims. Many Pioneers reason that unauthorized token transfers could stem from compromised login credentials oregon phishing attempts. They added that these incidents bash not beryllium immoderate wrongdoing by the team.