$PI Pi Network (PI) Deflation Mechanism - Fee Burning + KYC/Migration Cleanup Model (As of March 2026)

The primary deflation mechanism for Pi Network consists of transaction fee burning and cleanup of non-KYC/unmigrated tokens, with no official "scheduled large-scale burning" plan. Below are the core mechanisms:

**I. Transaction Fee Burning (Executed Automatically on Mainnet)**

- Per-transaction fee: 75% permanent burn (transferred to black hole address), 25% enters ecosystem pool.
- On-chain data: As of early 2026, approximately 528,000+ PI cumulatively burned, averaging 3,000–4,000 PI daily.
- Purpose: Continuous deflation with ecosystem transaction growth, reducing circulating supply.

**II. Non-KYC/Unmigrated Token Cleanup (One-time + Ongoing)**

- Rules: Accounts that failed to complete KYC or did not migrate to mainnet before March 14, 2025 (UTC) have their PI permanently deleted (burned).
- Scale: Community estimates approximately 60.8 billion PI cleaned up, with total supply reduced from approximately 1 trillion to approximately 6.99 billion.
- Additional: Offline targets/Security Circle contribution rewards are also synchronized for burning.

**III. Other Potential Burning Mechanisms (Unconfirmed by Officials)**

- Violating accounts: Multi-account, volume manipulation, fraud and other non-compliant addresses have tokens seized and burned.
- Future possibility: Community DAO voting can introduce new burning rules (such as ecosystem dividend burning, scheduled burning), but requires on-chain voting to take effect.

**IV. Key Features**

- No "fixed total supply cap," but continuous deflation through fee burning + cleanup.
- Burning is verifiable on-chain and immutable, with no room for project manipulation.