Pi Network has half of its servers located in Vietnam.

Pi Network operates on a large number of nodes located in Vietnam. Photo: Bein .

According to data from the blockchain tracking platform Piscan , there are 163 network nodes of the Pi Network blockchain platform located in Vietnam. Meanwhile, the project owns 334 processing points globally. This means that domestic users hold nearly half, equivalent to 49%, of Pi's validator nodes.

Blockchain data identifies the distribution of nodes in Vietnam with 75 machines in the North, 34 in the Central region, and 54 in the South. This number is many times greater than other regions with a high concentration of Pi miners such as China, India, South Korea, or Europe.

Besides the tracking node, the validator is a crucial component in determining whether a transaction is approved. Currently, Pi Network only has two such units globally. However, they are under the management of the project development team, giving them 100% control. Therefore, the decentralized nature of the blockchain platform is questionable.

The geographical concentration of monitoring nodes raises concerns about fairness. Users in one country have significant control over the operation of the entire network.

163 out of 334 Pi network tracking points are located in Vietnam. Photo: Piscan.

Meanwhile, regulatory constraints are also a major issue for the aforementioned project. Vietnam does not recognize cryptocurrencies, including Pi, and prohibits their use as a means of payment. Numerous cases of using these cryptocurrencies for buying and selling have resulted in legal action.

Hanoi City Police are warning citizens about investing in the Pi Network cryptocurrency. Authorities note that many websites are advertising this type of transaction, attracting many individuals to participate. However, this poses significant and worrying risks.

If node operation in Vietnam is disrupted due to regulations, the network could collapse, losing nearly half of its management nodes.

The operating mechanism of the Pi node remains a big question mark. Using the Stellar consensus mechanism, the team says that users' phones used for attendance checks are part of a “security circle.” Currently, these nodes are labeled “watchers,” indicating who monitors the activity. The software running the node must operate on a computer, not a phone. Operators receive more cryptocurrency.

When launching the network, Pi Network also introduced a new type of Super Node, with only two units, belonging to the developers. These are validators, responsible for verification.

Source: https://znews.vn/pi-network-dat-phan-nua-may-chu-o-viet-nam-post1558006.html