We’ve received questions regarding the pilot program and KYC process, and wanted to provide some clarifications and guidance on how Pi Network will approach the pilot and KYC.
The selection process for the pilot will be community-driven, meritocratic, and designed to surface Pioneers best able to bootstrap Pi’s peer-to-peer economy. Pioneers will be selected based on: a) recommendations from community members with concrete reasons (ALL human community members will be able to recommend 3 Pioneers), b) past contributions (e.g., as moderators, or chat participants), and c) potential future contributions to the economy.
The Core Team will not profit from identity verification (KYC). We also aim to develop a decentralized, low- to no-cost KYC process, customized for the Pi community. Our aspiration is to create a free KYC option. Although we cannot yet promise we will achieve this goal, we can promise that we will try our best.
Member privacy is a guiding principle at Pi Network. Pi Network doesn’t care as much about the content of the data you submit during KYC as the authenticity of your identity (i.e., that you are a real human being and not a bot). Pi Network deeply respects member privacy and aims to minimize intrusions on member privacy while keeping the currency safe.
Here is a bit more background on where we are in our approach to identify verification / KYC.
Because our low- to no-cost KYC option is not yet available and we need some form of KYC to enable in-app transfers, we faced a dilemma in choosing between: 1) delaying the in-app transfer until we have the low- to no-cost KYC solution, and 2) enabling in-app transfers using a third-party KYC provider at a smaller scale in a pilot program first. After extensive discussions with the community moderators, we decided to enable the first in-app transfers to keep our word and strengthen our peer-to-peer economy.
While we only rely on third-party KYC providers, members will need to cover the cost of their own KYC to enable early in-app transfers. Don’t forget that this is provided as an option for people who want to have in-app transfer earlier. You can always just wait for the low- to no-cost option later. Unlike other services such as exchanges which charge their users, Pi enables members to mine for free. Additionally, Pi is not listed on any exchanges and does not currently have fiat value.
Why is KYC free for the Pioneers in the pilot? Because it is a relatively small group and the pilot participants will be working to bootstrap our economy. While the Core Team can cover the cost for this small number of people, it cannot currently cover the costs for potentially millions of current and future Pioneers before we find the low- to no-cost solution.
Please let us know if you have any thoughts, questions, or feedback. We especially welcome ideas for how we can keep Pi safe while ensuring that Pi is inclusive to all Pioneers from across the world. Thanks!
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