PiBridge has announced a revolutionary feature in the Pi Network ecosystem: Pi-backed loans. This new offering will allow users to collateralize their Pi holdings and access instant loans in USD without having to sell their assets. The platform aims to provide Pi pioneers with the ability to unlock liquidity and access capital while maintaining long-term exposure to Pi.
The collateralized loan system Pi allows users to use their Pi as collateral to instantly obtain funds that can be withdrawn, spent, or exchanged. This loan can be used for various activities, including trading, staking, reinvesting in DeFi strategies, or even converting the loan into cash. The Pi used as collateral remains locked until the loan is repaid, thus allowing users to retain control of their Pi assets.
PiBridge builds this lending feature on its existing ecosystem, which includes staking pools, P2P loans, yield-based utilities, and cross-chain tools tailored for Pi holders. The public mainnet launch of the platform is expected in the first quarter of 2026, marking a major milestone in the development and utility of the network.
However, the platform recognizes the risks associated with collateralized loans, especially considering the price volatility of Pi across different exchange platforms. PiBridge emphasized the need for robust risk management practices, noting that automated liquidation systems similar to those used by leading DeFi lending protocols will be implemented to help maintain stability.
The Pi community welcomed the news enthusiastically, seeing it as an important step towards greater utility for Pi. However, some skeptics question the timing of this feature, particularly due to the lack of full support for Pi by exchange platforms at this stage. Nevertheless, PiBridge positions itself as a hybrid DEX/CEX bridge, aiming to redefine liquidity management by Pi holders in the future.
This innovative lending feature is expected to become a key tool for Pi holders and could potentially revolutionize liquidity management within the Pi Network.
