Pi Network arms its testnet with a DEX and AMM for DeFi innovation

Pi Network's testnet update opens new opportunities for structured DeFi education and innovation.

Cover art/illustration via CryptoSlate. Image includes combined content which may include AI-generated content.

Pi Network has rolled out two new capabilities on its testnet, including a decentralized exchange (DEX) and an automated market maker (AMM), according to a Sept. 30 statement.

These additions create a sandbox for token swaps, liquidity pools, and other DeFi experiments without putting the mainnet at risk. The update arrives as the Pi Coin faces significant market challenges since its launch earlier in the year.

According to CryptoSlate’s data, the token recently dropped to an all-time low of $0.2234 at the end of September but has since recovered modestly to $0.27 as of press time.

Boosting PI’s ecosystem

For Pi’s DEX and AMM to operate, token creation is essential. According to the project’s team, developers on the network can now mint test tokens directly on the Testnet, though Mainnet creation will remain restricted until formal guidelines are published.

The Pi Core Team noted that future rules will align with ecosystem goals, ensuring token issuance supports real-world applications, reasonable supply plans, and long-term sustainability. Fan emphasized the importance of building utility-driven products rather than speculative tokens during TOKEN2049.

That distinction matters. While memecoins have demonstrated how online communities can rally around digital assets, they often lack meaningful use cases, which limits their durability. Pi Network is taking the opposite approach by focusing on tokens that power apps, services, and community participation rather than short-lived hype.

Meanwhile, the network developers can integrate these features with Pi App Studio, Pi Wallet, and Pi KYC, which verifies user authenticity to ensure fair distribution. wwww

Additionally, these testnet tools also strengthen Pi’s broader Web3 vision by opening pathways for developers and users to learn DeFi in a structured, utility-focused way.

Pi concluded that it aims to build a more resilient ecosystem by fostering financial literacy and gradual onboarding while enhancing transparency and decentralization.