TL;DR
- Grayscale filed with the SEC its Bittensor-based trust (TAO), the first U.S. ETP to provide regulated access to the token.
- Bittensor is a network that rewards contributions in machine learning and computing power through crypto incentives.
- The ETP aims to attract institutional investors to decentralized AI, offering exposure to a volatile and disruptive asset.
Grayscale seeks to bring artificial intelligence into the regulated U.S. market with its first ETP linked to Bittensor. The firm submitted an S-1 registration with the SEC to list the Grayscale Bittensor Trust under the ticker GTAO, offering U.S. investors direct exposure to the TAO token. If approved, the ETP would hold the tokens within the trust.
Why Bittensor?
TAO has a market capitalization of around $2.3 billion and drives Bittensor, an open network that rewards contributors of machine learning models and computing power through economic incentives. The network has attracted investors looking to enter the AI market beyond traditional smart contract platforms, positioning Bittensor as a key player in the industry.
Barry Silbert, Grayscale’s chairman, stated that the initiative is a response to the rapid evolution of decentralized AI and that the company aims to capitalize on its growing popularity in the market. If approved, it would be the first TAO ETP in the U.S.; however, Deutsche Digital Assets announced a Bittensor ETP that will trade on the Swiss Exchange under the ticker STAO.
Grayscale Aims to Capitalize on AI’s Success
Fund managers are seeking to maximize crypto market trends through regulated products. Grayscale wants to provide access to a sector that, until now, was only available to crypto investors with direct experience in protocols and exchanges. The firm aims to allow investors to access a highly volatile and potentially disruptive asset safely and under regulation, expanding reach and increasing institutional liquidity.
According to the latest data from CoinMarketCap, Bittensor (TAO) is priced at $220 per token. It shows a slight 0.2% decrease over the past 24 hours. Its market capitalization stands at approximately $2.32 billion, and its trading volume fell 16% in the last session, reaching around $72.5 million
