Bittensor (TAO) rose nearly 10% on Tuesday and surpassed 290 USD, following Grayscale's official launch of the Grayscale Bittensor Trust (GTAO). This is one of the first regulated investment vehicles offering exposure to the decentralized AI network.
This surge lifted TAO to its highest level in several weeks, and trading volume over the past 24 hours exceeded 230 million USD. The move comes as investors react to growing institutional interest in crypto assets linked to AI, particularly those with lower supply growth.
Grayscale launches regulated asset for TAO
Grayscale says the Trust allows investors to gain exposure to Bittensor's native token TAO through a traditional securities structure, without needing to buy or hold the asset directly.
Shares in the Trust are traded over-the-counter on the OTC Markets with the ticker Grayscale Bittensor Trust (GTAO).
According to Grayscale, GTA0 will track TAO's market price via the Coin Metrics Real-Time Bittensor Reference Rate, minus fees and costs.
On January 5, the Trust reported a total fee level of 2.5 % and a net asset value of 7.96 USD per share.
The launch follows several changes within Bittensor's ecosystem. In mid-December, the network conducted its first halving, reducing daily TAO emissions by approximately 50 %.
This has reduced inflation and created a tighter supply. Therefore, Bittensor's structure now resembles Bitcoin's scarcity.
Meanwhile, Grayscale has already submitted documents to U.S. authorities to convert its Bittensor Trust into a spot ETF. This is part of a broader effort by Grayscale Investments to expand regulated exposure to crypto beyond Bitcoin and Ethereum.
It remains uncertain when approval can be achieved, but the application has strengthened the discussion around TAO's accessibility for institutions.
Bittensor operates as a decentralized marketplace for machine learning, where participants earn TAO by providing computing power and AI services to the network.
The protocol has gained attention as investors seek blockchain-based alternatives to centralized AI infrastructure.
With lower emissions, increased staking activity, and new regulated assets, TAO's recent price movement shows the market is now re-evaluating the asset's long-term positioning.