Regulatory filing signals growing institutional interest in AI-focused crypto assets
Grayscale has taken a significant step toward expanding regulated access to emerging digital assets by filing for a spot Bittensor exchange-traded fund (ETF) in the United States. The move comes shortly after Bittensor’s first-ever halving event, a milestone that reduced the issuance rate of its native token, TAO, and heightened market attention on the network.
Details of the Bittensor ETF Filing
The filing seeks approval to convert the existing Grayscale Bittensor Trust (TAO) into a publicly traded spot ETF, marking the first U.S. ETF designed to offer direct exposure to Bittensor. If approved, the fund would trade on NYSE Arca under the ticker symbol GTAO.
According to the registration documents, Coinbase Custody Trust Company LLC and BitGo Trust Company, Inc. are designated as custodians, reinforcing institutional-grade asset security. The trust, which launched privately in 2024, recently became publicly quoted, broadening investor access ahead of this ETF application.
Understanding Bittensor and TAO
Bittensor is a decentralized, artificial intelligence–focused blockchain network that operates on a hub-and-spoke architecture. It enables specialized subnets where participants earn TAO tokens by contributing computing power to support and enhance AI models. This structure positions Bittensor at the intersection of blockchain infrastructure and machine intelligence.
Bittensor’s halving, which occurred in mid-December, reduced new TAO issuance, mirroring the supply-cut mechanics seen in bitcoin’s halving cycles. While TAO’s price dipped immediately after the event, it has since stabilized near $222, suggesting the market is adjusting to the new supply dynamics.
The filing reflects a broader trend of altcoin trusts transitioning into ETFs, as asset managers respond to rising investor demand for diversified, regulated exposure to next-generation crypto networks beyond bitcoin and ethereum.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.