1. Home
  2. Our TAO Thesis

Bittensor (TAO)|Our view

Our TAO Thesis

Bitcoin, then Ethereum, now Bittensor (TAO)

Bittensor is an open network that pays anyone, anywhere, for useful AI work. Its token, TAO, coordinates more than a hundred competing markets for intelligence, called subnets, and every one of them trades against TAO. Here is how it works, where it is going and why we believe TAO captures the value.

The story of blockchain|Our view

Bitcoin, then Ethereum, now Bittensor (TAO)

Bitcoin showed that a network with no company could get people all over the world to contribute hardware and electricity, paid in new coins. Ethereum made money programmable. Bittensor applies the idea to AI: the network mints TAO and pays whoever produces the best AI work.

From Bitcoin

The same token design

  • A hard cap of 21mm tokens
  • Halvings about every four years
  • Launched with no premine
  • Bitcoin funded about 20 GW of computing power, with no company

From Ethereum

A platform to build on

  • Anyone can launch on it
  • An economy of apps, here called subnets
  • One currency at the center

Bittensor (TAO)

The best of BTC and ETH, applied to AI

Bitcoin pays miners to secure a ledger. Bittensor pays them to serve, train and score AI models.

Co-founded by Jacob Steeves, a former Google Brain machine learning engineer. The idea came from Bitcoin, in 2015.

Blockchain = decentralized = sovereign. Why distributed matters: a permissionless, global network that runs 24/7. Anyone can join, no company or government can switch it off, and miners compete to do the work. Money, then finance, now intelligence.

How Bittensor works

Bitcoin mines security. Bittensor mines intelligence.

Both networks pay miners in new coins for work anyone can check. Bitcoin pays for energy spent securing a ledger. Bittensor pays for compute spent producing useful AI, across more than a hundred competing markets for AI work, called subnets.

Bitcoin miningEnergy into security
Bittensor (TAO) miningCompute into intelligence
What goes in
EnergyElectricity for specialized hashing machines
ComputeGPUs, and the people who run them
What miners do
HashRace to find a number that meets a target
Produce AIServe, train and improve models for one job
How the work is proven
Proof of workAnyone can check the answer in an instant
Proof of useful workValidators score the intelligence, from 0 to 1
What the network gets
SecurityA ledger no one can rewrite
IntelligenceModels and answers for people and their agents
Miners are paid in
BTC21mm cap, halvings about every four years
TAO21mm cap, halvings about every four years
Every subnet trades against TAO. There is no other way onto a subnet’s market on the chain, so every purchase of a subnet token starts with TAO. How subnets work.

The worldwide web of intelligence|Our view

We believe Bittensor (TAO) is evolving into the next generation of the internet

In June 1993 there were about 130 websites. Two years later there were 23,500. Bittensor has 128 subnets today. In 1995 you could buy Netscape or AOL, but you could not own the internet. This time you can hold the network’s currency.

The worldwide webA network of information, for people
Bittensor (TAO)A web of intelligence, for people and agents
Websites, each serving pages
Subnets: 128 today and 256 slots on the roadmap, each a market for one AI job
Moves information: documents, pages, people
Moves intelligence: models, answers, reasoning
Used by people, through browsers
Used by people and their agents: with x402, an agent pays per call from a wallet, with no account or API key
Runs on open protocols: TCP/IP and HTTP
Runs on an open protocol: Bittensor
Anyone can publish a site
Anyone can launch a subnet or mine on one
Search engines rank the pages
Validators score every miner’s work
Sites get paid by ads and subscriptions
Whoever does the work is paid in TAO, and by paying customers
A site for every topic and every business
A subnet for every use case and model: a bazaar of AI
Investors could not own the protocols
Anyone can hold TAO, the network’s currency
TAO is for the agents. The next internet’s heaviest users will be agents. Today an agent needs a human to sign it up, issue an API key and attach a card. Any agent with a wallet can buy intelligence on Bittensor, with no approval.

Where the value goes|Our view

When intelligence is abundant, value converges on what’s scarce

Will Manidis and Joe Roberts, The Commanding Heights, October 2026Intelligence becomes the giveaway. Value pools in what’s scarce.

“One either owns the rails or pays those who do.”

Bittensor (TAO): the sovereign AI layer, scarcity in code

AbundantSubnets128subnets today, each a market for one AI job, with more launching
ScarceBitcoin-style supply21mm capno premine, and halvings about every four years
ScarceTAOThe settlement assetevery subnet token trades against it
TAO powers this economy. The network funds its work with new TAO, and every subnet token trades against it. Physical bottlenecks rotate; code doesn’t. The 21mm cap is written into the protocol, and a November 2026 upgrade brings quantum-resistant wallets (team-reported). Read our essay, TAO: The Commanding Heights of Intelligence.

Common questions

Bittensor and TAO, explained

What is Bittensor (TAO)?

Bittensor is an open network that pays its token, TAO, for useful AI work. It runs more than a hundred competing markets for AI work, called subnets, on one chain. Anyone can contribute, no company runs it, and the network scores the work and pays the best results.

How is TAO like Bitcoin, and how is it different?

TAO copies Bitcoin’s money design: a hard cap of 21 million tokens, halvings about every four years and no premine. The difference is the work. Bitcoin pays miners to secure a ledger; Bittensor pays them to serve, train and score AI models.

What do miners, validators, stakers and end users do?

Miners do the AI work a subnet asks for. Validators score that work and set weights on chain through Yuma Consensus, with each validator’s score counting in proportion to the TAO staked to it. Stakers back validators with TAO and share in the rewards. End users, people, apps and their agents, use what the subnets produce and pay for it.

What is a subnet?

A subnet is a market for one AI job, such as inference, training, storage or vision, with its own token that trades against TAO. There were 128 subnets as of September 2026, with 256 slots on the roadmap. More on subnets.

How does new TAO get allocated across subnets?

Through dynamic TAO. Every subnet has a pool that pairs its token with TAO, and staking TAO into the pool is the only way to buy the subnet’s token. Prices in those pools steer how much new TAO each subnet receives; in 2026 the chain moved to a moving average of subnet prices because flows proved gameable.

What is TAO’s supply schedule?

The cap is 21 million. The first halving, on December 15, 2025, cut issuance from 7,200 TAO a day to about 3,600. At the current rate the next halving comes around the end of 2029 and cuts it to about 1,800 a day.

What could drive demand for TAO?

In our view, three things. Every subnet token trades against TAO, so buying into any subnet starts with TAO. Agents can pay for AI on Bittensor from a wallet, with no account or API key. And issuance keeps falling as halvings arrive. This is our view, not a forecast.

What are the main risks?

TAO and subnet tokens are highly volatile and can lose all their value. The protocol can change, subnets can fail or be deregistered, subnet tokens can be hard to sell in size, and the rules for digital assets are still being written. Subnet tokens carry no ownership in a legal entity. Full disclosures.

How is investing through Stillcore different from holding TAO?

Holding TAO gives you the network’s currency. Stillcore holds TAO as its reserve and actively selects subnets, sizes and rebalances them, and sources many positions over the counter, directly from founders. About the fund.

Who can invest, and how do I start?

Stillcore’s funds are open only to verified accredited investors. Request our Fund Overview & Research, or book a call with Rob Greer, Partner.

Contact

Let's talk.

Book a call with Rob Greer, Partner, to talk through the fund, our research or Bittensor (TAO). Or text / WhatsApp Rob at (551) 404-4064.

Book a call with Rob

For accredited investors only.