Every relevant Silicon Valley CEO (Jensen, Elon, Sam, Satya, Dell, etc, etc, with the only exception being Dario) Fund Manager/VC (Gerstner, Baker, Andreesen, Gurley, Sacks, Chamath, etc, etc) is full throated endorsing open source AI as a key strategic technology for America that must be fostered/cultivated rather than cut off by regulation. How does an investor express a trade that benefits from this? The obvious one is Bittensor. Bittensor is an open, permissionless, decentralized ecosystem designed to fund and coordinate open source compute protocols, pre/post-training, AI apps/businesses, AI research, etc (think: open source AI startups) Bittensor’s TAO token is a liquid index designed to capture the value these open source AI start ups are creating. It’s a hard money asset with the exact same tokenomics as Bitcoin. It currently trades at 2B mcap. This is the trade of the decade sitting in plain sight.

Translated: Long your longs on digital commodities. BITTENSOR.

I AM ABOUT TO WALK INTO THE MOST ABUNDANT BALANCED WEALTHY AND SUCCESSFUL PERIOD OF MY LIFE. I NATURALLY ATTRACT GOOD FORTUNE, AND I AM WEALTHY IN MORE WAYS THAN ONE. I GIVE MYSELF PERMISSION TO PROSPER, AND I HAVE THE POWER TO BUILD THE LIFE THAT I DESIRE.

Total bear death

There’s a sense of calm when you know you’re in the right trades and all you have to do is wait

it’s extremely weak and low t if you’re trying to build interest in a coin you’re shilling by fuding another coin. you just admitted to being beta forever

Ok, I just put together a proper effort post here, so hopefully you read it, but the TL;DR is that TAO hits all the notes you mentioned above. You want a coin that's essential to an AI business, where that business generates real-world value and that value drives back to the coin itself. That's Bittensor. I am going to assume you don't know much about Bittensor beyond the "AI Bitcoin" moniker and start with a brief origin story, since I think it's important and helps illuminate where "AI Bitcoin" came from. The interesting thing about Bitcoin for the Bittensor story is that it figured out how to use a token to bootstrap a decentralized compute network, owned by nobody and accessible to everyone, that to this day is the largest computing network on Earth. Bittensor's founders are AI researchers. They knew how important compute was going to be for building AI, and they set out to build the same thing for intelligence: a decentralized intelligence network, owned by nobody and accessible to everyone. Just as Bitcoin could coordinate a disparate group of people to fight centralized control of money, perhaps a new primitive, Bittensor, could be designed to fight the coming centralized control of intelligence. So they abstracted the Bitcoin incentive system (i.e., spend energy securing the network by solving SHA-256 hashes, get paid in BTC) so it could be applied to a whole new set of problems, all aimed at one goal: mining for intelligence. Mining SHA-256 today on Bitcoin is incredibly difficult, but as a system it's simple and objective. Mining for intelligence is orders of magnitude more complex. It's subjective, so it has to be scored on a gradient (study: Yuma Consensus), and there are multiple components that all need to be mined (compute, data, algorithms, etc.). That's where subnets come in. Each one tackles a piece of the problem. (1) Outside revenue + value to the tokens: It took years and a lot of iteration, but Bittensor is now doing exactly what it set out to do. It's mining intelligence. Compute/inference: ~5 subnets are coordinating GPUs around the world to serve raw compute and inference into the open market. Customers range from retail to enterprise, with the crypto abstracted away entirely. Estimates vary, but I put this group at ~$40-50MM aggregate ARR and scaling fast (for context, think ~200% QoQ and ~50% MoM growth). Training: two subnets are doing SOTA decentralized pre-training right now (SN3 and SN9). SN9 just wrapped up a 100B-parameter run with the highest MFU reported for a distributed pipeline-parallel run. SN3's current run is a 110B-parameter model, the largest decentralized pre-train ever attempted. These teams are past proof of concept and working on scale. And SN120 Affine is post-training Chinese OSS models at SOTA levels. Applied AI: a whole set of subnets incentivize miners to build verticalized models that power real products. Score for computer vision. RedTeam and Bitsec for cybersecurity. Minos for genomics. Yanez for identity and fraud. Trishool for alignment. Vidaio for video compression. I'm missing plenty more. These are real products being used in the wild by enterprises. I'd put this category at $10-20MM ARR, also scaling quickly. For context, 12 months ago I'd have said ARR across the entire network was under $5MM. The TAMs here are massive, and the blue-chip subnets are exiting the pre-revenue stage and entering the scaling-revenue stage right now. Critically, these teams are taking that revenue and buying/burning their tokens. Not because they're altruistic. Because the network makes it the only rational move. Two reasons for this: (1) A subnet pays its miners in its own token, a fixed number of tokens per block. So the only way to grow the supply side (more GPUs, better models, more output) is for the token to go up. If you're a compute subnet and want more capacity, you take your revenue, cover miner COGS plus some margin, and buy your token. Buy pressure on your token becomes a derivative of your compute bill. The token is the production budget. (2) And the chain runs the same game one level up. Subnets compete against one another in a fight for daily $TAO emissions, and the scoreboard is the price of each subnet's alpha token (a clever way to let the broader market instruct the protocol on how to allocate its resources). The winners get a bigger share, and for mature subnets that TAO goes straight into buying their own token off the pool. Fall too far in the ranks and you not only lose out on emissions, you risk being deregistered. So you might astutely point out that revenues < emissions today. That is true, but the trend is our friend. Bittensor is essentially running the Uber playbook, which I would argue a cryptocurrency is tailor-made to do. Use the token, rather than VC funding, to bootstrap supply before the demand exists. Once supply is there, demand scales and the flywheel kicks in: demand up → revenue up → buy+burns → alpha price up → miner rewards up → more/better supply → repeat. The early alpha buyers were the pre-revenue seed/Series A investors. Now we're entering the revenue/scaling era. Although revenue isn't yet covering emissions, as discussed above, it is growing. Meanwhile, the supply side is in its first halving cycle. TAO had its first halving last December, alpha halvings are coming in 2027/28, and the subsidy shrinks on schedule as revenue takes over. I am not speculating here either - a couple of subnets already bring in more from customers than they pay out to miners. Important to mention: to buy and burn its alpha token, a team has to buy TAO first and stake it into the pool that pairs TAO against its token. Every alpha burned leaves TAO behind in the pool. ~2M TAO already sits in those pools, and every subnet token can only trade against TAO. So subnet revenue = TAO buy pressure, mechanically. Speculative investing in subnets = TAO buy pressure. Subnet/miner/validator registrations = TAO buy pressure. Taken to its logical end... TAO is literally an index of all 128 subnets, or in other words, an index of 128 AI startups building on crypto rails. (2) It's cypherpunk: TAO also represents the right ethos for crypto x AI. It leverages a novel crypto primitive to bootstrap networks that coalesce edge compute and edge talent from around the world, coordinate them to produce the real inputs to intelligence (compute, data, algos, etc.), and serve them to anyone, anywhere. A network that serves open, permissionless, decentralized, uncensored intelligence. A true alternative to centralized labs and governments. And because it harnesses the world's edge compute and talent, it can scale in ways the fiat companies just can't. (3) You're still early: The top 3 compute subnets are ~$100MM market caps. The next two are $30-60MM. Promising subnets in other categories are sitting at $10-20MM. There are 128 subnets today and there'll be 256+ down the road. Maybe many more in the future. Bad teams get deregistered and new ones take their place. As the ecosystem grows, so do miner and owner rewards, which pulls in more teams and better talent. There will be fantastic teams launching subnets a year from now that you can buy at $5-10MM or less. CT isn't woke to this. 99% have not bridged over to the native Bittensor chain to participate in this ecosystem. Cross-chain bridges are only just going live. In my mind, this screams opportunity. And that's before you get to TAO itself, the L1/index/launchpad under all of it, sitting at ~$3B. That's comically low. Its 1:1 comp is ETH at ~$327B. 100x with size is viable here. Will follow up with some longer-form sources to check out.

90 minutes until 7 consecutive daily closes above 365d rVWAP after 100+ days below it This is sufficient to be considered a 5th cyclical breakout for me $200k next year

We trained a 100B parameter model across five data centres, on single A100s talking to each other over ordinary internet links. It held 30.8% average MFU, with a sustained 38% peak, and ran at roughly 65% of the speed the same job reaches on co-located high-bandwidth hardware. To our knowledge that is the highest MFU reported for a distributed pipeline-parallel run. It went 1.1B tokens over two days and stopped there on cost grounds, because the question was whether a model that size holds together on compute like this. It does. iota.macrocosmos.ai

so clean

There is no second best.

Global Macro/Geopolitical showdown choose your character: @TMTLongShort vs. @fejau_inc

As is evident from my feed, I spend A LOT of time thinking and talking about Bittensor. Sami's early writings on Bittensor were formative for my own thesis on the protocol, and he continues his run of posting absolute bangers with this one below. I'll have to revisit it multiple times, and you should as well. Bittensor is a network state. I'll add to this: Bittensor is the first network state that will actually work. Through years of experimentation and refinement, it has built a way to organize the network's incentive structures so that all actors are aligned in pursuing the same goal of producing valuable digital commodities. This useful work will power the future of open intelligence.

You're building [redacted]. We're building a 1000 year intelligence federation. We are not the same.

Bittensor.

Thank God for David Sacks

Today we’re launching OpenRoboto Shift, opening a new chapter for OpenRoboto. Shift is a decentralized network for collecting egocentric robotics data: first-person video of real people doing real work. Only Possible on Bittensor. Explore Shift → shift.openroboto.ai/

We went quiet for three weeks. A lot happened: → Chutes has a new CEO. Christian Hyland (@cjohan247), ex-Coinbase, Toku, First Wave AI → Parallax is pretraining an 8B MoE in public. Live register, every number read from the fleet as it trains: parallax.chutes.ai → Jon's inference preview: 15.5k output tok/s on a single RTX 5090. Unoptimized branch, read it as a preview → Jon ran a training node off two solar blankets, a Starlink dish, and a DGX Spark in a field. Under 200 watts → New confidential VM shipped. Rebuild it yourself on any Linux box and check our measurements. Byte-identical across four builds Next week: Exploit Summit, Montreal. Jon's speaking, we're platinum sponsors, and we're not turning up to hand out stickers. Full breakdown below 👇

At this point, Bittensor is exhibiting early signs of Reed's Law weekly. When the long tail of subnets expands to 256 and beyond, this should become a daily phenomenon. Accelerate.

Open, permissionless, private, decentralized compute.

Lots need this, the consumption of intelligence will be heterogeneous and ubiquitous. No reason a corp will want to box themselves in.