Bittensor Surges 6.428% as Decentralized AI Gains Traction

Bittensor's latest price was $334.89, up 6.428% in the last 24 hours. This surge in price reflects the growing interest and confidence in the project, particularly in the AI-blockchain intersection. Barry Silbert, the founder of Digital Currency Group, has highlighted the significance of decentralized AI as a key trend in the cryptocurrency space. In a conversation with Real Vision’s Raoul Pal, Silbert emphasized that decentralized AI is poised to drive the next major wave of innovation in the crypto industry. He specifically identified Bittensor as a leading project in the AI-blockchain intersection, noting that it offers decentralized infrastructure for building AI applications directly on the blockchain, rather than focusing on payments.

Silbert’s interest in AI within the crypto sphere was sparked by Bittensor’s white paper in 2021. He recognized that Bittensor’s approach to creating a decentralized AI market, where users can share and monetize AI models, sets it apart from other projects. This realization led him to believe that decentralized AI is the next big investment theme in crypto, marking a new phase in the industry following the rise of Bitcoin, Ethereum, NFTs, and DeFi. Bittensor’s technical design and long-term vision have earned it a leading position in the AI-blockchain space. Silbert’s confidence in the project has grown significantly over the past year and a half, describing it as having reached “escape velocity,” a term he uses to indicate that the project has gathered enough momentum to sustain its own growth. Despite the presence of several other projects in the AI-blockchain space, Bittensor stands out due to its unique approach and robust infrastructure.

Bittensor’s subnet ecosystem has been a focal point of attention, showcasing impressive performance amidst broader market volatility. The total number of subnets on the network has increased threefold over the past year, currently standing at 95. This growth is indicative of the increasing interest and activity within the Bittensor community. The top three subnet tokens—Chutes, Gradients, and Targon—have all posted strong monthly gains, reflecting the robust fundamentals and community support behind these subnets. Chutes, a serverless AI compute subnet on Bittensor, offers tools for deploying AI models directly through its platform or via an API. This makes it easier for developers to integrate AI into their applications without managing the underlying infrastructure. The subnet token’s price has increased by approximately 170% over the past month, driving its market capitalization to surpass $100 million. However, the token has since experienced a slight correction, trading more steadily in recent weeks.

Gradients, another subnet developed by Rayon Labs, is designed to make AI model training accessible to everyone. It leverages the Bittensor network’s decentralized infrastructure, allowing users to train AI models with minimal effort, even without prior AI knowledge. The subnet token’s price has appreciated by over 550% in the last month, although it has also seen a correction in recent weeks. Despite this, the community’s optimism remains strong, with many analysts highlighting the subnet’s performance and value. Targon, the third subnet developed by Rayon Labs, is a decentralized infrastructure within the Bittensor network designed to support a marketplace for digital commodities related to AI. This infrastructure enhances AI’s ability to understand context and relationships in data, leading to more effective and efficient human-AI interactions. While Targon has seen the smallest gains compared to its counterparts, it is still recognized as one of the strongest subnets in the ecosystem.

The growing interest in Bittensor’s subnets has fueled demand for the TAO token, as groups building on these subnets are required to lock TAO tokens. This direct demand for TAO, coupled with the increasing number of subnets, has contributed to the token’s recent surge. Analysts believe there is still significant room for growth, as only a small fraction of TAO is currently locked in subnets. This presents an opportunity for further expansion if more developers and projects start using Bittensor. Institutional investors have also taken notice of Bittensor’s potential. Hedge funds like Unsupervised Capital, YumaGroup, and DCG are reportedly increasing their exposure to the Bittensor ecosystem, demonstrating long-term confidence in the project. This backing, along with the growing interest from developers and the community, suggests that Bittensor is building something substantial in the AI x blockchain space. As the AI narrative continues to heat up in crypto, Bittensor’s subnet ecosystem is poised for further growth and development.