Grayscale has taken a new step toward expanding regulated access to emerging crypto sectors by filing for a United States listed investment product tied to Bittensor’s native token, TAO. The digital asset manager submitted an initial registration to regulators that would allow the proposed trust to hold TAO directly if approved. This move reflects growing interest in decentralized artificial intelligence networks, which aim to coordinate machine learning development through blockchain based incentives. Bittensor operates as an open network where contributors of computing power and AI models are rewarded with tokens, creating a market driven approach to artificial intelligence infrastructure. By pursuing a regulated structure, Grayscale is positioning itself to offer traditional investors exposure to this niche without requiring direct interaction with crypto markets. The filing highlights how quickly decentralized AI has moved from an experimental concept to an investable theme within digital assets.
The proposed product would trade under a dedicated ticker and provide institutional style access to TAO through conventional brokerage platforms. If approved, it would represent the first such product in the United States focused specifically on Bittensor. Interest in AI linked crypto assets has accelerated alongside broader enthusiasm for artificial intelligence across technology and financial markets. Asset managers are increasingly exploring ways to package these narratives into familiar investment vehicles as demand grows for regulated exposure. Bittensor’s market value has risen alongside this trend, supported by its role in coordinating decentralized machine learning activity rather than offering general smart contract functionality. While approval is not guaranteed, the filing signals confidence that investor appetite exists for diversified crypto products beyond Bitcoin and Ethereum.
Similar products have already begun to appear outside the United States, with European markets moving faster to list exchange traded structures tied to emerging tokens. This global momentum underscores how competition among asset managers is intensifying as new sectors gain relevance. For Grayscale, the filing represents another effort to stay ahead of shifting narratives within the digital asset space by aligning with areas attracting both technological interest and capital. The move also illustrates how crypto investment products are evolving to reflect broader innovation trends rather than focusing solely on payment or settlement use cases. As regulators continue to assess these offerings, the outcome will likely influence how quickly decentralized AI assets are integrated into mainstream portfolios and whether similar products follow across other markets.
