Buying Bittensor (TAO): value and price trends

Why consider buying Bittensor (TAO)?

Buying Bittensor (TAO) supports one of the most ambitious initiatives in decentralised artificial intelligence. This project aims to address the limitations of centralised AI models by creating a distributed infrastructure where algorithms can learn collaboratively, securely, and transparently. The TAO token is at the heart of this ecosystem, which is essential for accessing the network, participating in activities, and rewarding contributions.

What is TAO, and where did it come from?

Bittensor was co-founded by Jacob Robert Steeves, a former software engineer and machine learning researcher at Google, and Ala Shaabana, an academic researcher with a strong background in AI. Their combined expertise led to a decentralised network in which AI models evolve through a meritocratic system driven by a proof-of-intelligence algorithm. In this framework, nodes evaluate each other’s contributions and issue TAO rewards based on the usefulness and quality of their shared outputs.

On a technical level, Bittensor is structured into multiple layers. These include the Subtensor blockchain, an EVM-compatible parachain integrated with the Polkadot network, and a mesh of 64 specialised subnets. Each subnet serves a distinct purpose and is managed using a secure dual-key system known as Coldkey-Hotkey, alongside a dynamic incentive model called Yuma Consensus. This consensus mechanism ensures that TAO tokens are distributed proportionally to the actual value generated, promoting transparency and discouraging manipulation of the system.

TAO Price Analysis: 2024–2025

TAO experienced significant price volatility in 2024. After reaching an all-time high of $756 in March, the token underwent a sharp correction, dropping to a low of $215 by July. By the end of the year, TAO stabilised around $440. This volatility coincided with a growing market interest in the project, which led to its market capitalisation surging by over $600 million in just a few days.

In early 2025, however, TAO entered a new bearish phase. During the first quarter, the price fell by over 50%, reaching approximately $219, with a local low of $212. Since then, the token has shown some signs of recovery. Key resistance levels have been identified at $270 and $288. Future price forecasts remain mixed; some analysts predict a trading range between $357 and $535, with an average near $446, while others maintain a more conservative outlook, suggesting stability around $214.

What lies ahead for TAO

One of the most significant developments that could reshape TAO’s market trajectory is the dTAO upgrade, which was launched on February 13, 2025. This major update introduced a market-driven economic structure to enhance network sustainability and long-term participation. With dTAO, each subnet is paired with TAO in its liquidity pool, enabling dynamic price discovery based on market demand and supply. Half of all newly minted subnet tokens are injected into these pools to support deeper liquidity.

Another key innovation is the shift in the role of validators. They now act as strategic investors, allocating TAO into high-potential subnets like venture capitalists. This change fosters competition across the ecosystem, allowing only the most valuable and functional subnets to attract attention and capital.

The upgrade’s impact is already evident. High-performing subnets, such as Chutes—a CLI toolkit for building decentralised applications—and Subnet 4, which focuses on detecting AI-generated content, have emerged as early success stories. However, projects like Kaito are cautionary examples, demonstrating that technical prowess alone is insufficient without solid integration into the ecosystem’s core utility.