AI Protocol Bittensor (TAO) Surges Over 90% in Past 2 Weeks
Bittensor's machine learning protocol is demonstrating exceptional growth as its token TAO has surged more than 90%, reaching a market capitalization of $3 billion USD over the past two weeks.
AI Protocol Bittensor (TAO) Surges Over 90% in Past 2 Weeks. Image: Bittensor
According to price data from TradingView, TAO is currently priced at $483 USD, marking a 12% increase in the last 24 hours and a remarkable over 90% increase over the past two weeks, achieving a market capitalization of $3 billion USD as of February 6.
Weekly chart of TAO/USD price taken at 11:00 AM on 07/02/2024
Information from the website indicates that Bittensor has nearly 70,000 active accounts and has issued approximately $5.8 million USD worth of TAO tokens.
Bittensor is a blockchain-based machine learning protocol that enables the aggregation of AI models into a decentralized intelligence network. This network encourages competition among developers to create superior AI models and receive rewards accordingly.
Co-founder and COO of Opentensor Foundation (the organization behind the protocol), Ala Shaabana, elaborated on this mechanism with The Block:
"Everyone in the system competes to provide the best possible output. If I perform better than you, I will receive more rewards because my model is performing better."
Additionally, a catalyst for TAO's significant increase came from remarks by Ethereum co-founder Vitalik Buterin. About a week ago, Vitalik mentioned Bittensor in his blog, noting that Bittensor is applying AI in a way that attracts users through various crypto incentives.
"Using crypto reward mechanisms to incentivize better AI development without delving into fully encrypting it: approaches like Bittensor fall into this category."
At a macro level, the intersection of AI and blockchain appears to be a prominent theme within the development community. Projects combining both are seen as addressing concerns over centralized entities like OpenAI and Google wielding disproportionate power and associated risks.
