Grayscale Files for Bittensor (TAO) Spot ETF — Expanding Into the AI-Blockchain Frontier

Grayscale is betting big on the convergence of crypto and artificial intelligence.
According to CryptoNews, Grayscale Investments has filed with the U.S. Securities and Exchange Commission (SEC) to launch a spot exchange-traded fund (ETF) based on Bittensor (TAO) — a decentralized AI network that rewards contributors for machine learning computation.

The proposed ETF will trade under the ticker “GTAO”, marking one of the first attempts to bring AI-powered blockchain assets into the traditional financial markets.

A Bold Move Beyond Bitcoin and Ethereum

Grayscale, best known for its Bitcoin Trust (GBTC) and Ethereum Trust (ETHE), is now branching out into next-generation digital assets that combine AI technology with decentralized computing.

The Bittensor network (TAO) has gained attention for enabling developers and data scientists to train and share machine learning models across a decentralized ecosystem — earning rewards in TAO tokens.

“GTAO represents the intersection of two megatrends: artificial intelligence and decentralized infrastructure,” said analysts familiar with Grayscale’s filing.

This filing underscores a growing investor appetite for AI-linked crypto exposure following the 2025 AI market boom.

Inside the GTAO ETF Proposal

According to the SEC submission, the Grayscale Bittensor Trust would track the spot price of TAO, providing traditional investors a way to gain exposure without direct crypto custody.
The ETF aims to be backed by actual Bittensor tokens held in secure storage, similar to Grayscale’s existing spot Bitcoin ETF model.

“The goal is to simplify institutional access to emerging decentralized AI assets,” Grayscale stated in its proposal.

If approved, GTAO would become one of the first AI-focused spot ETFs in the United States, potentially paving the way for broader adoption of AI-integrated blockchain investments.

AI + Blockchain: The Next Investment Narrative

The Bittensor network positions itself as a “neural economy”, rewarding participants for contributing valuable machine intelligence.
By tokenizing computational work, it creates a market-driven system for AI innovation — one that aligns perfectly with the growing global interest in decentralized machine learning.

Grayscale’s move comes amid a wave of capital flowing into AI tokens and decentralized compute networks, such as Render (RNDR) and Fetch.ai (FET).

“AI is no longer just a buzzword — it’s becoming a core part of digital asset strategy,” noted one industry analyst.

Regulatory Hurdles Ahead

Despite optimism, the path to approval remains uncertain.
The SEC continues to evaluate several spot crypto ETF applications, and introducing an AI-integrated asset like Bittensor may pose new challenges around valuation and liquidity transparency.

Still, Grayscale’s proactive filing signals confidence that the next generation of ETFs will extend beyond Bitcoin and Ethereum — toward AI-driven decentralized economies.

Outlook: The GTAO Era Begins

If approved, GTAO could become a landmark ETF bridging artificial intelligence and blockchain investment, offering traditional traders a new way to participate in the AI economy without leaving regulated markets.

Grayscale’s message is clear: the future of finance is decentralized, data-driven, and intelligent.