Grayscale’s Bittensor ETF Filing Puts TAO on the Brink of Historic SEC Approval
The institutional on-ramp for decentralized AI just got a major upgrade. Grayscale's move to file for a Bittensor ETF isn't just paperwork—it's a calculated power play that could reshape the crypto landscape.
Why This Filing Changes Everything
Forget speculative hype. This is about structural access. Grayscale's application signals a fundamental shift in how Wall Street views AI-native crypto assets. It transforms TAO from a technical marvel into a potential portfolio staple.
The Regulatory Endgame
SEC approval isn't guaranteed, but Grayscale's track record matters. They've fought these battles before and won. This filing forces regulators to confront Bittensor's unique value proposition head-on—decentralized intelligence as a tradable commodity.
Market Mechanics in Motion
An approved ETF creates instant institutional demand channels. It bypasses the technical friction of direct token ownership while maintaining economic exposure. Think of it as Wall Street's preferred backdoor into decentralized AI—complete with their usual management fees, of course.
The real story here isn't just about one token getting a fancy wrapper. It's about the entire crypto sector maturing from speculative asset class to infrastructure investment. Grayscale just handed regulators a test case they can't ignore. Whether they pass it or not will tell us everything about crypto's next chapter.
Grayscale Bittensor ETF Filing Seeks SEC Approval.
Grayscale Investments has filed a preliminary registration statement (Form S-1) with the U.S. Securities and Exchange Commission (SEC) to introduce an exchange-traded product that is dedicated to Bittensor. The application, which was filed on December 30, 2025, is the first step towards turning the current Grayscale Bittensor Trust into a spot ETF.
The proposed product will trade under the ticker symbol GTAO. Should it be approved, it WOULD be the first U.S.-traded exchange-traded product (ETP) to track the native token of Bittensor, TAO, which would provide controlled access to the investors without direct custody of crypto.
Source: Wu Blockchain X
What is Bittensor and why does it matter?
It is an open-source decentralized artificial intelligence network founded in 2019, which rewards contributors who contribute machine learning models, data, or compute.
The TAO token is the key element of the ecosystem, as it allows staking, as well as taking part in governance and distributing rewards. As of early 2026, TAO has a market capitalization ranging between $2.3 - $3 billion, indicating high interest in the wider AI story.
Institutional Confidence and Market Impact
Grayscale, which is a subsidiary of Digital Currency Group, has more than $30 billion of assets in various crypto investment products.
The company is most famously known as the Grayscale Bitcoin Trust (GBTC), which became one of the first U.S.-approved spot Bitcoin ETFs in early 2024.
This most recent submission highlights how Grayscale feels that decentralized AI is the next significant growth horizon.
After the announcement, the price of TAO stabilized around $220, and it overcame intraday volatility.
Analysts believe that the approval of ETFs would move the token price to about $300, but only long-term growth will be based on long-term adoption and network fundamentals.
At the beginning of 2025, prices rose to levels close to $520 and then experienced a severe correction.
Regulatory Outlook and Competitive Landscape
The SEC approval does not mean that crypto ETFs are not under scrutiny regarding the manipulation of markets, custody, and protection of investors. Nevertheless, the pro-crypto attitude of the current U.S. administration may shorten the decision-making periods.
Competitors such as VanEck or BlackRock might also consider developing AI-centered crypto products, and this may lead to increased competition in the new segment.
TAO Coin Price Up Today. Why?
TAO crypto price today at $244.35, jumped 9.59% in 24 hours, driven by strong ETF-related news. Grayscale filed to convert its Bittensor Trust into a spot ETF, while Bitwise included TAO in its altcoin ETF filings, signaling rising institutional interest.
Source: Coinmarketcap com
The rally was further supported by AI-sector momentum, higher trading volume NEAR $95M (+37%) with market capitalization of $2.57 billion and a bullish MACD crossover, indicating short-term technical recovery.
Conclusion
The filing is a sign of the intersection of AI and blockchain, which may unlock regulated access to decentralized intelligence and remake the way investors interact with next-generation crypto innovation.
Disclaimer: This is not financial advice. Please DYOR before investing. CoinGabbar is not responsible for any financial losses. Crypto assets are highly volatile, and you can lose your entire investment.
