Publicly traded company xTAO has solidified its position as the dominant corporate holder of Bittensor's native token TAO, accumulating 41,538 tokens valued at $15.8 million according to official disclosures. This strategic investment surpasses competitors like TAO Synergies (TAOX), which recently acquired 29,899 TAO for $10 million.
The acquisition represents a significant commitment to Bittensor's decentralized AI ecosystem, where TAO serves as the network's utility token for incentivizing machine learning contributions, enabling governance participation, and accessing AI services. xTAO CEO Karia Samaroo emphasized the move provides immediate economic exposure to Bittensor while enabling expanded validator operations: "Our goal is to build core infrastructure, earn sustainable cash flow, and compound value alongside the network".
xTAO plans to stake its holdings to generate an estimated 10% annual yield, though dollar returns remain subject to TAO's price volatility. The company retains substantial cash reserves for further acquisitions, bolstered by $22.8 million in funding from investors including Digital Currency Group and Animoca Brands.
This positions xTAO for significant governance influence within Bittensor's decentralized framework while signaling institutional confidence in AI-blockchain convergence. TAO currently trades at $371.90, down 51% from its April 2024 peak, amid broader market corrections.