TAO Tokenomics in 2025: Incentives, Security, and Governance of Decentralized AI! 📊💡
In June 2025, the TAO token is an integral part of the Bittensor economic model, providing its functionality and encouraging participation.
Payment for AI Services: TAO is used to pay for access to AI models and services provided within the Bittensor network.
Incentivizing Miners and Validators: Miners who provide valuable AI models and validators who assess their contribution receive rewards in TAO.
Staking: TAO holders can stake their tokens by delegating them to validators, thereby participating in securing the network and receiving a share of the rewards.
Governance: TAO holders have the right to vote in the decentralized governance of the protocol, influencing its development and key decisions.
Emission and Halving: The emission of TAO mimics Bitcoin, with halving occurring every ~210,000 blocks (approximately every 4 years), creating deflationary pressure and a controlled supply.
TAO Tokenomics creates a closed economic system that stimulates the creation of high-quality decentralized AI and ensures its sustainability.