Dynamic TAO
Dynamic TAO is a sophisticated mechanism that brings the following benefits to the Bittensor network:
- Eliminates the role of the centralized root network.
- Enables a TAO holder to directly participate in a subnet of their choice.
- Creates an efficient way to evaluate a subnet's performance via the subnet-specific dynamic TAO token (alpha token). An alpha token is exchangeable with TAO.
- Incorporates the consensus power of a subnet validator into their alpha token stake holdings.
- Uses a subnet's alpha to determine emissions to the subnet.
Furthermore, the dynamic TAO enables a TAO holder and a subnet validator to manage their stake, influence, and governance across multiple subnets in the Bittensor network. By making use of the global component of a subnet validator's stake weight, the dynamic TAO elegantly solves the problem of managing influence of a validator, hence of a TAO holder, across different subnet economies while maintaining mathematical consistency and economic incentives.
The dynamic TAO guide is preliminary
The Emissions section of the dynamic TAO guide is still not settled yet. Proceed with caution.