Doug Sillars, Developer Relations lead at Taostats, recently joined the Ventura Labs podcast to break down what’s really happening inside the Bittensor ecosystem. From subnets behaving like real companies, to emission mechanics, MEV bots, and why most subnets will fail just like startups do in Web2, Doug offered one of the clearest explanations yet of how the network is evolving and where the biggest friction still exists.
Watch the full Ventura Labs episode below:
At the center of Doug’s perspective is a simple point: Bittensor is no longer just a crypto protocol. It’s becoming a mini economy of startups, with each subnet operating like its own business building products, chasing adoption, and competing for survival.
Bittensor’s Biggest Selling Point: Subnets Are Real Companies
Doug explained that what pulled him into Bittensor wasn’t hype, token speculation, or “crypto narratives.” It was the structure itself. When he understood that subnets are essentially companies building products for real users, Bittensor immediately became interesting.
When Doug joined, there were only 32 subnets. Today, there are 128, each with its own niche and focus. To him, the protocol feels like a startup ecosystem powered by decentralized incentives, where subnets compete like businesses and are rewarded for delivering value.
That framing matters because it moves the Bittensor conversation away from “AI coin” and closer to what it actually is: a network where intelligence and compute become a competitive market.
Why Taostats Exists (And Why It Matters)
Doug’s role at Taostats sits at the intersection of education, developer support, and community management. He describes his work as a mix of developer relations, writing documentation, producing educational content, and helping users understand the chain.
Taostats isn’t just a dashboard. It’s infrastructure. Doug highlighted that the Taostats API now includes 167 endpoints, giving builders access to deep chain data without having to run their own heavy setup.
His point was simple: if you can see it on Taostats, you can likely access it through the API and build your own tools.
Archive Nodes vs Taostats: Why Indexing Wins
One of the most technical but important parts of the discussion was Doug explaining why Taostats is valuable even for advanced users.
Running an archive node means dealing with massive storage requirements, with the chain data reaching multiple terabytes. Light nodes are useful for recent data, but archive nodes aren’t optimized for fast querying.
Taostats takes a different approach. Instead of relying on raw node structure, they extract and index chain data into databases, allowing users to instantly query wallet histories, transactions, and chain activity.
Doug emphasized that this indexing is what makes it possible to pull full transaction history quickly, something that is extremely difficult to do directly from an archive node.
Taostats Team Growth and Subnet 19’s Role
Doug also mentioned that Taostats has grown into a larger operation with front-end developers, designers, and back-end engineers. Most interestingly, he revealed that Subnet 19 is set to become the backend engine for Taostats, through a project called BlockMachine.
Chain Buys: The Mechanism That Helps Stabilize Subnet Prices
Doug explained chain buys in a straightforward way. In Bittensor, there are caps on how much alpha can be emitted into a liquidity pool. When emissions exceed what the pool can accept, the extra emission is redirected into chain buys.
This matters because it creates a recycling effect where TAO flows into the pool and alpha is bought back, helping the subnet price rise and stabilizing emissions relative to price.
Doug sees chain buys as a practical solution, especially since excess TAO emissions need to go somewhere, and this method helps prevent imbalance.
Dynamic TAO Was a Compromise, But It Worked
Doug believes dynamic TAO was a major step forward, even if it wasn’t perfect. In his view, some earlier design ideas were far too complex and would have caused chain bloat and unnecessary overhead.
Instead, Bittensor found a middle ground. Every subnet having its own alpha token was not necessarily guaranteed to be the only approach, but Doug says the system has performed well so far.
A year after launch, he considers dynamic TAO a success, even though the ecosystem is still adjusting and emissions mechanics are clearly not final.
Governance vs Decentralization: Should the Triumvirate Be Able to Kill Subnets?
Doug addressed a growing governance debate in the ecosystem. Should the Triumvirate have the ability to dissolve a subnet through voting?
He acknowledged that it doesn’t feel fully decentralized, but also admitted there may be extreme cases where such intervention is necessary, particularly if a subnet becomes actively harmful to the network.
Doug pointed out that market-driven enforcement already exists. He referenced how Subnet 67 rugpulled and was deregistered within a week, showing that existing mechanisms can respond quickly when needed. Still, he believes forced dissolution should only be used as a last resort in “five-alarm fire” scenarios.
MEV Bots: The Problem Isn’t the Bots, It’s the Users
Doug gave one of the clearest explanations of MEV bot behavior in Bittensor staking.
The attack works by front-running a user’s stake transaction, pushing price movement ahead of them. The user then executes at a worse price, and the MEV bot exits immediately after, capturing profit through slippage.
The chain has introduced protections, including slippage limits, but Doug says the biggest issue is that many users are still using old staking scripts or loose settings that leave them exposed.
His view is that MEV is solvable, but the ecosystem is in a constant battle of protecting users from attackers, and sometimes protecting users from their own mistakes.
Why V3 Liquidity Pools Were Removed
Doug explained that V3 liquidity pools were removed because they were being used in ways that harmed new subnets, particularly around TAO flow dynamics.
New subnets need positive TAO inflow to grow emissions, but V3 pools were affecting liquidity mechanics in ways that distorted that flow. While Doug hasn’t personally verified every exploit claim, he believes the removal was necessary and expects improved versions may return later.
Why New Subnets Have It Harder Than Ever
Doug acknowledged that the system is tough for new subnet launches, especially after the halving.
To build momentum, subnets need consistent positive TAO flow. That means teams can’t just launch and hope emissions carry them. They need a strategy that includes sustained buy pressure, and likely ongoing DCA into TAO to keep inflow positive until adoption grows.
But Doug also sees a benefit: it forces seriousness. In the early days, subnets could take months before announcing what they were even building. Today, that’s not viable.
His point was blunt: if you launch and start emissions, you must already have a business plan and execution ready.
ADR: Useful Metric, But Not Something to Obsess Over
Doug discussed ADR, acknowledging that even the definition has changed midstream, which has created confusion.
In the current framing, ADR reflects alpha inside the pool versus alpha outside. If ADR is below 1, liquidation events tend to be less damaging for holders.
Doug doesn’t have a strong emotional stance on ADR, but he sees it as another variable in a system already filled with complex mechanics.
Root Claims: The Most Common Misunderstanding Right Now
Doug said the most common confusion today comes from root claims.
Previously, root rewards appeared frequently, roughly every 72 minutes. With the introduction of keep and swap mechanics, rewards now claim on average closer to every 36 hours, and sometimes longer due to statistical variance.
Doug explained that this delay exists partly because there is a minimum threshold for alpha distribution. If claims happened too frequently, many wallets wouldn’t meet the minimum requirement, and the chain wouldn’t distribute the rewards properly. The new claim timing solves that by batching distributions.
The Hardest Problem Bittensor Has: Complexity
When asked what Bittensor still needs to solve, Doug didn’t point to a single technical feature. He pointed to usability.
He believes Bittensor’s biggest challenge is making the system accessible to average users. The protocol has too many moving parts, and even when concepts are explainable, the number of options becomes overwhelming.
Doug compared it to standing in an aisle with 17 types of Oreos. Too much choice creates paralysis, especially for newcomers.
Will the Subnet Cap Increase?
Doug expects the subnet cap will eventually increase, but only when quality improves.
His reasoning is straightforward. Some subnets still aren’t producing strong products. As more subnets mature and deliver real value, governance may decide to add another 20–30 slots.
He also noted that deregistrations have not sparked major backlash, which suggests the market is already accepting that subnets will fail, and that’s normal.
Doug framed it as the reality of startups: 90% fail, and Bittensor won’t be different.
Doug’s Advice to Subnets: Explain It So People Can Repeat It
Doug ended with one of the most important lessons for subnet founders.
Many teams try to explain their work, but still fail to make it understandable. Doug believes the goal isn’t to “explain it like I’m five,” but to explain it clearly enough that someone else can retell it.
If a user reads your explanation and still can’t describe your subnet to another person, you haven’t communicated properly.
And in an ecosystem with 128 subnets, that matters. Attention is limited. The subnets that win will not only build strong tech, but will also communicate their purpose clearly enough for the market to understand, adopt, and support.
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