How the chain is buying alpha of undervalued subnets

SUMMARY: The video explains why Bittensor’s subnet emissions currently total only 0.93 TAO per block instead of the full 1 TAO, revealing that the missing 0.07 TAO is diverted into “chain buys.” These chain buys occur when a subnet’s EMA-based flow suggests it should earn more than its price allows, so the system automatically buys its alpha to raise the price and eventually increase emissions capacity. Around 40 subnets are undergoing this process now, and after the November halving, daily chain buys will drop from 504 to 252 TAO.

By: Taostats