TAO Synergies Inc. (Nasdaq: TAOX), the first publicly listed company dedicated to investing in Bittensor’s native token $TAO, has announced an $11 million private placement led by existing investors and new backer Digital Currency Group (DCG), one of the most prominent firms in the blockchain industry.
The round also includes participation from James Altucher, TAO Synergies’ Strategy Advisor and early investor, who reaffirmed his conviction in Bittensor’s long-term potential.
“This financing further supports TAO Synergies’ ongoing strategic investments not only in TAO tokens, but also in opportunities to earn revenue and accrue additional TAO within the Bittensor ecosystem,” said Altucher.
“We’re thrilled to welcome DCG, a leader in the cryptocurrency and blockchain sector and a major supporter of the Bittensor ecosystem.”
Strategic Investment Structure
Under the deal, the company will issue 11,000 shares of Series E convertible preferred stock at a stated value of $1,000 per share, convertible into common shares at $8.00 per share, alongside five-year warrants exercisable at the same price. The placement was priced above the five-day trailing average, signaling investor confidence in the company’s valuation.
The transaction, expected to close on or around October 15, 2025, is subject to standard regulatory and closing conditions.
The securities were offered privately under Regulation D and Section 4(a)(2) of the Securities Act, and will later be eligible for resale registration under an agreement with the SEC.
DCG’s Expanding Presence in Decentralized AI
The participation of Digital Currency Group, whose founder Barry Silbert has called Bittensor “the most exciting development since Bitcoin”, underscores the growing institutional interest in decentralized AI (DeAI). DCG has recently deepened its exposure through multiple TAO-related investments, including the launch of Yuma Group, a venture unit focused on the Bittensor ecosystem.
A Public Gateway to DeAI Exposure
TAO Synergies has positioned itself as a pure-play public vehicle for investors seeking exposure to the intersection of AI and blockchain. The company’s strategy revolves around accumulating and staking TAO tokens to generate yield while supporting the Bittensor network’s growth.
As the only Nasdaq-listed company with a Bittensor-focused mandate, TAO Synergies provides both institutional and retail investors a regulated avenue to access the rapidly expanding decentralized AI sector, one that many believe could rival centralized AI providers in scalability and openness.
The company also operates The Tao Daily, a media and insights platform dedicated to reporting on developments across the Bittensor ecosystem.
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