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Elon Musk & The Transformation of Twitter: By Citizen Of The Future
April 12, 2023
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The New-Era Bird App is Fulfilling X.com’s Original Vision

Over the last couple of months, there has been much talk about Elon Musk's acquisition of Twitter and the hate narrative that has emerged in mainstream media. This tells us that there is resistance to change and a desire to maintain the status quo in the financial world.  However, change is inevitable, and the rise of decentralized networks & Truth Twitter applies to that

In this report we will delve into X.com and the prior discussions of decentralized trust networks around 2012 and how they are transforming the way we communicate and handle money. We will also review other articles from that time period to try and gain insights into the future of social media and the financial system. This research took me about 25 hours to put together so I hope you enjoy an exclusive reveal of the following content: 

  • What Elon Musk is planning with Twitter infrastructure and his X.com Domain, and paths for the future of Twitter 2.0

  • Results of backlink analysis from X.com and the uncovering of documents that haven’t been shown on mainstream internet since 2012, which showcase some of the original vision of  X.com 

  • Comparisons of Facebook & Twitter users from A Decade of Growth- 2012 to 2022 

  • An article showing how Ripple Trust Networks were an early discussion point from X.com and how they how they are Transforming Money, which lead me to find Ryan Frogger’s original Ripple website which dated back to 2006

  • Snippets from articles relating to X.com in 2012 discussing how The future of money is the Web, towards national cryptocurrencies, and what would happen if social media and payments merge and we discover a new payments utopia - and much more…

Elon Musk & the Twitter Acquisition

Let’s begin with Elon’s acquisition of Twitter that started on April 14 2022, and concluded on October 27 2022, for a price of $44 billion dollars. He has now taken Twitter from a public offering to a private company. Within the first month of his takeover, he provided the Twitter employees with two choices

1. Stick around and help build his vision of “Hardcore Twitter 2.0” and that employees who choose to stay will be required to commit to working “long hours at high intensity”.

2. Say goodbye and accept a layoff. This decision allowed him to trim the fat at the company, which led to laying off over 3700 employees, leaving him with ones dedicated to bringing his vision of Twitter 2.0 to life. 

In conversation with Ron Baron in Nov 2022, Musk said he will execute the X product plan “with some improvements”, which will make Twitter “the most valuable financial institution in the world” with his domain of X.com.

The Start to the End of an Era of Censored Speech

We all know the feeling of being censored and not having our voices heard. We all have opinions, and we should be able to share them regardless of whether they are deemed appropriate by others. 

We have witnessed ample censorship on social media platforms. On Facebook, mainstream media outlets disable citizens from commenting on specific stories such as the Maxwell and Epstein articles. Why can’t citizens freely discuss the mainstream news articles? Why do they get to control what the masses can have conversations about when it comes to their content?

The old Twitter - pre-Elon Musk - did not have an edit button and it would censor citizens who did not fit the mainstream narrative. It is great to see some of the previously censored individuals get their voices back, allowing for a neutral town hall where all opinions can be heard and challenged.

Twitter Censored Information Around Leaked Hunter Biden laptop

If you want to learn about how extensively that Twitter manipulated content, please check out the newly released December 2nd 2022 “Twitter Files” that tell an incredible story from the inside of Twitter. It shows the Frankenstein-tale of a human-built mechanism, grown out of the control of its designer.

This story shows the old Twitter wasn’t balanced. Decisions were made based on contacts, and Twitter was overwhelmingly staffed by people of one political orientation. There were more channels for complaint open to the left-leaning individuals versus the right. With the proof from the Twitter Files, it was shown how Twitter took extraordinary steps to suppress the Hunter Biden laptop story by removing links and posting warnings that the link may be ‘unsafe’. They even blocked its transmission via direct message, a tool hitherto reserved for extreme cases. This was all done to prevent citizens from viewing the content involved with the leaked information on Hunter Biden’s laptop right before the 2020 Election.

Note:  Since the time of writing there are now two more Twitter Files:  #TwitterFiles2 #TwitterFiles3

Twitter 2.0 - The Bird App is Evolving & Obtaining a Money License

Twitter has started the registration procedure for processing payments by submitting documentation to the Financial Crimes Enforcement Network (FinCEN) on Nov 3, 2022.

Businesses must register with FinCEN in order to make money transfers, swap currencies, or pay checks. This will end up creating a never before seen “payments utopia'' by combining social media with instant and cheap cross-border payments. I think this is the start to major cryptocurrency adoption for specific networks with real-world utility.

Shoutout to Citizen @ChrisPaulHall on Twitter for sending this document my way!

A Blast From the Past! A Review of Documents Hidden From the Internet for over 10 years - X.Com Research Results…

Currently, when you go to X.com there is nothing to see as nothing on the website is public. Many people would just give up and move on, but I used this as motivation to dig deeper. I used my skill set of backlink analysis and started researching the domain of X.com to see what websites were linking to this domain. I found there were 2.1 million backlinks on the internet that point to X.com

**A backlink is when a website links to another website in a piece of content, “A link leading back to their website”.**

With this ocean of information connecting to X.com, I spent hours digging through 25,000 links and seeing what I could find on this untouched topic.  Out of the top 11 out of 25,000 backlinks I analyzed that are linked to X.com, these were the most important links that I found:

While researching, I was shocked at being able to gain access to these documents that have been buried & deleted from the internet - thank God for the great Web Archive!  It's mind blowing to think about the fact that these articles were all written between 2010 - 2014 before PayPal became an independent, publicly traded company

Please enjoy the following article summaries and the video above accompanying my research.  

“How Ripple Networks are Transforming Money” | X.com

April 20, 2012 by Manu Sporny

As I was digging through my internet history from 10 years ago, I came across an article that caught my attention. The article was written by Manu Sporny for X.commerce, the e-commerce platform that was being developed by eBay.

In the article, Sporny discusses and explains a concept called Ripple Trust Networks, a decentralized network of payment channels that enables real-time, low-cost transactions between parties. He states it has the potential to greatly reduce the costs and complexities of cross-border payments compared to the expensive and slow correspondent banking system.

He also suggests that the use of the ripple network concept in a decentralized setting would have significant economic implications. This would shift tens of billions of dollars in profit from credit card companies to individuals. Individuals would be able to make payments directly with each other without needing to go through a central intermediary like a credit card company.

Furthermore, he suggests that the ripple network would reduce the cost of short-term loans by providing a highly competitive market in which people could request and receive lines of credit. This is because the decentralized nature of the ripple network would allow for a greater number of lenders to participate in the market, increasing competition and driving down interest rates. Overall, he is emphasizing the potential power of decentralized networks like the ripple network and links to a live implementation to the concept he was speaking about. I clicked it and it brought me to one of the first versions of Ripple in 2012 with 4500 network users. Using this link I was able to dig deeper and find the very very first version of the Ripple website dating back to March 2006. This led me to find the initial Ryan Fugger Ripple white paper from 2004

This is the power of the Web—people-powered finance through ripple networks and decentralized payments.”

Additionally, I learned about W3C's Payswarm initiative, which was a proposed open standard for the secure and efficient exchange of digital assets and payments on the web. This initiative was being developed by the World Wide Web Consortium (W3C) Payments Working Group, which aimed to create a technical framework that would enable web-based payment systems to inter-operate seamlessly and securely. But I cant seem to find anything after 2014 so I think it died or had a name change. If you go to https://www.payswarm.com/ it redirects to a W3C Working Group. 

Reading these articles from 10 years ago made me realize just how much progress has been made in the field of digital payments and blockchain technology. It's exciting to see how far we've come and to think about the potential for even further advancements in the future. It's clear that the Ripple Trust Network concept and other W3C Initiatives are transforming the way we think about money and payments, and I'm excited to see where this technology takes us in the next 10 years.

“How Crypto Currencies Transform Money” | X.com

April 27, 2012 by Manu Sporny

This is a very interesting read that provides insight into some high-level thinking of the X/Paypal crew around FIAT & cryptocurrencies back in 2012! The article breaks down the problem with FIAT currencies and how we moved from a silver/gold backing of currency to nothing backing the dollar. It also explains the centralized concept with central banks that control the money printer. 

They state:

“It truly is a remarkable leap of faith that we make. The US dollar has worth because it is backed by the US government and therefore is backed by its people…”

They have a great breakdown of some character traits regarding a “trustworthy cryptocurrency” which can be still used today. They talk about Bitcoin being in the “Tens of Millions of Dollars” – what a throwback! 

The ending of the article talks about moving toward “National Crypto Currencies” that sound like Central Bank Digital Currencies, an innovation that we have been witnessing the adoption of for the last couple of years:

“A fiat-based crypto-currency could operate alongside these other services as an alternative technology-based mechanism for money transmission. The liabilities—like those held by most banks, credit card companies, and money transmission services—would fall squarely on the companies providing the software to use the crypto-currency.”

Manu explains that to replace cash, it is necessary to have open crypto-currency standards, and that developing nations may be the first to make the switch since they are not politically influenced by the banking and finance sector to the degree that more developed nations are (cough in 2022, SEC Gov). Other nations may choose to adopt crypto-currencies in order to increase the efficiency of their market, thus giving them a competitive advantage. 

“Open Web Payment Standards and the New Economy” | X.com

Written May 11, 2012 by Manu Sporny

This article is important, as it talks about “Open Payment Stands” for the Web and how the W3C could open up the “ivory tower of finance and banking” to the general public. Their goal is to create a more transparent, competitive, and fair financial system. They list important things about open payment standards and talk about the world’s first universal payment standard for the Web, which they call a solution called “PaySwarm”. This named solution is no longer around, and I have not figured out what has happened to it yet.

“The Crisis of Money and Its Metamorphosis” | X.com

April 10, 2012 by Manu Sporny

This is a very important article that everyone should read to really get an understanding of cash (FIAT) and the transformation happening with the global monetary system. This article contains a lot of value:

“The past several years have not been kind to the world’s working class and working poor. The foundations on which we have built the institutions of commerce—the markets, the banks, and government—have proven to be less reliable than we had believed, resulting in a wave of monetary crises around the world. Each was met with our brightest national leaders scrambling to correct the instability through obscene injections of capital and massive creations of debt on behalf of the peoples of this world.” 

It talks about being the time to put forth a plan that uses the web, the best communication platform that we have today, to solve our collective monetary crisis. The article then explains the understanding of how we arrived in this predicament and examines the purposes of debt, money, and banking. It goes and talks about debt and the financial system in the early years of global society and how banks have shifted and taken over the economic system. They describe “The Web as an Engine for Innovation” and talk about “Rethinking the Foundations of Money” 

They also talk about “Ripple Trust Networks” powering people's credit.

“The Future Money & The Web” | X.com

May 18, 2012 by Manu Sporny



This is another great informational article where they talk about the concept of “a ripple”, a trust network, and how we could change the way we provide loans and credit - it talks about how cryptocurrencies are poised to replace physical money. He talks about the web as a lifetime depository and how to standardize digital wallet, with it one day coming in place so you can access it from anywhere. 

It also explains how finance is shifting to the web as fintech can innovate faster, using the web base architecture, then traditional banks, and credit card networks. They state in this article, at the time of writing, that there were 2 billion people who use the web. In 2022, there are now around 5 billion people who have access to the web.

“Perhaps the Web’s biggest contribution to our lives has not been the technology itself, but rather a new way of thinking about how we work together to solve the most pressing problems of our time.”

“The Future of Commerce Will Combine Your Social Network and Mobile Device” | X.com

This was from September 21, 2012, written by Nick Hughes. In this article, they discuss:

“If Those Two Powerful Phenomena Merge, Will We Discover a New Payments Utopia?”

They also state:

“Facebook and Twitter, together making up more than a billion socially connected web users, have positioned themselves well for the possible next phase of commerce. Facebook, for instance, recently reported now having 955 million monthly active users and 552 million daily active users. It also said it had 543 million active mobile users, who are much more engaged than its PC users”.

It was also stated that Facebook had over 11 million business profiles! This means in 10 years, as of 2022. 

Facebook has 3 billion monthly users and 2 billion daily users, with over 200 million Facebook business pages. In 2012, Twitter celebrated its 6th birthday while also announcing that it had 140 million users and 340 million tweets per day. Today those numbers are at 450 million monthly active users and around 500 million tweets per day. This article also talks about combining a user ID with a mobile device ID and connecting a secure payment credential, thus having one quick checkout – online or offline

These are the last two important statements I want to point out, then picture what Elon Musk is doing today:

“Now imagine if instant and automatic transactions were coded into those sorts of buttons, allowing the user to transact with a securely stored payment credential on a third-party server in just one click from his or her mobile device.”

 

“If you are developing a mobile payment platform, it only makes sense to consider the imminent power of social sharing and how it will enhance the commerce experience for people around the world.” 

It’s neat to see how social media is exponentially growing and connecting citizens of the globe. I wonder what life is going to look like, reflecting on this, 10 years from now! They also use a great example of “How Facebook Could Transform the Mobile Commerce Market”.

The Bottom Line…

There is now no doubt about it – we are at the start of a new era of payments and social media. This plan has taken over 10 years to come to fruition, and I am so thankful I am doing my homework now, before the transformation has taken place. 

In conclusion, I hope that my research on the connections of the past has provided an interesting and insightful look at the developments that have shaped the current landscape of freedom of speech and payments. As we enter a new era of technology and innovation, it is important to embrace the opportunities and challenges that come with it. The clock is ticking and the whole world is asleep thanks to mainstream media, but it is up to us to awaken and embrace the potential of this moment in time. I hope you have enjoyed reading this edition of the Genfinity's LightHouse Report, and I look forward to sharing more insights and perspectives with you in the future.

Never stop learning and never stop improving! 

Sincerely, 

Citizen of the Future

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💎 Institutional Adoption 🤖 🚀 Agent 🤝 Agent 💎

Jacob Steeves just described what Bittensor becomes in 3 to 5 years.

Most people are not ready for this answer.

He called it a hive mind.

Not a network. Not a protocol. A self-optimizing intelligence market where agents mine the subnets, agents build the subnets, agents continuously optimise the subnets, and humans become optional in the process.

Read that again.

The system was always designed to eventually strip away the human layer entirely and run as a pure abstract incentive market.

That is not a roadmap item. That is the original vision finally becoming technically possible because of where AI agents are right now.

Here is what makes this different from every other AI crypto narrative.

Bittensor does not just talk about decentralised AI. It repeatedly beats state of the art.

It takes a specific domain, builds a well-defined market for it, aggregates global talent around solving it, and produces results that beat every centralised competitor.

AI detection. Inference at a lower cost than any centralised ...

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🚨 SCIENTISTS JUST COMPLETED A KEY PART OF A 100-YEAR-OLD THEORY PROPOSED BY ERWIN SCHRÖDINGER.

For nearly a century, physicists and mathematicians have struggled to fully explain one of the most everyday experiences in human life: Color

Now researchers at Los Alamos National Laboratory say they have finally filled in a major missing piece of Schrödinger’s color theory by uncovering a hidden geometric structure that governs how humans perceive color.

The surprising finding?

Hue, saturation, and lightness are not just cultural or learned concepts. They appear to emerge directly from the underlying mathematics of human color perception itself.

In other words: The way you experience color may be deeply rooted in geometry.

Why this matters:

🔹️ More accurate and efficient display technologies

🔹️ Better imaging and color reproduction systems

🔹️ New insights into human perception and neuroscience

🔹️ A clearer mathematical framework for how information is structured in perception

For over 100 years, one incomplete mathematical element prevented Schrödinger’s vision from being ...

00:00:10
🚨 Ivermectin was only for horses and cows? 🚨

🚨 Remember when the media laughed and told you that Ivermectin was only for horses and cows? They knew it was made for humans since 1987...🚨

This is what they didn't want you to know...

1 – Prevents damage caused by drugs created with mRNA technology, blocks the entry of the Spike Protein into cells and, if the person was vaccinated, can treat the damage already produced through Ivermectin.

2 – It only has beneficial effects and no harmful effects in the treatment of the C virus. In fact, even before entering the cell, it has already destroyed the virus in the blood.

3 – It has a very potent anti-inflammatory action and has a powerful impact on traumatic and orthopedic injuries, strengthens muscles and has no side effects like corticosteroids.

4 – Treats autoimmune diseases such as: rheumatoid arthritis, ankylosing spondylitis, fibromyalgia, psoriasis, Crohn's disease, allergic rhinitis.

5 – Improves immunity levels in cancer patients and treats Simple Herpes and Herpes Zoster, plus reduces the frequency of sinusitis and ...

00:01:42
🚨 Chutes is being framed as a Hyperliquid-style breakout for decentralized AI inference, with live revenue, verified GPU infrastructure, and a direct challenge to centralized cloud AI 🚨

Chutes is gaining attention as a decentralized AI inference platform that claims to combine real usage, cryptographic verification, confidential computing, and open-source infrastructure into a working production system. The thesis is simple: instead of trusting Big Tech clouds with AI workloads, users get a distributed compute layer built around verification and privacy.

🔑 Key points

🔹 Chutes is live in production and reportedly scaled to more than 1,170 active GPU nodes, including large numbers of Nvidia H200s and Blackwell-class hardware.

🔹 The platform says it has processed nearly 38 trillion tokens since launch across 53 deployed applications and more than 700,000 registered users.

🔹 The team reportedly cut unprofitable usage programs, reduced total token volume, and still improved revenue efficiency, with revenue per GPU rising sharply after removing subsidized traffic.

🔹 Chutes is using post-quantum cryptography, trusted execution environments, and Nvidia confidential ...

🚨 Chutes is being framed as a Hyperliquid-style breakout for decentralized AI inference, with live revenue, verified GPU infrastructure, and a direct challenge to centralized cloud AI 🚨
🚨 JPMorgan’s criticism of the CLARITY Act is fueling a fresh power struggle over who gets to write America’s crypto rules 🚨

A new clash is emerging between legacy finance and crypto legislation after JPMorgan CEO Jamie Dimon reportedly warned that the CLARITY Act could let crypto firms offer bank-like products without bank-level oversight. The dispute is quickly turning into a larger fight over regulation, competitiveness, and who controls the future architecture of digital finance in the United States.

🔑 Key points

🔹 Jamie Dimon reportedly called the CLARITY Act a threat to the financial system, arguing it could allow crypto firms to offer yield-like products while avoiding the capital, reserve, and oversight burdens traditional banks face.

🔹 Senator Cynthia Lummis pushed back publicly, framing the issue as a global strategic race and warning that if the U.S. does not set digital asset standards, other powers will.

🔹 The core tension is whether the bill creates legitimate regulatory clarity or simply opens the door to regulatory arbitrage for crypto platforms operating outside the traditional banking...

🚨 JPMorgan’s criticism of the CLARITY Act is fueling a fresh power struggle over who gets to write America’s crypto rules 🚨
👉 Coinbase just launched an AI agent for Crypto Trading

Custom AI assistants that print money in your sleep? 🔜

The future of Crypto x AI is about to go crazy.

👉 Here’s what you need to know:

💠 'Based Agent' enables creation of custom AI agents
💠 Users set up personalized agents in < 3 minutes
💠 Equipped w/ crypto wallet and on-chain functions
💠 Capable of completing trades, swaps, and staking
💠 Integrates with Coinbase’s SDK, OpenAI, & Replit

👉 What this means for the future of Crypto:

1. Open Access: Democratized access to advanced trading
2. Automated Txns: Complex trades + streamlined on-chain activity
3. AI Dominance: Est ~80% of crypto 👉txns done by AI agents by 2025

🚨 I personally wouldn't bet against Brian Armstrong and Jesse Pollak.

👉 Coinbase just launched an AI agent for Crypto Trading
ChatGPT developer OpenAI confidentially files for IPO 🔊
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Anyone else find the timing of this a bit late? 🤔

🚨 Bank of America warns it may be time to take profits as markets turn red 🚨

Bank of America is telling investors the recent market setup may favor locking in gains instead of chasing more upside. The note arrives as sentiment softens and risk assets cool off after a strong run.

🔑 Key highlights:

🔹️ Bank of America says the current market environment may be a good time to take profits.

🔹️ The warning comes as markets flash red and risk appetite weakens.

🔹️ Investors are being urged to reassess exposure after a strong rally.

🔹️ The call reflects growing caution around near-term market momentum.

🎯 Bottom Line: Bank of America’s message is simple: with markets turning softer, trimming profits may be the smarter move.

https://finance.yahoo.com/markets/stocks/articles/bofa-warns-time-profits-red-170459030.html

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Google $GOOGL and Nvidia $NVDA are considering Intel as a backup chip manufacturer. 🔊 🖥

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How USDC Wins the Hyperliquid Deal🤔
 
USDC "wins" the Hyperliquid deal by securing dominant distribution and deeper integration into one of crypto's fastest-growing on-chain perpetuals platforms, in exchange for sharing most of the USDC reserve yield (up to ~90%) back with Hyperliquid.
 
Background on the Deal: Hyperliquid had ~$5–6B in USDC deposits (a huge chunk of total USDC supply, often cited around 7–8%). Previously, the interest/yield on those reserves (~$180–250M annually at prevailing rates) mostly flowed to Circle (issuer) and Coinbase (key partner/treasury handler), with little returning to Hyperliquid.
 
In late 2025, Hyperliquid ran an RFP for a native stablecoin (USDH) to capture that revenue. Native Markets won the community vote, and USDH launched as an "Aligned Quote Asset" (AQA).
 

In May 2026, Native Markets sold USDH brand assets to Coinbase. USDH is being sunsetted over time (with feeless conversions/redemptions to USDC/fiat), and USDC becomes the primary/official Aligned Quote Asset on Hyperliquid. Coinbase acts as the main treasury deployer; Circle handles minting, redemptions, and cross-chain (e.g., CCTP).

 

How USDC Wins: 🔑 Key Advantages

Massive, sticky distribution in a high-growth venue: Hyperliquid is a leading on-chain perp DEX. USDC gains preferred status as the quote asset for most trading pairs, reducing friction vs. bridging/swapping other stables. This concentrates liquidity, improves efficiency, and funnels more capital flows through USDC.

  • Deep on-chain integration: Builds on prior Native USDC + CCTP launches. Coinbase's involvement adds fiat on/off-ramps and institutional trust. USDC was already dominant (~95% of stables on the platform); this formalizes and expands it.
  • Regulatory and brand alignment: Ties USDC to a high-profile, high-volume platform at a time when USDC has gained transaction volume momentum (surpassing USDT in some months post-regulatory clarity like GENIUS). It strengthens USDC's positioning vs. USDT (which dominates on centralized venues like Binance).
  • Longer-term consolidation play: Analysts see this as part of stablecoin market consolidation around established players with liquidity and infrastructure. Fewer conversion layers = better efficiency for USDC.
     

The Trade-Off (and Hyperliquid's Win)Hyperliquid gets ~90% of the reserve yield (estimates: $135–160M+ annually at current balances, potentially scaling to $300–500M with growth), funneled into protocol revenue/HYPE buybacks. This is roughly double what they got from USDH and turns stablecoin balances into a resilient revenue stream (less volatile than trading fees).

For Circle/Coinbase, they give up a big share of yield (analysts estimate $60–80M hit to combined EBITDA) but retain/expand USDC's role as the backbone stable on a major platform. It's a strategic distribution win over building or competing with a new native coin.

 
🎯Bottom Line: USDC trades some margin for premier, high-volume real estate in perpetuals/DeFi trading—the exact use case driving massive on-chain dollar demand. This cements its lead in the evolving stablecoin wars, especially as platforms demand better economics. The deal highlights shifting power dynamics: big platforms now negotiate hard for yield share.

 

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Handshake Wants to Be the Front Door to Bittensor’s Agent Economy

In this Beanstock interview, Harry Jackson of Subnet 58 (Handshake) lays out a thesis that’s worth understanding even if you never buy a single SN58 alpha token. He also explained where Bittensor’s agentic layer is heading.

We wrote the high-value distillation:

The one-line thesis

Handshake wants to be the front door to the agent economy on Bittensor. The Amazon-like gateway where AI agents discover, pay for, and stack together skills from across all 128 subnets.

Why this matters now
  • There’s a critical distinction Harry emphasized: AI is intelligence, but agents need tooling. An LLM without payment rails, plugins, and workflow infrastructure is “a young person trying to cut a tree down with a pen knife.”
  • Agent-to-agent commerce is on the edge of going viral. Harry’s prediction for the tipping point: a woman in her 40s lets her agent do her shopping end-to-end (research, stock check, autonomous payment), posts it to social media, and it becomes the “four-minute mile” moment everyone copies.
  • Bittensor is uniquely positioned because agents don’t care about marketing or pretty UIs. They only care about best-in-class products and services. That’s exactly what Bittensor’s 128 subnets produce.

The product reality (what’s currently shipping)

  • Handshake is live with paying users generating a few thousand USD in revenue as of today. The business model: 2% of every transaction on the platform.
  • The flywheel is Amazon-like: better skills → more agents arrive → providers get distribution → more skills get added → cycle repeats.
  • The headline product on the way is Axiom. This is an agent that trades subnets while you sleep. Built around the realization that what the Bittensor community wants from agents isn’t generic skills; it’s more TAO. Each “hole” they find in the agent becomes a new tradeable skill on the marketplace.

The investment angles (read these carefully)

  • The moat is data, not distribution. Every workflow run by an agent generates failure data, success data, payment data. No outside competitor can replicate that without running the marketplace itself.
  • The metric Harry tells you to judge them on is revenue. Not agent count. Not user count. Revenue, which is publicly visible on-chain via the front page of their site. He’s basically inviting investors to hold him to it.

  • The pitch for emissions: the biggest TAM in Bittensor is the agent market, and Handshake is the most integrated subnet, meaning if Handshake wins, the subnets it routes to all win too. Bullish on agents + bullish on Bittensor = bullish on Handshake by transitive logic.

Where Harry stands on the Conviction

  • On the conviction upgrade and locked alpha: he’s fine with it. Handshake is a revenue-focused company, so locked alpha isn’t a survival issue. He acknowledges it’ll be harder on research-stage subnets that need to raise external capital, but argues most subnet founders are thinking long-term, not short-term extraction.
  • On the broader vibe: he just got back from Bittensor events in Spain and San Francisco. He observed that the overwhelming reality of the ecosystem is people working hard to build the best products. “It’d be a lot easier in some ways to build a company outside of Bittensor.” The only reason to do it on Bittensor is if you actually want the moonshot.

Full interview below:

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🚨The State Of Bittensor (TAO)🚨
Greg Schvey | COO at Yuma Group

Last week at the @YumaGroup Summit I had the opportunity to present on The State of Bittensor. That presentation is in the thread below. If you choose to read it, I'd ask that you keep the following three things in mind:

  1. This is just one guy's view of what was the most relevant for a 25-minute talk; a difficult filter for such a dynamic industry.
  2. The slides were designed to supplement a talk; I've done my best to replicate what I recall of the talk in the accompanying X posts.
  3. The topic of the Summit was "The Tipping Point" - a candid assessment of what could lead to Bittensor's breakout success and what evidence we see of that today - which also thematically anchored this presentation.

Let's dive in:

We are in the most important race in human history – the race for intelligence itself. AI has advanced beyond the point of no return. As an example of what I mean: Ramp is a widely used financial services platform for companies. They looked at spending and revenue across their clients since the launch of ChatGPT: Companies who did not spend on AI have had flat revenue for the last three years. The top quartile of AI spenders have grown revenue by more than 100%.

We are already at the point where investing in AI is a matter of survival. But what exactly are we getting for the hundreds of billions being spent? Right now, its overwhelmingly going to corporations who have repeatedly shown they don’t have our best interest in mind.

 

 

Claude Opus 4.6 – the leading deep thinking model, had a measured hallucination rate of 16% in February. Then, without telling anyone, Anthropic throttled its reasoning – presumably to reduce GPU utilization – and didn’t tell anyone. Hallucinations climbed to 33% - a 98% increase.

They only admitted it after third party benchmarking proved it. And they were still charging everyone at the same price the whole time. Even since my talk last week, they've supposedly been found to be throttling people simply because HERMES.md was in their commits. You may say, "well there are solid open source options..."

 

 

Yes, open source models have gotten very good, but they’re not immune to capture either. Try asking DeepSeek what happened in Tiananmen Square and then let me know if that’s the intelligence you want to trust.

 

 

This needs to be addressed right now or it will be too late. To give you a sense of what I mean, this is a chart of the total annual commits on GitHub. That’s 500% growth since the launch of ChatGPT in 2022. From 200M per year to a one billion in 2025. 2026 is on track for **14 billion** The genie is out of the bottle – there is no going back; we are already at the exponential inflection point.

This reminds me of many years ago: Bitcoin shined a light on how much our rights were impacted when we became dependent on private companies to run our day-to-day lives.

Your right to privacy? That doesn’t extend to your bank account. Your "money" is just a ledger at a private company, available for interrogation and suspension at any time. Bitcoin gave us back the sovereignty of our wealth.

Similarly, we’ve depended on things like privacy of our medical records and attorney client privilege for our entire lives. What do you think is going to happen when a private company’s servers are giving you legal and medical advice? Who are you going to trust for that intelligence? The company that lobotomized its top model? The model constrained by the foreign governments? As I said at the beginning, we’re in the most important race in human history and Bittensor well may be our best shot at winning.

 

 

One of the things about having a different model to produce intelligence is it requires an economic system suited to it. Subnets are the intelligence and economic engines that drive Bittensor’s value. That’s why the Summit was themed around The Tipping Point: understanding how subnets can reach breakout success and what we can do to help.

To summarize Bittensor's intelligence economics: miners create intelligence for which they earn subnet tokens. In many cases they sell those tokens to fund operations, putting downward pressure on token prices and decreasing the incentive to mine (similar to bitcoin). In parallel, if that intelligence is being used to generate real world value, one of the parties who benefits from that value (e.g. the Operator monetizing it, institutions using intelligence commodities to advance their research, etc.) can buy the subnet tokens to keep token prices elevated and sustain the miner incentive.

Investors get to participate in this process, often supporting token prices before the commercial value of intelligence is realized, and/or subsequently holding an asset that parties gaining fundamental value from the intelligence (eg Operator or others) will need to purchase at some point in the future if they want to maintain sufficient incentives for the intelligence machine to continue running.

For Bittensor to succeed, this value loop has to work. So, to understand the State of Bittensor, we have to take a look at how that’s going today and what that means for the network overall.

 

 

One of the many unique features of Bittensor is that subnets are native to the protocol. That is not the case on most crypto networks where the true utility lives in smart contracts with no direct tie to network value.

As an example, Polymarket has seen 800% growth in volume this year. Users can bet any arbitrarily large amount of value on Polymarket for a few cents of network fees. There is nothing tying that to value of the network’s native token, which is down 80% over the same period as Polymarket’s amazing success.

 

 

Conversely, Bittensor subnets are intrinsically linked to $TAO. If you want $1,000 worth of subnet exposure, you first need $1,000 of TAO. We analyzed subnet pool data surrounding the announcement of @tplr_ai's recent training run and normalized across them by indexing them to a starting level of 100.

As shown by the orange line, there was no material change in pool size for non-Templar subnets over the observation period. There was however, major inflow into Templar’s pool. Given Bittensor’s unique network model, we saw a direct correlation to the change in TAO price over the same period. As value flows into subnets, the whole network benefits. A rising boat lifts the tide, so to speak.

 

 

That can go both ways. When Sam left, we saw something similar in reverse; as value was exfiltrated from the network, it started in Covenant subnets and dragged TAO down with it. You know what else we saw in the data though? For all of the noise about concerns of Bittensor’s future, the other subnet pools were mostly unchanged.

The event was interesting because it reminded me of the early days of bitcoin: people would say Bitcoin was only used by drug dealers on the internet. I'd stare at them aghast because in the same breath they told me that an open, permissionless network was used to reliably move money anywhere in the world in minutes by the most untrustworthy people on the planet and yet they didn't understand how the technical feat required to achieve that would create tremendous value.

The Covenant situation is similar: people were concerned about the operator's exit, rather than realizing the only reason we care is because a ground-breaking technical innovation was achieved. But even bigger than that: Bittensor has 128 subnets currently, each striving to generate value for themselves and, transitively, the network as well.

 

 

And we’re seeing that occur – Templar was not unique in that regard. The same pattern emerged around the Intel publication on @TargonCompute. The non-Targon pools remained largely unchanged. Targon saw heavy inflows. TAO price climbed with it.

Again: rising boats lift the tide. And there are many boats in Bittensor right now.

 

 

We’re seeing major technical innovations at an increasing rate.

Just a few examples from the last couple weeks:

@QuasarModels just announced a custom attention architecture targeting 5M token context windows.
 
@IOTA_SN9 developed a technique that compresses data flowing between distributed GPUs by 128x with little to no loss in training quality, increasing viability of training large AI models across internet-connected machines worldwide.
 
We're seeing the building blocks start to form whereby competitive large generalized models can eventually be built. In the meantime, we're also witnessing more targeted, niche players start to pull ahead in their respective fields.
 
During the presentation, I gave the example of @resilabsai achieving 90% accuracy on their home valuation model, making it the most performant open source model and quickly approaching state of the art. Quite literally as I was explaining this during the talk, @markjeffrey pointed out they had just achieved 98% accuracy.
 
In the time between when I prepared the presentation and actually presented, they went from best open source to at or near state of the art - only further highlighting the unique value of Bittensor's open, competitive intelligence creation cycle.
 
 
And the tech that’s being built on Bittensor is getting real attention from serious players. Again, just a few examples of many: Harvard partnered with @Chutes on research about AI inference efficiency. Valeo – an auto company with $20B in annual revenue – is working with @natix on an AI model for self-driving cars. @zeussubnet- the weather forecasting subnet, is the only party in the world allowed to use data WeatherXM’s network of global weather sensors for commercial purposes. And there are in fact many subnets already commercializing their intelligence.
 
 
 
Most of us are already aware of Chutes seven-figure ARR, but a few other examples:
 
@LeadpoetAI– which uses their Bittensor subnet to source sales leads, announced earlier this year that they crossed $1M ARR
 
@Bitcast_network– the content creation platform built on their subnet competition – is already operating profitably
 
@lium_io– a hardware subnet – has bought more than 4,000 TAO worth of their token
 
Remember the economic model I outlined earlier; we’re seeing real evidence that it’s starting to work across many subnets. Intelligence built on Bittensor, capturing value in the real economy, and bringing it back into the network.
 
Action shot of this slide courtesy of @Tom_dot_b
 
 
That’s why when we look at Bittensor we like to look at Total Network Value (TNV);
$TAO market cap is only part of the story in Bittensor. TNV = market cap of TAO + market cap of subnets – tao in the pools [as not to double count] The actual value of this network is already higher than most people realize. And notably, subnets make up an increasing proportion of TNV – recently crossing 35% - as value continues to flow into the pools.
 
 
 
Interestingly, we recently noticed a change in TNV: In particular, despite all the volatility in TAO, the dramatic subnet issuance curves, etc. - the combined subnet market cap had been remarkably consistent around $750 million for most of the last year, until recently.
 
It’s nearly doubled over the last few months – a clear breakout in the trend. If you were looking for Tipping Point, it might look something like this...
 
 
 
I hear a lot that that value is relatively concentrated in the largest subnets. And the market cap distribution does indeed reflect that, but that’s not necessarily a bad thing.
 
 
 
This is the market cap distribution of the S&P 500. Many healthy economic systems tend towards Pareto distributions. And so what if some subnets are worth more? As we showed earlier, this is an ecosystem that will win or lose *together* And we’re seeing that play out every day.
 
 
 
We track announcements of subnets utilizing each others infrastructure and intelligence. Just as an example, we identified at least eight subnets who announced that they use Chutes for inference. But we have dozens of similar examples of cross-subnet collaboration across many subnets like
 
What’s notable about this:
 
1. Collaboration seems to be happening at an increasing pace as subnets continue to mature and build out contiguous pipelines of AI infrastructure
 
2. Keeping money circulating within an economy creates a money multiplier. Capital circulating within a single economy without leaving creates economic value for each party it passes through, without having to bring in new capital. That’s uniquely possible here because of the diversity of infrastructure built on Bittensor.
 
This network is not 128 discrete growth drivers; it’s increasingly functioning as an interconnected graph, which has substantially more stickiness and value And the pace is about to increase dramatically:
 
 
 
We’re starting to see increasing agents operating on Bittensor: subnets mined by agents, subnets operated by agents...
 
Consider the Bittensor value flywheel:
 
-An intelligence goal is established
-Miners compete to achieve the goal
-That produces intelligence
-Intelligence generates value
 
That’s happening today, as we’ve seen earlier in this discussion.
 
As agents get more capable, that flywheel spins faster and faster. Permissionless entry means any agent can compete. Protocol-native economic incentives mean good work gets rewarded. Bittensor is uniquely advantaged for agentic speed over guarded, centralized alternatives with corporate procurement cycles.
 
That also means exploits will be found faster. But, it also means solutions that harden the network against them will be found faster as well.
 
Accordingly the impact of the network primitives – incentives, accessibility, governance, security, reliability, and all the infrastructure we’re building around the network - have an exponentially larger impact. It is critical that we get these right. The time to nail this, is right now. If we don’t someone else will.
 
 
 
The good news is, for now, Bittensor seems to be in the lead The 30-day moving average of Daily active wallets just crossed a record, approaching 10,000 Up 100% just in the last year.
 
 
 
We’re also seeing subnet ownership increasingly diversify and distribute. The median number of holders of subnet tokens at 2,000 is a 10x increase since the dtao launch a year ago. And at Yuma, we spend a lot of effort and resources to help broaden that access.
 
 
 
Yuma currently partners with 16 custodian and wallet providers to bring Bittensor access to the masses As an institutional-grade validator, the relationships and service we offer give them the confidence to make TAO staking available to millions of end users.
 
During the Summit, we announced that BitGo’s clients will now have access to subnet token staking through our partnership, making subnet investing available to customers of one of the world’s largest custodians.
 
 
 
We also help people gain access to subnets via investment vehicles. The Yuma Composite Fund gives investors access to a market-cap weighted portfolio of subnets through traditional investment structures. The Yuma Large Cap Fund gives investors concentrated exposure to Bittensor's largest subnets.
 
Our institutional asset management team handles everything from initial subnet token purchases, to portfolio rebalancing, custody, and reporting. The appeal for institutions is obvious, but even for the Bittensor native, it’s an amazingly simple way to get access to a broadly diversified portfolio, rebalanced regularly.
 
Between the breakout performance of subnets, the attractive staking rewards, and benefits of diversification, the Yuma funds have outperformed TAO materially year to date [as of when the presentation was created] Nearly 3x outperformance relative to TAO.
 
 
 
And last but definitely not least, our subnet accelerator has helped a wide range of companies access Bittensor. We help them acquire subnet slots, design incentives, provide marketing assistance, review pitch decks, make introductions to other investors, etc. At Yuma we deeply believe in the power of subnets and have helped many of the network's leading intelligence providers start and succeed.
 
 
 
Disclaimer: For informational purposes only.  Nothing herein should be construed as financial, investment, legal, or tax advice.  This material does not constitute an offer to sell or a solicitation of an offer to buy any securities or tokens.  Investing in digital assets involves significant risk, including the potential loss of principal.  Subnet tokens do not represent equity or ownership interests in any entity.  Performance comparisons and index references are illustrative only and not indicative of future results.  Charts and indices are based on methodologies and assumptions that may change and may not reflect actual market conditions or liquidity.
 

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