Mode, an L2 blockchain advancing DeFi through AI agents, is launching a subnet on Bittensor, the world’s largest decentralized AI network with a $12 billion USD ecosystem. The initiative introduces the Synth Subnet Testnet, which leverages Bittensor’s decentralized intelligence network to create the world’s most powerful synthetic data for price forecasting.
Up until now, the predictive capabilities of AI Agents and LLMs have been limited. Synth changes this by building models to capture the full distribution of possible price movements and their associated probabilities, creating the world’s most accurate synthetic data. The project’s goal is to become the go-to location for asking questions on future price probability distributions – a valuable resource for options trading and portfolio management.
Initially, Synth will see miners generate 100 simulated price paths for BTC every five minutes. Miners will be evaluated on how accurately they model the probability distribution of future prices and their ability to encapsulate realistic price dynamics, such as volatility clustering and skewed fat-tailed price change distributions. Validators will score miners by comparing their outputs to Pyth’s historical price data using a detailed scoring methodology.
Bittensor operates through a network consisting of smaller, specialized sub-networks (subnets), each dedicated to different areas of AI. Synth will join this network on testnet and leverage Bittensor’s sophisticated TAO economic model that incentivizes the production of high-value AI subnets.
“Synth marks a huge leap forward in enabling AI Agents to better model future asset prices,” said James Ross, Core Contributor at Mode. “This is only possible by leveraging Bittensor’s decentralized intelligence. We anticipate that with Synth, AI Agents operating on Mode will be the most advanced in the space.”
Synth is designed to push the boundaries of what AI Agents can achieve onchain, through premium data sources for financial applications. For more information, visit the GitHub: github.com/mode-network/synth-
About Mode
Mode is an Ethereum Layer 2 (L2) scaling solution designed to enhance decentralized finance (DeFi) applications. Built using Optimism’s OP Stack, Mode aims to scale DeFi to billions of users through on-chain agents and AI-powered financial applications. For more information, visit: mode.network.