Shares in the Nasdaq-listed firm are up 12% over the past 24 hours following the announcement.
Oblong revealed that it entered a securities purchase agreement to raise approximately $7.5 million by selling 1,989,392 shares of common stock at $3.77 per share. Pending standard closing conditions, the private placement is scheduled to close on or around June 11, 2025.
Oblong also intends to contribute to Subnet 0, a key component of the Bittensor ecosystem that allows participants to earn yields on TAO holdings.
Oblong CEO Peter Holst noted that the impending investment will allow the firm to capitalize on the growing demand for this infrastructure.
He said:
“Bittensor is an open network for intelligence, the same way the original internet was for information.”
Considering this, Holst added that his firm aims to build on Bittensor’s open and collaborative model by leveraging its experience to capture value in this emerging space. He stated:
“By building on this open platform, problems can be solved collaboratively at global scale, with the world’s brightest minds incentivized by TAO.”
Moreover, Oblong likened its approach to how institutional players began accumulating Bitcoin as a treasury asset. However, it views TAO as uniquely positioned to define the coming era of AI-integrated crypto infrastructure.
According to CryptoSlate data, TAO has gained nearly 6% over the past 24 hours, trading around $397 at the time of writing. This marks a significant reversal from its recent price slump, which saw it drop over 12% in the last 30 days.
