Yuma consensus 3 launched last week. This upgrade overhauls how validators are rewarded on the Bittensor network. This incentivizes competitive commodity discovery. Read the core protocol upgrades powering decentralized, open-source intelligence at scale. 🧵0/4

Key upgrade #1: Yuma Consensus 3 + Validator Competition + EMA changes As before, validator bonds are a relationship between individual validator<>miner pairs. These bonds determine validator dividends (how validators and their stakers are paid). But how are these validator bonds calculated? They are an EMA of the weights each validator assigns to each miner over time. Since Liquid Alpha was introduced, these EMAs can evolve at different speeds for each individual validator<>miner pair. In Yuma 2, there was a dependency to have at least 50% of validators agreeing on weights for a given miner before this bond EMA would move. If a small validator was fastest at identifying a performant miner, they would be penalised for being out of consensus until big validators took note and also assigned high weights to this miner. By that point, the first mover had lost their advantage, and most of the rewards were given to the big validators. With Yuma 3, the bonds between each validator<>miner pair are changing every day based on their assigned weights, regardless of what other validators are doing. If a validator starts assigning high weights to a newly performant miner, this validator receives outsized rewards for being courageous once the other validators recognize the miners performance and consensus is reached. The rate at which these first-movers are rewarded is tunable by Liquid Alpha hyperparameters controlled by the subnet owner. TL;DR - This update brings a shift from passive agreement to competitive discovery: Validators who find the best miners early get rewarded. Validators who attempt to game the system by copying are penalised. This aligns incentives to optimize validation speed and quality. This feature also brings challenges. For validators, it will require faster decisions, more compute & better infrastructure Subnet owners will need to fine-tune subnet parameters to optimize for this new validation dynamic. For these reasons, Yuma 3 is an optional update. Subnet owners can opt-in when ready. 🧵1/4

Key Upgrade #2: Generic Crowdloan Pallet The Crowdloan Pallet is an on-chain general use mechanism fundraising within the community in TAO, foregoing the need to write a custom smart contract. - Reduces reliance on off-chain coordination. - Enables fairer, transparent project launches. - Helps decentralize funding in the Bittensor ecosystem. 🧵2/4

Key upgrade #3: Controlled Subnet Token launches Newly registered subnet tokens are non-swappable by default until the Subnet Owner explicitly calls the start_call function. This prevents inflated subnet prices and market confusion around inactive subnets. It also encourages more deliberate economic bootstrapping, allowing Subnet Owners to set up crowdloans, validation and documentation before their token goes live. 🧵3/4

Yuma 3 was built to work with major support tools which are already live: Commit-reveal: hide weights to stop copiers Collateral contracts: slashes dishonest validators For more information: >> Check the Yuma3 PR: >> Or the full release: 🧵4/4

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Yuma 3 is a massive upgrade This makes validation way more dynamic, and pushes the whole network forward. @opentensor just upgraded the game, again.

Being early does pay off. Watch out, weight copiers. Your free ride's over.

Great upgrade! Thank you 🔥⛏️

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$TAO no.1 AI 🤖