The federal government just hit the kill switch on some of the most powerful AI models in the world. And crypto markets are responding exactly the way you’d expect: by betting big on the alternatives nobody can shut off.

The Commerce Department imposed export controls on Anthropic’s Fable 5 and Mythos 5 models on June 13, forcing the company to temporarily suspend global user access. Two weeks later, OpenAI announced that its GPT-5.6 Sol model would only be available to a small group of customers explicitly approved by the Trump administration during a cybersecurity review. Two of the biggest names in AI, effectively put on a government leash in the span of a few weeks.

The market’s answer: decentralize everything

Bittensor’s TAO token surged approximately 30% following the Anthropic restrictions. Internet Computer’s ICP token and Venice Token both saw positive movement in the same window, suggesting this isn’t a one-token phenomenon but a broader rotation toward AI projects built on permissionless architectures.

What the administration actually did