Arthur Hayes Publishes FLOP Network v0.5.0 Draft, Targets Q4 2026 Testnet

Arthur Hayes, CEO of Flop Labs and co-founder of BitMEX, has published a draft of the FLOP Network v0.5.0 yellow paper, outlining a blockchain-based infrastructure designed to meter and settle AI inference activity. The project is targeting a testnet launch in Q4 2026, followed by a mainnet rollout in Q1 2027.

According to reporting by WuBlockchain, the proposed network is built using Substrate/FRAME and combines BABE for block production with AlephBFT for finality. The document remains a draft, meaning key technical parameters and mechanisms could still change before the network moves into production.

FLOP Network Advances AI Inference Infrastructure

The FLOP design focuses on creating infrastructure for measuring and settling AI inference activity, Arthur positioning blockchain technology closer to the economic layer of machine-to-machine and AI-agent activity.

Flop Labs has described the yellow paper as the specification that implementers can use to understand how blocks are finalized, how inference is verified and paid for, how FLOP tokens are emitted and how the protocol is governed. The project has also made the yellow paper repository publicly available for technical review.

The use of Substrate/FRAME places FLOP within an established blockchain development framework, while BABE and AlephBFT provide the proposed mechanisms for block production and network finality. However, the project remains at the specification stage, so the eventual implementation may differ from the current draft.

Testnet Participation Tied to Token Airdrops

FLOP's roadmap targets a testnet launch in Q4 2026, with token airdrops linked to participation in testing. The project's own materials say the testnet is expected to run for roughly 90 days before the mainnet target in Q1 2027.

That testing phase will be important for evaluating whether the proposed architecture can handle real inference workloads while coordinating miners, validators and AI agents. It also gives developers an opportunity to identify technical limitations before the protocol is deployed on mainnet.

For the broader crypto industry, FLOP reflects a growing effort to connect blockchain infrastructure with AI computation and autonomous agents. The immediate benchmark, however, will be whether the proposed verification and settlement mechanisms work reliably under real network conditions.

The next major milestone is the planned Q4 2026 testnet, where the draft architecture will move from technical specification toward live testing.

Writer: Victoria Hale
Technology & Blockchain Writer

Victoria Hale writes about blockchain technology, digital infrastructure, and the intersection of emerging technologies with finance. Her articles explore how new protocols and systems are shaping the evolving digital economy.

She prioritises clarity and accuracy when explaining technical developments to a general audience.