diff --git a/pallets/subtensor/src/subnets/subnet.rs b/pallets/subtensor/src/subnets/subnet.rs
index fd8b61b5dc..a322ecf023 100644
--- a/pallets/subtensor/src/subnets/subnet.rs
+++ b/pallets/subtensor/src/subnets/subnet.rs
@@ -211,7 +211,6 @@ impl<T: Config> Pallet<T> {
         TokenSymbol::<T>::insert(netuid_to_register, symbol);
 
         // Keep the locked TAO in the pool instead of recycling the excess.
-        // Mint the owner alpha separately at the median subnet alpha price.
         // Size the pool alpha reserve from the total TAO reserve at that same price.
         let pool_initial_tao: TaoBalance = Self::get_network_min_lock();
         let total_pool_tao: TaoBalance = if actual_tao_lock_amount >= pool_initial_tao {
@@ -219,8 +218,6 @@ impl<T: Config> Pallet<T> {
         } else {
             pool_initial_tao
         };
-        let owner_alpha_tao_equivalent: TaoBalance =
-            total_pool_tao.saturating_sub(pool_initial_tao);
 
         let total_pool_alpha: AlphaBalance = U96F32::saturating_from_num(total_pool_tao.to_u64())
             .safe_div(median_subnet_alpha_price)
@@ -228,12 +225,7 @@ impl<T: Config> Pallet<T> {
             .saturating_to_num::<u64>()
             .into();
 
-        let owner_alpha_stake: AlphaBalance =
-            U96F32::saturating_from_num(owner_alpha_tao_equivalent.to_u64())
-                .safe_div(median_subnet_alpha_price)
-                .saturating_floor()
-                .saturating_to_num::<u64>()
-                .into();
+        let owner_alpha_stake = AlphaBalance::ZERO;
 
         // With the full lock retained in the reserve, this will normally be zero.
         let tao_recycled_for_registration = actual_tao_lock_amount.saturating_sub(total_pool_tao);
@@ -250,15 +242,6 @@ impl<T: Config> Pallet<T> {
         SubnetVolume::<T>::insert(netuid_to_register, 0u128);
         RAORecycledForRegistration::<T>::insert(netuid_to_register, tao_recycled_for_registration);
 
-        if !owner_alpha_stake.is_zero() {
-            Self::increase_stake_for_hotkey_and_coldkey_on_subnet(
-                hotkey,
-                &coldkey,
-                netuid_to_register,
-                owner_alpha_stake,
-            );
-        }
-
         if tao_recycled_for_registration > TaoBalance::ZERO {
             Self::recycle_tao(tao_recycled_for_registration);
         }
diff --git a/pallets/subtensor/src/tests/subnet.rs b/pallets/subtensor/src/tests/subnet.rs
index 9d734b992a..282505afa9 100644
--- a/pallets/subtensor/src/tests/subnet.rs
+++ b/pallets/subtensor/src/tests/subnet.rs
@@ -909,3 +909,40 @@ fn test_update_symbol_fails_if_symbol_already_in_use() {
         );
     });
 }
+
+#[test]
+fn test_register_network_gives_owner_no_initial_alpha_distribution() {
+    new_test_ext(1).execute_with(|| {
+        let owner_coldkey = U256::from(5001);
+        let owner_hotkey = U256::from(5002);
+        let lock_cost = SubtensorModule::get_network_lock_cost();
+        let netuids_before = SubtensorModule::get_all_subnet_netuids();
+
+        SubtensorModule::add_balance_to_coldkey_account(
+            &owner_coldkey,
+            ExistentialDeposit::get() + lock_cost.into(),
+        );
+
+        assert_ok!(SubtensorModule::register_network(
+            <<Test as Config>::RuntimeOrigin>::signed(owner_coldkey),
+            owner_hotkey
+        ));
+
+        let netuid = SubtensorModule::get_all_subnet_netuids()
+            .into_iter()
+            .find(|netuid| !netuids_before.contains(netuid))
+            .unwrap();
+
+        assert_eq!(SubnetOwner::<Test>::get(netuid), owner_coldkey);
+        assert_eq!(SubnetOwnerHotkey::<Test>::get(netuid), owner_hotkey);
+        assert_eq!(SubnetAlphaOut::<Test>::get(netuid), AlphaBalance::ZERO);
+        assert_eq!(
+            SubtensorModule::get_stake_for_hotkey_and_coldkey_on_subnet(
+                &owner_hotkey,
+                &owner_coldkey,
+                netuid
+            ),
+            AlphaBalance::ZERO
+        );
+    });
+}
diff --git a/runtime/src/lib.rs b/runtime/src/lib.rs
index 7c4112837d..0b8e3c982d 100644
--- a/runtime/src/lib.rs
+++ b/runtime/src/lib.rs
@@ -272,7 +272,7 @@ pub const VERSION: RuntimeVersion = RuntimeVersion {
     //   `spec_version`, and `authoring_version` are the same between Wasm and native.
     // This value is set to 100 to notify Polkadot-JS App (https://polkadot.js.org/apps) to use
     //   the compatible custom types.
-    spec_version: 401,
+    spec_version: 402,
     impl_version: 1,
     apis: RUNTIME_API_VERSIONS,
     transaction_version: 1,