Abstract
In this paper, we construct a new integrable equation called Möbius-Toda equation which is a generalization of q-Toda equation. Meanwhile its soliton solutions are constructed to show its integrable property. Further the Lax pairs of the Möbius-Toda equation and a whole integrable Möbius-Toda hierarchy are also constructed. To show the integrability, the bi-Hamiltonian structure and tau symmetry of the Möbius-Toda hierarchy are given and this leads to the existence of the tau function.
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