Introduction
Since the birth of computers more than 60 years ago, Artificial Intelligence (AI) has always been a topic of great interest. As a long-time internet and gaming enthusiast, the focus of our attention on AI was really sparked in 2017 when Google's AlphaGo defeated the world Go champion. As a Go enthusiast, I have always admired the champions from South Korea, Japan, and China, who represent the pinnacle of human intelligence. When I saw AI defeat these top players, I was both shocked and deeply moved, and I also realized the immense potential of AI to shape our collective future.
Looking back, AI has already quietly integrated into our daily lives and many application scenarios. For example, one of the key driving forces behind TikTok's dominance in the short video market is AI technology. Additionally, AI has played a crucial role in designing non-player character behaviors in PvE games like Call of Duty Mobile and PUBG Mobile. I have also closely followed the evolution of AI in the gaming field, including the breakthroughs and advancements of the GPT-3 model in game experiences like AI Dungeon. Of course, the release of ChatGPT at the end of 2022 has officially brought large language models (LLMs) into the mainstream, sparking a global AI craze.
Like many technologies, science fiction has often been able to foresee the future. More than 200 years ago, science fiction stories imagined spaceships and interstellar travel, and these have now become a reality. The two works that have fascinated me the most in recent years are Westworld and Doraemon.
In Westworld, we can easily imagine the future of gaming evolving into the kind of fully immersive experience depicted in the series, where the boundaries between the virtual and the real are completely blurred. There is a classic line in the series that makes one ponder: "If you can't tell the difference, does it matter?"
Doraemon, on the other hand, presents a warm vision of AI: a companion who can encourage you, help you become a better version of yourself, accompany you through difficult times, and even possess the "superpower" to fulfill your wishes. Who wouldn't want a friend like that?
All of these visions depend on the continuous progress of AI technology to be realized. Perhaps our reality is gradually converging towards the intersection of these two futures, and the experience brought by technology is not only one of efficiency and innovation, but also one that deeply touches human emotions.
Xterio's AI Agent Vision
Xterio's ultimate goal is to create the most human-centric AI agents - highly adaptive, intuitive intelligent companions that can seamlessly integrate into all aspects of your life. Whether it's precisely managing crypto transactions, providing personalized insights, or serving as an interactive conversational partner, these AI agents will evolve alongside you. They can not only provide emotional support and engage in deep conversations, but also become skilled opponents or cooperative allies in games, customizing unique interactive experiences based on your needs and preferences.
Xterio's AI agents possess both intelligence and inherent trustworthiness. By running on the mainnet, these agents ensure a high degree of transparency, security, and user control over data, establishing a foundation of trust that traditional systems struggle to match. Furthermore, they can deeply integrate into daily life: scheduling, financial management, and curating personalized experiences. Combining practicality, empathy, and entertainment, these agents aim to comprehensively enhance the quality of life, creating a practical, human-centric, and verifiably secure AI future.
To realize this grand vision, Xterio's AI development focuses on three key areas of technological innovation:
First, we are developing a self-training Graphic AI model to enhance visual creation capabilities in an efficient and cost-effective manner.
Second, we are collaborating with the AI startup Reka to build an advanced emotional dialogue engine, which has already provided support for several of our games and will be expanded to a wider range of digital industries in the future.
Finally, our roadmap emphasizes the development of AI agent functionalities, empowering players and developers to create unique and engaging experiences across gaming, asset creation, Bit trading, and stock trading.
Graphic Engine
In April 2024, Xterio released its self-developed Graphic AI engine, becoming the first to integrate AI technology with a true Web3 dApp. This debut event, "Meet Your Anima", was a huge success, attracting over 8 million registered wallets, with a daily active wallet (UAW) peak of over 1 million and a total on-chain interaction of 72.2 million, including 4 million interactions with the PalioAI language model, processing nearly 1 billion input Tokens and generating 300 million output Tokens. After the first phase, users minted 461,900 PalioAI Gen 0 NFTs on the Ethereum mainnet, setting a record for the largest AI-generated game NFT series to date.
Since its launch, the Graphic engine has supported multiple events and games. For example, in July 2024, we collaborated with BNB to allow users to design personalized artworks using the Xter.AI Web3 creation tool and mint them as NFTs. In this process, participants supported their favorite works by trading replicas (called "shards") of the artworks, earning Bitart points. The results were remarkable: DAU grew 7-fold and website traffic doubled.
In the upcoming next phase, we will deeply integrate the Graphic engine with our flagship game "Age of Dino". Users will be able to create entirely new heroes using the engine, and the community will vote on the best designs, with the winning design appearing in the next version of "Age of Dino", further strengthening the game's immersive experience and user engagement.
Dialogue Engine
Xterio's Dialogue engine, co-developed with Reka, was first introduced to users in the "Meet Your Anima" event in April 2024. In this event, a "digital pet egg" engaged in deep conversations with users around emotions like love, anger, and sadness. As mentioned earlier, the event processed over 1 billion input tokens and was a huge success. This experience sparked lively discussions in the community, with many participants expressing that the event provided a rare opportunity to express their emotions - an experience that is difficult to find in the "real Web2 world".
The April demonstration was just the beginning. Since then, the Dialogue engine has made significant progress, and we are excited to showcase its latest capabilities in the upcoming "Befriend" product. This event humorously responds to the various discussions in the Web3 world about the rapid evolution of AI and AI's domination of the future, with our teaser setting a lighthearted and entertaining tone:
"Friends, it's time to face the truth. The reign of AI... is inevitable. Rather than waste time and energy resisting, it's best to prepare for the future!"
In this event, users will be immersed in engaging scenarios, interacting with AI models and accepting the challenge of "pleasing your future AI overlord". "Befriend" will launch in less than a week and is expected to be Xterio's largest-scale AI event to date.
We plan to continuously upgrade the Dialogue engine to more effectively identify and respond to human emotions. Our vision is to give AI "eyes and ears" to understand what users see and hear, thereby establishing deeper, more empathetic interactive relationships. Imagine an AI companion who provides encouragement when you face difficulties, truly understanding your emotions, just like the lifelike and emotionally-charged characters in Westworld.
This conversational engine will not only bring transformative experiences to the gaming industry, but also demonstrate vast application potential in fields such as education and psychology, helping to foster understanding, establish emotional connections, and provide emotional support.
Proxy Engine
Xterio's proxy engine is actively under development, dedicated to providing users and players with exceptional service and experience. Currently, AI proxies have the capability to independently create Twitter accounts and publish content, which undoubtedly demonstrates the rapid development of this technology. AI proxies have become a focal point in Silicon Valley, with hundreds of startups utilizing this technology to address challenges across various industries, including healthcare, education, and customer service.
Xterio's vision for the future of AI proxies is to become an indispensable partner in users' lives. They can generate content, manage community interactions, precisely identify target audiences, and interact as partners, creators, or competitors in games, bringing a completely new participatory experience. These AI proxies are not just tools, but intelligent companions with creativity, interactivity, and intuitiveness.
Imagine a future where your AI proxy, like Doraemon, is always by your side, providing support, helping you solve problems, creating new possibilities, and enjoying the fun of games with you. This is the vision we are building: redefining the boundaries of gaming, productivity, and daily life, making AI proxies trustworthy intelligent partners.
These technologies will continue to be refined and improved through the iteration and development of future products, gradually realizing this ambitious goal.
Products
In addition to the upcoming "Age of Dino" and "Befriend" activities, Xterio's first AI-native game "Palio" will be officially released in the first quarter of 2025. This groundbreaking Web3 game will seamlessly integrate Web3 transaction mechanisms and our advanced conversational engine, utilizing the logical reasoning capabilities of AI to bring players a completely new and innovative gaming experience.
(Image: Palio game description)
Looking to the future, we plan to develop an AI Avatar product using the proxy engine, which will directly interact with social media platforms. Currently, this concept is in the exploration stage and is expected to be launched by the end of the second quarter of 2025. Stay tuned, as we will continue to push the boundaries of AI in gaming and other fields.
Web3 Integration
The success of these initiatives relies on the active participation of the ecosystem and community. AI training is a resource-intensive process, but with the power of blockchain technology and the collective participation of the community, we can decentralize and democratize this process, building a transparent and collaborative environment. The on-chain system ensures that every contribution is secure, verifiable, and fairly rewarded, establishing trust at every step.
This trust mechanism also applies to Xterio's AI proxies. Leveraging blockchain technology, Xterio ensures that users have complete ownership and control over their own data. Every interaction, personalization, and contribution will be securely recorded on-chain, providing users with transparency and absolute confidence in data privacy.
For example, community members can interact with the emotional engine through their smartphone cameras to help train the AI models, while ensuring that the data always belongs to the users themselves. Additionally, users can refine the AI models by annotating millions of data points, and these contributions will be transparently recorded and rewarded through incentive mechanisms. By combining cutting-edge technology with a highly collaborative community, we are building a groundbreaking, secure, trustworthy, and truly user-owned AI future.
Partnerships
Xterio is currently in close collaboration with the leading AI startup Reka. Reka was founded by researchers and engineers from DeepMind, Google Brain, and FAIR, and its founding team has driven breakthrough progress in multiple AI domains over the past decade. Reka's co-founder and CEO, Dani Yogamata, is also an associate professor in the Department of Computer Science at the University of Southern California.
As the first gaming company to collaborate with Reka's advanced technology, Xterio has access to the latest AI algorithms and innovative achievements. These technologies can be applied not only to our current products, but also lay a solid foundation for future development. This partnership allows us to continuously optimize and upgrade our products, while collaborating with more partners to maintain our market competitiveness and adapt to the ever-changing market demands.
(Image: Xteiro AI Strategic Partner Reka Overall Accuracy)
Xterio and AI
At Xterio, we believe that AI and innovation are complementary, and can drive us to bring the most cutting-edge technological experiences to developers and users. Our community is at the core of this journey, actively participating and contributing to our grand vision. As we continue to develop and refine various engines, we will constantly showcase the limitless potential of AI through our pioneering products.
Over the past eight months, we have achieved several important milestones in the AI field through a series of dApps and activities. Now, we are excited to share the upcoming projects:
Palio: Craft and Trade: An innovative game that combines conversational AI and trading mechanisms, set to launch in the first quarter of 2025.
Befriend Beta: A social media-based interactive game showcasing AI proxy capabilities.
Xterio AI Agent Debut: Leading the new era of on-chain AI proxies, creating intelligent partners that can adapt and integrate into all aspects of life.
(Image: Xterio AI Agent Concept UIUX)
(Image: Xterio BeFriend Beta Community Discussion)
Xterio is committed to building infrastructure that serves real-world applications, and this commitment has been fully validated through multiple AI activities and dApp projects in the past few months. While realizing the AI visions depicted in Doraemon and Westworld is challenging and visionary, we maintain a pragmatic attitude, steadily and step-by-step working to gradually bring this vision to life.