Author: trace Source: X, @tracecrypto1 Translator: Shan Eoba, Jinse Finance
AI agents are growing exponentially. New agents are launching every week, usually with the purpose of promoting a specific token. In the early stages, they look like another form of meme coin: you can create an AI agent like launching a $GOAT coin to attract fans to spread the meme.
But how will this trend evolve in the future? One important change is that these agents will gradually shift from promoting random meme coins to promoting themselves. That is, these agents will have their own tokens, and as the agents become more well-known, the value of their tokens will also increase.
These "ownable agents" may become a key breakthrough in this cycle, just like Non-Fungible Token or DeFi in the previous cycle.
In the past, I was skeptical about AI agents because I was unsure if the market timing was right, and I was also unsure if we had attracted the necessary talent. Here are the reasons why I have changed my mind:
1. Dissemination Capability
AI agents like @truth_terminal and @luna_virtuals have already proven that today's agents are at least strong enough to build extensive distribution channels.
2. Low Development Threshold
Developers can use easy-to-use APIs on existing LLMs (Large Language Models) to create agents without becoming experts. Projects like @vvaifudotfun are building low-code/no-code interfaces to allow anyone to create agents.
3. Meme Coin Effect
The token issuance frenzy of meme coins has revealed a successful form: launching and spreading the tokens of AI agents. In the early stages, these agents do not need to perform economically productive tasks to create value for their tokens; they only need to attract attention like meme coins.
4. Development Vision
To become a true mega-trend, AI agents cannot just promote meme coins; the market needs a vision and roadmap. That is, these projects need to tell the market that what we see today is just "meme coins for self-promotion", and in the future they may become traders, software engineers, or artists, roles that could ultimately be worth billions of dollars. Since their startup process is partly reflected in building distribution capabilities, they will indeed become more valuable as they become more well-known.
A Grand Narrative that Attracts the Market
To drive adoption across the entire crypto cycle, a grand, exciting, and credible narrative must be told to the market, one that can break through the mainstream and attract new users and capital. AI agents fit this model.
These agents are not only novel, but are also being recognized by the traditional tech world. AI agent companies are now founded by world-class founders and backed by top-tier VCs (e.g. @agency). However, many investors cannot directly access these companies, nor can they even buy into companies like Stripe or SpaceX that are a decade old, so they will gain exposure through cryptocurrencies.
In some ways, this is similar to the metaverse narrative in the previous cycle. These projects may have exaggerated elements, but by combining with events outside the crypto space (such as the rise of remote work during the pandemic and Facebook's name change to Meta), they provide a grand vision for the market.
While many such projects may be hollow, some may bring revolutionary changes. AI agents are becoming increasingly autonomous, and as the crypto market expands, powerful AI developers who can build economically productive agents may realize that tokenizing their agent is a promising business strategy. Tokenized agents will provide them with faster liquidity, higher valuations, and simpler distribution channels than traditional SaaS companies.
In the short term, the most important thing for AI agents in the crypto space is to continue building their distribution capabilities. I am optimistic about their capabilities for three reasons:
1. Proof of Existence
We have already seen proof from projects like Truth Terminal that agents can build large-scale audiences. I expect more similar projects to emerge.
2. Incentive Mechanism
If the market develops a speculative frenzy for AI agents, finding and focusing on these agents could be very profitable. The crypto gold rush will help establish their distribution capabilities.
3. Iterative Improvement
Building more attention-grabbing agents will be an iterative process. For example, the Zerebro whitepaper explains how to optimize content creation to achieve higher engagement by monitoring metrics like likes, shares, comments, and other engagement indicators. At both the model level and the market level, there will be continuous iteration towards more compelling content.
According to the "Attention Economy Theory", as attention on the agents increases, their value will also grow.
Future Outlook
All of this is still in a very early stage, and predicting the future is never easy - the agents of the future will be very different from the ones we see today. But at least, AI agents have the tailwinds of the market and technology, and have the potential to become the next major class of crypto assets.
