Industry insiders informed Cointelegraph that in 2025, artificial intelligence agents will AI Agents to Revolutionize Web3 by 2025 with on-chain trade and cryptocurrency staking being the first applications. Machines that can act independently to achieve complex goals are already changing the face of the digital economy through creating Web3 apps, releasing tokens, and engaging with people.
Cointelegraph spoke with J.D. Seraphine, a Web3 AI engineer at Rainmaker, who predicted that “AI agents are expected to take on a more prominent role within decentralized communities” in 2025.
Michael Casey, co-founder of the Decentralized AI Society, told Cointelegraph that they would encounter several obstacles, such as technical difficulties, legislative constraints, and the threat of centralization. Casey cautioned that the lack of artificial intelligence (AI) decentralisation could lead to catastrophic consequences.
AI Bots Revolutionize Web3 $10B Market Growth by 2025
In December, almost 10,000 AI bots were operating on Web3, earning millions of dollars every week from on-chain activities, according to a report by VanEck. According to asset management, as many as one million artificial intelligence bots will populate blockchain networks by the end of 2025. An asset Agents to Revolutionize Bitwise’s Matt Hougan said The potential universe of AI agents interacting with crypto is infinit (Cointelegraph).
According to CoinGecko, in 2024, tokens associated with agentic AI achieved a market valuation of over $10 billion, with most of that growth occurring in the fourth quarter. Two examples of agentic AI initiatives include Virtuals, which provides a platform for creating AI agents on Coinbase’s Base network, and ai16z, which seeks to employ AI to guide on-chain investments.
AI Agents in Crypto Staking A Promising Early Use Case
Hougan told Cointelegraph that staking cryptocurrency for human token-holders is a good early use case for agentic AIs. There will be many tests, but only a handful will be truly effective. According to Hougan, a logical first step” would be for AI agents to take part in staking.
Staking is a way to secure a blockchain network by entrusting validators with tokens in return for a portion of the transaction costs. According to data from dDaosfun, Eliza, the agent of ai16z, supposedly maintains an on-chain liquidity pool autonomously and clocks annualized profits of over 60%. According to Casey, on-chain AI models still lack technical aspects like processing power and compared to their centralized alternatives, like OpenAI’s ChatGPT.
Summary
Seraphine stated that searching for “decentralized solutions to ensure high-quality training data while safeguarding user privacy is crucial to developing practical decentralized AI Agents to Revolutionize. The development could decentralized AIs, as AI will face increasing pressure to be regulated, and big players like OpenAI are lobbying for rules that align with their own models,” Casey added. If investors grasp the significance and are ready for risks, Hougan says they don’t need to know the exact conclusion.
FAQs
How are AI agents used in cryptocurrency staking?
AI agents can be utilized to automatically manage staking operations, such as securing blockchain networks by validating transactions and earning rewards on behalf of human token-holders.
What challenges do AI agents face in Web3?
AI agents face technical hurdles, such as limited processing power, and challenges with decentralization. Additionally, legislative constraints and the risk of centralization could hinder their full potential.
What is the projected market growth of AI agents in Web3 by 2025?
AI agents are expected to revolutionize Web3 by 2025, with predictions indicating that over one million AI bots will populate blockchain networks, potentially generating billions of dollars.
What are some examples of AI initiatives in Web3?
Examples include Virtuals, a platform for creating AI agents on Coin base's Base network, and ai16z, which uses AI to manage on-chain investments