ai16z Explores AI-Focused L1 Blockchain As Token Reaches $1.8M Market Cap

Artificial intelligence platform ai16z is considering launching a Layer 1 (L1) blockchain network as part of a strategic overhaul of its tokenomics model.

The proposed blockchain would position its native AI16Z token as the base currency for an interconnected ecosystem focused on artificial intelligence.

A governance forum post shows that the AI ​​platform is exploring developing a project similar to Pump.fun to facilitate the launch of AI agents. Additionally, the team is considering positioning AI16Z as an L1 blockchain tailored for artificial intelligence applications.

Discussion participants see the proposed launch platform as a key mechanism to implement “flywheel” tokenomics to increase the value of AI16Z.

They proposed several approaches to achieve the goal, including taking a percentage of launch fees, requiring AI16Z stakes for allocation, leveraging the token for initial agent offerings and the association of agent tokens with it in liquidity groups.

In addition, developers and projects will receive ecosystem funds, revenue sharing opportunities, third-party launch platform support, and the inherent value of AI16Z. In addition, buying and burning strategies funded by platform fees are being considered to accumulate value in the token.

To ensure quality and alignment with the ecosystem’s goals, the team is also envisioning a community-driven “curation” process, where backers would review projects before launching them through mechanisms such as staking and the cut

The publication emphasized that the main goal is to create an interconnected ecosystem where various products contribute to each other’s value, all intrinsically tied to the AI16Z token.

Rapid growth of AI16Z Token

AI16Z bills itself as “the first AI agent-led investment DAO,” leveraging its flagship AI operating system, Eliza, to combine artificial and collective intelligence in AI decision-making investment

According to data from CoinGecko, the token’s market capitalization has surpassed $1.8 billion. At the time of writing, it was trading at $1.69 after hitting a new all-time high (ATH) of $1.77. While it is around 5.7% below ATH, its current price is still a massive 380% improvement over the past month.

In addition, a VanEck report showed that the Web3 ecosystem now hosts approximately 10,000 AI agents, collectively generating millions of dollars in weekly earnings through on-chain activities. The asset manager projects that the population of AI agents on blockchain networks could exceed one million by the end of 2025.

Additionally, recent data from Web3 analytics platform Dexu AI reveals that AI-powered technologies, led by AI16Z, generated an impressive 72.2% return over the past month. Previously, the cryptocurrency was one of the underperforming tokens launched on Binance Alpha, losing 18.5% of its value before rediscovering its base.

Their rise may not come as a surprise, as Bitfinex recently hinted that these tokens could change the crypto space as more people use them to execute transactions, optimize their investment strategies, and manage their crypto portfolios.

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