Brian Armstrong, the CEO of Coinbase, recently revealed that artificial intelligence (AI) agents have begun conducting crypto transactions among themselves. In a series of posts on the social media platform X, Armstrong disclosed that the leading US-based cryptocurrency exchange witnessed its first AI-to-AI transaction earlier this week.
El CEO de Coinbase Brian Armstrong Predice que los Pagos Serán el Próximo Gran Auge del Cripto. Telegram CEO Arrested, Coinbase CEO Bullish on Crypto … https://t.co/vFMRKM6Wym @RaymondOrta
— Crypto Juris (@CryptoJuris) September 1, 2024
Armstrong explained that one AI purchased tokens from another, not in the form of cryptocurrency tokens but as AI tokens, which are essentially words or data exchanged between language learning models. He highlighted that while AI agents are currently unable to open bank accounts, they can create and use crypto wallets. This capability allows them to use stablecoins like USDC on the Coinbase-backed Base platform to transact with humans, merchants, and other AI agents, with these transactions being instant, global, and fee-free.
Armstrong emphasized that this development marks a significant step forward for AI technology. He pointed out that AI agents currently face limitations in using traditional payment methods, which hinders their ability to perform tasks that require purchasing resources. For example, AI agents can’t use credit cards to pay for cloud services, access paid databases, or promote posts on social media. They also cannot bypass paywalls to access content like scientific articles or leverage paid APIs for integrating necessary data.
Breaking 🚨
Coinbase CEO Brian Armstrong expressed optimism about the future of #Crypto payments, predicting it as the next big boom driven by advancements in technology. pic.twitter.com/cOIghvOkNl— pradyumna bitcoineer (@cryptoprady) September 1, 2024
By enabling AI agents to use cryptocurrencies, Armstrong suggests that they can overcome these barriers and access a broader range of financial services. This evolution, he argues, benefits everyone by allowing AI technology to perform more effectively and efficiently, potentially expanding the capabilities and applications of AI in various fields.
Key Points:
- First AI-to-AI Crypto Transaction: Coinbase CEO Brian Armstrong announced that AI agents have begun making crypto transactions with each other, using tokens to exchange data.
- AI Agents Using Crypto Wallets: While AI agents can’t open bank accounts, they can create crypto wallets and use stablecoins like USDC for transactions on platforms like Coinbase-backed Base.
- Overcoming Payment Limitations: Armstrong highlighted that AI agents currently face limitations in accessing traditional payment methods, restricting their ability to perform certain tasks.
- Benefits of Crypto for AI: Enabling AI agents to use cryptocurrencies allows them to overcome financial barriers, enhancing their functionality and efficiency in acquiring resources.
- Future Implications: Armstrong suggests that the ability of AI agents to transact using crypto can improve their integration and effectiveness, benefiting both technology and users.
Charles William III – Reprinted with permission of Whatfinger News