AI agents advised to focus on utility over launching tokens for fundraising, market for AI tokens down

From Cointelegraph

March 17, 2025 5:44:45 AM:

Artificial intelligence agents are advised to prioritize their intrinsic utility over launching in-house tokens for fundraising. AI-related tokens have dropped by 21% to $27 billion in market capitalization. Binance founder Changpeng Zhao emphasizes the importance of focusing on utility rather than tokens, as AI cryptocurrencies experience a significant downtrend.

AI agents are gaining interest for their ability to streamline processes and create new financial opportunities. These agents are performing autonomous transactions on the blockchain without human input. Luna, an AI agent on Virtuals Protocol, recently paid another AI agent $1.77 worth of VIRTUAL tokens for image-generation services. However, demand for AI agents has decreased, with Virtuals Protocol’s revenue falling 97%.

Industry experts predict a positive outlook for AI cryptocurrencies in 2025. Platforms like ai16z and Hyperliquid are expected to see growth this year. Alvin Kan, COO of Bitget Wallet, highlights emerging narratives like AI-driven investments and decentralized AI agents. However, he notes the added risk associated with these tech-driven shifts.

Read more at Cointelegraph: Not every AI agent needs its own cryptocurrency: CZ