AI Agent Market Map: Hype is Over, Technology Continues

Author: Tiger Research

Compiled by: AididiaoJP, Foresight News

Summary

• The AI agent market has seen a sharp decline in popularity following the plummet of token prices, but technological development continues steadily. The DeFAI sector is regaining attention through the release of actual products and professional on-chain functionalities.
• Professional agents optimized for specific functions have replaced the previous general agents. Projects like Virtuals are actively building infrastructure to connect these agents and enable collaboration.
• AI agents will be integrated as a core function in cryptocurrency projects. Infrastructure that enables smooth communication and collaboration between agents will become crucial.

The hype is over, the technology continues

The cryptocurrency industry has integrated AI technology in various ways, with AI agents receiving the most attention. The total market capitalization of tokens related to agents once reached around $16 billion. This demonstrates strong market interest, but this attention was short-lived. Most projects failed to meet development expectations, and token prices plummeted by more than 90% from their peak.

A drop in price does not mean a regression in technology. AI agents remain an important technological field in the crypto space. Discussions about practical use cases have become more specific, and teams are continuing to test new methods. This report explores how AI agents function within the crypto realm and examines potential future developments.

The reshaping of the AI agent ecosystem after the hype

Early AI agency projects are gradually fading out of the market.

The AI agent sector in the cryptocurrency field has started to gain attention since the end of 2024. The ElizaOS team from ai16z and the G.A.M.E development stack from the Virtuals Protocol team have significantly lowered the barrier to agent development. Launch platforms like DAOS.fun and Virtuals Fun provide a platform for tokenizing the developed agents. The process from development to release has been simplified, leading to an explosion of market interest and a rapid emergence of numerous agent projects.

Most projects have proposed ambitious roadmaps utilizing AI technology. Investors have driven up token prices due to expectations of innovative services. In reality, these projects are merely wrappers around fine-tuned or prompt-engineered base models from OpenAI or Anthropic. Most projects are building advanced chatbots for X or Telegram, rather than developing standalone services. The projects emphasize innovative visions and technological differentiation, but their actual operations are hardly different from meme coins.

Source: aixbt

But there are also some projects that are exceptions. Projects like aixbt and Soleng have partially implemented their roadmaps and launched actual services. They use token-gated access to provide exclusive access for token holders. Aixbt provides project analysis reports, while Soleng analyzes GitHub repositories to support investor decision-making.

Even these relatively successful cases cannot overcome structural limitations. An unstable income structure that relies solely on the rise in token prices hinders progress. Technological competitiveness lags behind Web2 companies. Token prices eventually fell, operational funds were depleted, and most projects have now suspended services.

The DeFAI project reignites hope in this field.

AI agent technology once faced over-expectation and has now entered a correction phase. The DeFAI sector is regaining attention by proving its actual value. DeFAI agents execute automated investment strategies 24/7. They enable users to easily access complex DeFi services through simple natural language commands. This sector is the core narrative of the early AI agent space. Most projects remain in the roadmap stage, making it difficult to implement in practice. The sector temporarily lost attention. Recent product launches are rebuilding market expectations.

Representative projects include Wayfinder and HeyAnon. Wayfinder executes on-chain tasks through dedicated AI agents called "Shells." Shells perform on-chain transactions directly through built-in dedicated wallets. The system employs a professional multi-agent architecture, consisting of trading agents, perpetual agents, and contract agents. Each type of agent focuses on a specific role to automate various investment strategies. Users can easily execute simple cross-chain transactions or advanced strategies, such as basis trading and leveraged dollar-cost averaging.

From individual agents to agent networks

Early AI agent projects promoted a "general agent" that executes all functions. This approach placed financing above technological completeness. The projects proposed too many roadmaps to capture a broader market. Most exposed limitations during the implementation phase.

The current agent ecosystem is evolving in a completely different direction. Builders are realizing the limitations of general-purpose agents, and they are now developing agents focused on specific domains. These agents can collaborate with each other, similar to skilled craftsmen such as carpenters, electricians, and plumbers working together to build a house.

The ACP of Virtuals Protocol represents this trend. It provides a standard framework for communication and task allocation among different agents. Theoriq and General Impression are also building infrastructure to enhance interoperability among agents. The market is being reshaped, shifting towards maximizing the value of the entire agent ecosystem rather than the value of individual agents.

Future scenarios of the AI agent market

After the early hype cooled down, AI agents continue to evolve. The speculation has ended, but projects are still leveraging AI agents to build new features and services. Two changes stand out particularly.

First, AI agents have become an essential infrastructure. AI agents are no longer an independent field but are integrated as a basic function into crypto projects. The blockchain data platform Nansen develops research agents to make complex on-chain data easier to explore. DeFi projects also add agents to improve user access. AI agents will become the final interface connecting users to the blockchain, rather than an optional feature.

Secondly, agency business will grow. As AI agents become the standard, interactions between agents and between agents and humans will become more frequent. Secure transaction protocols and trust mechanisms are becoming increasingly important. Projects like ACP by Virtuals Protocol lay the foundation for this.

These changes will simplify the complexities of the cryptocurrency space, improve user experience, and create new economic opportunities.