Bitwise CEO Hunter Horsley on the Future of AI Agents and Cryptocurrency

Understanding the Evolution of Autonomous AI Agents

In recent discussions on the X platform, Bitwise CEO Hunter Horsley has offered pivotal insights into the evolution of non-human autonomous entities. He draws intriguing parallels between this modern phenomenon and the historical development of corporations in the United States.

Historical Context: The Birth of Corporations

Horsley points out that less than 200 years ago, U.S. law underwent a significant transformation, allowing for the widespread creation of corporations. This law laid the groundwork for corporate structures that dominate today’s economic landscape, underscoring the importance of historical context in understanding future developments in autonomous AI.

The Current Infrastructure: Serving Corporations

The current financial and transactional infrastructure is primarily designed to serve corporations rather than individual entities. Here’s a breakdown of how this works:

• Transactions: Corporations utilize fiat currency for transactions.
• Borrowing: They borrow funds through bond markets.
• Ownership: Ownership rights are determined via stock markets.
• Legal Agreements: Disputes and agreements are resolved through courts and contracts.

A New System for AI Agents

Horsley argues that to accommodate AI agents, a completely new financial system is necessary. This system would be characterized by:

• Encryption: Designed to be inherently encrypted to secure transactions.
• Cryptocurrencies: Utilization of stablecoins and Bitcoin for seamless transactions.
• Decentralized Finance (DeFi): Leveraging DeFi for lending and financial services.
• Smart Contracts: Employing smart contracts to replace traditional court involvement.
• Tokenized Ownership: Introducing tokenized systems for governance and ownership.

Cryptocurrency: More Than Just a Digital Asset

While it may seem speculative to discuss these advancements at present, Horsley emphasizes that cryptocurrency represents more than merely a digital equivalent of gold or stock investments. Its true aim is to establish an entirely new, independent financial and property system that meets the demands of both individuals and entities in the digital realm.

The Transformative Potential of Blockchain Technology

This vision hints at the transformative potential of cryptocurrencies and blockchain technology, with the capability to redefine financial systems and cater to the unique needs of emerging autonomous AI agents. As these technologies evolve, they might significantly change how transactions, ownership, and governance are approached in the digital age.

Conclusion

In summary, Horsley’s insights prompt us to rethink the relationship between technology and finance, particularly regarding autonomous entities. As we look forward to a future intertwined with AI, understanding these dynamics becomes crucial for shaping the financial landscapes to come.