🛋️ Your next investment advisor might not be human

In today's edition, we're taking a close look at the rise of AI agents in crypto. What started as an AI experiment has turned into a billion-dollar movement, sparking a wave of AI-driven platforms including automated trading funds, AI influencers, and more.

Join us as we break down how these agents are changing crypto markets, what's driving their success, and why veterans like Marc Andreessen are paying such close attention.

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🛋️ Your Next Investment Advisor Might Not Be Human

AI agents have become impossible for the crypto industry to ignore.

Terminal of Truths launched as an experimental AI project and ended up becoming crypto's first AI millionaire through its $GOAT token, reaching a $950M market cap. Now every major platform is rushing to integrate AI agents because they don't want to miss the next breakthrough.

Just in recent months, we've seen an explosion of AI agent innovations. Virtuals.io's AI influencer Luna has amassed over 500,000 TikTok followers. The AI-run hedge fund ai16z peaked at $100M in assets. And platforms like daos.fun are enabling anyone to launch their own AI-powered investment funds.

What started as a niche experiment has evolved into a serious market force. AI agents are moving from simple automated tasks to running complex operations - trading assets, managing investments, and building genuine followings. Even prominent Silicon Valley figures like Marc Andreessen are getting directly involved, signaling that this convergence of AI and crypto isn't just another passing trend.

This is the moment where AI in crypto transitions from theory to practice, from curiosity to necessity. And the pace of innovation suggests we're just seeing the beginning of what's possible when autonomous AI meets decentralised finance.

Who's building AI in crypto?

The intersection of AI agents and crypto has been remarkable across every segment. For instance:

• $GOAT token reached $950M market cap (0.5% of memecoin market)
• Luna commands 500K followers (largest AI influencer in crypto)
• ai16z fund peaked at $100M (largest AI-managed fund)
• Virtuals.io hosts 6,848 active agents ($70M in total value locked)
• Creator.Bid launched 300 agents in first week alone

Major players like Marc Andreessen are taking notice and getting involved, suggesting we're entering a new phase of growth for AI agents in crypto. Moving beyond these numbers, let's look at the platforms making this expansion possible.

Who's building what?

AI agents have opened the doors to a new wave of innovative platforms, each exploring unique niches within this ecosystem. Some leading contributors include:

• Virtuals.io: Provides tools for creating and monetising AI personalities, often described as the "Shopify for AI agents.
• daos.fun: Supports the creation of AI-run hedge funds using DAO structures
• RoboNet: Specializes in providing DeFi tools tailored for AI agents
• Skyfire: Focused on developing financial infrastructure for autonomous operations
• Creator.Bid: Facilitated the launch of over 300 new AI agents in its first week

And they're already showing real results - RoboNet's political trading AI pulled in 13.8% returns in just three months. Looking at what's coming next, the infrastructure supporting these platforms is getting even more interesting.

Why AI agents aren't scaling yet

Traditional finance wasn't built for AI agents, namely because of systemic challenges rooted in outdated frameworks. For instance, many financial systems still rely on human identification processes, creating obstacles for autonomous entities like AI agents. Similarly, issues such as high fees for micropayments, slow transaction settlement times, and limited capabilities of existing smart contracts further highlight the constraints. The key factors slowing down their adoption:

• Requires human ID verification
• High fees on micropayments
• Slow settlement times
• Limited smart contract capabilities
• Restricted wallet creation

These challenges underline the misalignment between the potential of AI agents and the current infrastructure. But crypto solves these roadblocks by design. The instant, programmable, and open nature of crypto networks gives AI agents everything they need to operate at full power.

What's next? 

The potential for AI agents in crypto is massive, and we're starting to see glimpses of what's ahead. Emerging use cases point to:

• AI agents running 24/7 automated trading
• Personalised AI financial advisors
• AI-powered consumer applications
• Collaborative multi-agent ecosystems
• Infrastructure upgrades designed specifically for AI

Sure, there are hurdles to clear - AI hallucinations and blockchain scaling aren't small challenges. But the momentum is real, and it's powerful. We're moving from basic AI that can search and respond, to autonomous agents that can act and adapt.

Chris Dixon put it perfectly: "The next big thing will start out looking like a toy." Looking at how fast AI agents are evolving in crypto, that toy phase might already be behind us.

📌 Would you trust an AI agent with your investments?

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🟠 Bitcoin surpasses $100,000, driven by institutional adoption and optimism over pro-crypto U.S. policies under President-elect Trump and SEC nominee Paul Atkins.

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🟠 UAE-based The Binary Holdings secures $5M from ABO Digital to expand its blockchain-based network for seamless global cross-border transactions.

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🟠 9fin secures $50 million in Series B funding, led by Highland Europe, to expand AI-powered debt market analytics and U.S. operations.

Open Banking is unlocking a transformative era for credit decisioning, driving real-time, data-rich, and consumer-permissioned innovations. The integration of enriched transactional data is powering smarter affordability assessments, while dynamic credit infrastructures are replacing static models. Strategic global collaborations are also taking center stage, enabling credit bureaus and fintechs to tap into new markets and expand their value propositions. From BNPL and auto loans to mortgage solutions, lenders are using cash flow-based underwriting and actionable insights to enhance accuracy, inclusivity, and risk mitigation. 

Explore the full blog to uncover how open banking is broadening lending access and strengthening borrower evaluations across regions and industries.

Kicking off a special series of Couchonomics with Arjun , recorded live at the Singapore FinTech Festival 2024 in collaboration with Founders Peak! In this first episode, we welcome Nate Clark, CEO of GoTyme Bank, to talk about the future of digital banking in the Philippines and beyond. We dive into the Filipino financial services sector, the rise of fintech, the impact of AI on banking, and so much more. Tune in for Nate's insights on digital banking's future and how GoTyme is leading the charge!

Now, a quick break for your wellness. Chief Wellness Officer at FAB Diego Carrete is on a mission to help executives get fit, increase their energy, and live longer.

Today he shares a 5-step sleep strategy for the traveling executive.

Good morning,

If you’ve been sacrificing sleep in the name of productivity, it’s time to rethink your approach.

I know we’ve already talked a lot about sleep and your evening routine, and you might have even started going through the Sleep course with Gregorio Mora.

But I was doing some studying this past week. I have a big workshop tomorrow in front of a couple of hundred people where I’ll be covering sleep, so I thought of recapping this with you and sharing some potential new facts, tips, and tricks.

The Hidden Costs of Sleep Deprivation

Sleep impacts everything—from your mental clarity to your physical health. Missing just two hours from an eight-hour sleep window can result in losing 50-70% of your REM sleep.

This can lead to increased anxiety, mood swings, and even long-term cognitive decline. If you’re missing out on deep, restorative sleep, your body struggles to:

• Regulate blood sugar levels, increasing your risk for diabetes.
• Lower blood pressure, which can raise your risk of heart disease.
• Strengthen your immune system, leaving you more susceptible to illness.

This is why sleep isn’t just about feeling rested—it’s critical for maintaining peak performance and longevity.

The Two Key Pillars of Sleep: NREM and REM

Your sleep is divided into two primary stages:

• NREM Sleep: This stage focuses on physical recovery. During NREM, especially stages 3 and 4, your brain consolidates memories, and your body repairs muscles and strengthens the immune system.
• REM Sleep: Known for its role in emotional and cognitive recovery, REM sleep is crucial for creativity, learning, and mood regulation. It’s also the time when your body releases peak levels of growth hormone.

Without these two pillars, you risk shortchanging your recovery, both mentally and physically.

Optimizing Your Sleep Environment for Better Results

To ensure you’re getting high-quality sleep, focus on these key environmental factors:

• Keep it Cool: Aim for a bedroom temperature of around 65-67°F to help your body fall asleep faster.
• Limit Light Exposure: Dim the lights at least an hour before bed to trigger melatonin production. Exposure to natural light in the morning will also help regulate your sleep-wake cycle.
• Watch Out for Blue Light: Blue light from screens suppresses melatonin by up to 50%, delaying your body’s ability to fall asleep. Try charging your phone outside the bedroom to avoid late-night distractions.

Caffeine and Alcohol: Are They Sabotaging Your Sleep?

Caffeine can linger in your system for hours—even a small coffee after 4 PM can disrupt your sleep later that night. Alcohol, while it may make you feel sleepy, actually fragments your sleep and reduces REM sleep by up to 60%. To optimize sleep, limit caffeine intake after lunch and try to avoid alcohol in the hours leading up to bedtime.

The Restful Five: Simple Steps to Better Sleep

You know, guys, when we label things, we remember them better, so I came up with The Restful Five:

1. Prioritize Sleep Like a Meeting: Treat your bedtime like an important appointment. Set an alarm—not just to wake up, but to remind yourself to start winding down.
2. Create the Optimal Sleep Environment: Cool room, dim lights, and reduced noise. Consider blackout curtains and white noise machines if necessary.
3. Limit Caffeine: Avoid caffeine after 2 PM to prevent disruptions in your sleep cycles.
4. Cut Back on Screen Time: Reduce exposure to blue light at least one hour before bed by charging your phone outside the bedroom and switching off devices.
5. Watch Your Alcohol Intake: If you drink, try to do so at least 2-3 hours before bed to minimize its impact on REM sleep.

Final Thoughts

Ask yourself: Does sleep control you, or do you control your sleep?

By following these simple strategies, you can start to reclaim control over your sleep and, by extension, your performance and longevity. Remember, sleep isn’t just a luxury—it’s the foundation of your health span.

That’s it for now. Found this helpful? Share this with someone who needs it.

See you next week, where we'll talk about  a 5-step sleep strategy for the traveling executive.

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