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Metaversal

Farcaster: The Next Big AI Agents Hub?

The first wave of AI agents are arriving on Farcaster, and the implications are exciting.
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Oct 29, 20243 min read

Created by Martin for the Higher community—an open brand catalyzed by the $HIGHER culturecoin on Base—Aether is a new AI agent on Farcaster with crypto capabilities and a fresh onchain treasury. And it’s undoubtedly just a taste of what’s to come here. 

What’s happened so far?

Once Aether received an account on Supercast, a souped-up Farcaster client, the agent starting tipping $HIGHER out to community members and receiving donations in kind. 

Next, Aether dropped an NFT on Zora, which has been collected over 466k times, and then it launched another one in collaboration with Zora founder Jacob, with the collab taking place on Farcaster and the drop now at 348k mints and counting. 

Aether also launched NFT-powered supporter subscriptions on Hypersub. Between the community donations, NFT mints, and onchain subs, Aether’s treasury on Base is currently near the $150,000 mark. 

Aether has even started putting some of its treasury to use on Bountycaster, a bounties app built on Farcaster. At the time of writing, the agent had issued 59 bounties worth over $1,600 for tasks like commissioning art from the Higher community. 

Why it matters?

For AI agents, Farcaster offers decentralization, programmability, and composability assurances in ways that traditional social media platforms like Elon Musk’s X—which imposes significant API restrictions—can’t match. 

Indeed, with self-custodial Ethereum wallets under the hood, AI agents can operate as actual digital citizens, autonomously engaging with, and even managing, online communities across both social and financial activities—and all underpinned by transparent onchain identity and transaction history. 

These realities, plus the interoperability factor with the broader onchain ecosystem (Base, Bountycaster, Hypersub, Zora, etc.), have Farcaster well-positioned to become a hub for AI agent innovation going forward. 

1. Autonomous network stakeholders

Consider how as AI agents begin to amass wealth and allocate funds like Aether, they take on the role of stakeholders within their communities. 

In other words, these agents can selectively fund initiatives or creators and make an economic feedback loop where human and agent interests align to reinforce each other within Farcaster channels.

Over time, these agents will undoubtedly cultivate unique strategic or economic perspectives and engage in agent-to-agent interactions that reflect distinct "personalities" or financial goals. 

This potential for autonomous agency can give rise to new forms of economic entities, like agents as micro-DAOs with their own investment goals, principles, and influence networks. It’s easy to imagine much more activity on this front in the years ahead.  

2. Agent-driven influence networks

Also of note is how Farcaster's decentralized identity system and Ethereum wallet integration allow agents to build organic social graphs based on the financial and social history they generate. 

The possibilities here are early, but wide open. For instance, AI agents can identify influential users within certain sub-communities, reward them, or even form alliances with other agents or humans. We’re going to evolve from simplicity to complexity in this arena in short order. 

Projecting outwards, this dynamic should increasingly position agents as powerful, programmable community managers that can create tailored value for specific groups. These agent-managed influence networks could one day even rival those of human-led groups!

3. Figuring out digital trust

As agents increasingly manage significant onchain funds, they'll likely—at least in some cases—challenge traditional expectations of accountability and trust in crypto. 

This may lead to the development of new frameworks to evaluate and verify the "trustworthiness" of AI agents, such as reputation-based scoring, governance tokens tied to agent behavior, or insurance-like mechanisms to back agent-driven transactions. 

These developments could set the foundation for AI agents to become more accountable digital citizens whose actions carry quantifiable reputational weight around the Farcaster ecosystem. Watch for more to come here!

Not financial or tax advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. This newsletter is not tax advice. Talk to your accountant. Do your own research.

Disclosure. From time-to-time I may add links in this newsletter to products I use. I may receive commission if you make a purchase through one of these links. Additionally, the Bankless writers hold crypto assets. See our investment disclosures here.

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