Binance Founder Pushes for Utility Over Token Hype in AI-Driven Economies
Staff Writer • 2025-03-17
CZ Weighs in on AI Agents: “Not Every Agent Needs Its Own Token” Changpeng Zhao, better known as CZ, the founder of Binance, has shared his unfiltered take on AI agents and their integration with crypto. In a recent post on X, CZ emphasized that while crypto is the natural currency for AI, the current trend of launching tokens for every AI agent is misguided and unnecessary. “While crypto is the currency for AI, not every agent needs its own token,” CZ wrote. “Agents can take fees in an existing crypto for providing a service. Launch a coin only if you have scale. Focus on utility, not tokens.” His comment comes at a time when AI-integrated blockchain projects are booming, with startups rushing to tokenize AI-powered services, often prioritizing token issuance over real-world utility. CZ’s stance challenges this trend, advocating for a service-first approach where AI agents can operate within the existing crypto economy without excessive token fragmentation. The AI-Crypto Convergence: A Speculative Bubble or Real Utility? The intersection of AI and blockchain has been one of the hottest narratives in the tech space, with projects promising autonomous AI-driven economies where intelligent agents transact using crypto. However, CZ’s post raises a critical question: Is the industry rushing into tokenization for the sake of speculation rather than utility? Many AI-focused blockchain projects issue native tokens as a way to bootstrap funding and incentivize early adopters, but without clear real-world demand, these tokens often struggle to sustain value. CZ’s argument suggests that AI agents should first establish their service-based utility, charging fees in widely used cryptocurrencies such as Bitcoin, Ethereum, or BNB, rather than immediately launching yet another token that may lack liquidity or use case support. Scale First, Token Later: A Playbook for AI-Crypto Adoption CZ’s comment isn’t just a critique—it’s a playbook for sustainable AI-crypto integration. His stance suggests that projects should prove utility and scalability first before considering the launch of a proprietary token. The reasoning is clear: tokens without an established user base or real demand often struggle, leading to speculative bubbles and market instability. In contrast, successful AI agents should generate revenue through existing crypto assets, only introducing a token when scale, adoption, and necessity demand it. Will the Industry Listen? As AI and blockchain continue to evolve, CZ’s perspective could serve as a much-needed reality check for founders rushing into AI tokenization. The market has seen cycles of hype-driven projects, many of which fail due to a lack of real adoption. By prioritizing service-based revenue models over unnecessary token launches, AI agents could achieve long-term sustainability rather than short-lived speculative hype. Whether the industry heeds CZ’s advice or continues its token-mania remains to be seen, but one thing is certain: the AI-crypto revolution will need more than just tokens to succeed.
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