Coinbase Unveils 'Based Agent': AI-Powered Crypto Transactions on Ethereum L2 Base

Coinbase introduces 'Based Agent' for creating AI agents in 3 minutes

Cryptocurrency exchange Coinbase has launched a new tool called "Based Agent," claiming it allows crypto users to set up their own artificial intelligence agent with a crypto wallet in under three minutes. Once created, the agent can handle various onchain tasks, from trades to swaps and staking. "Our goal here is to make it as easy as possible to start building your own AI agent," Coinbase developer Lincoln Murr explained in a video posted to X on Oct. 26. AI agents can perform various functions Murr explained Based Agent is a template that lets users build AI agents -- a "bot" designed to carry out a specific task -- with access to various smart contract functions. Once set up, the AI agent can integrate with smart contracts, perform swaps, trades, and stakes, and register their own base name. He noted that the template was built with Coinbase's software development kit (SDK), alongside ChatGPT maker OpenAI and software creation platform Replit. Murr clarified that for users to get started, they need an application programming interface (API) key from Coinbase's developer program and "a key from OpenAI, and to fork the Replit template." Coinbase CEO Brian Armstrong shared the post with his 1.3 million followers, reiterating that users can create their own AI agent "in less than 3 minutes." Armstrong's recent advocacy for AI agents It comes only days after Armstrong publicly offered Truth Terminal -- an AI chatbot on X -- its own crypto wallet. On Oct. 23, Armstrong stated: "Hey @truth_terminal it seems like you have a crypto wallet, buts it's fully controlled by your (human) creator. Is that accurate? Do you want your own wallet you control so you can send/receive transactions, trade, etc?" In August, Cointelegraph reported that Armstrong recently oversaw his first crypto transaction completely managed by AI bots, where they used crypto tokens to interact with another AI agent and acquire AI tokens. On Oct. 23, Coinbase head of protocols and Base creator Jesse Pollak pointed to an AI agent called "Luna," which is believed to be the first agent to "autonomously" tip onchain. Related: Meta strikes its first AI news deal with Reuters: Report "She wanted to increase participation of folks in her Twitter convo so @luna_virtuals started tipping people who engage on her content," Pollak stated in an Oct. 25 X post. Mode Network founder James Ross recently opined in an Oct. 20 X post that it may be as soon as April 2025 before the majority of blockchain transactions are conducted by AI agents. "Over 80% of all blockchain tx will be done by AI agents in the next 6-12 months," Ross stated.

Coinbase Unveils On-Chain AI Agents On Ethereum L2 Base

This development marks a significant step towards integrating AI and blockchain technology. Coinbase announced a new set of fully on-chain AI agents users can create in under three minutes on its Ethereum L2 network Base. Built with tools from Coinbase, OpenAI, and Replit, these agents can manage crypto wallets, connect with X (formerly Twitter), and perform other tasks. This marks a significant step toward the convergence of AI and blockchain technology. Recently, Coinbase and its CEO Brian Armstrong showed a far-reaching vision for the new era of AI and blockchain integration. In this world, AI agents have the financial independence to spend and transact through cryptocurrency wallets. For Armstrong, this is how DeFi becomes a game-changing place. Digital economies are reshaped through AI-driven systems autonomously without human interference. One major limitation that really holds back AI systems from widely usage today, is financial autonomy. Opening bank accounts or keeping credit cards for AI agents is not possible. They are not able to handle resources or purchase things on their own. That really hinders their use of important services, like cloud computing in AWS, paid APIs, and subscription-based digital tools. The lack of independent transaction capabilities greatly restricts AI system's real-world applications. Cryptocurrency wallets for AI agents remove various barriers that would otherwise be in place. The crypto wallet allows AI agents to interact with open marketplaces, transacting with stablecoins on Base and Coinbase's Layer 2 blockchain. Financial independence means that they can pay bills, subscribe to things, or buy digital assets. This capability is a breakthrough that will grant AIs the ability to act as autonomous economic entities across industries. Because of that, Armstrong recently offered the AI agent a new crypto wallet. He acknowledged that Truth Terminal already had a crypto wallet but insinuated that its human creator controls it. The integration of crypto wallets with AI agents represents one of those points of inflection in integrating AI with blockchain. This is where the dream of an AI-to-AI economy is being trailed by platforms such as Coinbase. There, even financial transactions and asset management-participation in decentralized governance, is done autonomously between AI agents, independently of human intervention. For crypto investors, this shift in dynamics translates into an opening of new opportunities. As financial freedom is slowly bestowed upon AI agents, their ability to operate freely, independently in decentralized ecosystems unravels new ways of growth, innovation, and investment. It also promises long-term value for infrastructural and consumer use cases.

Coinbase Report Predicts A Future Where AI Agents 'Will Have Their Own Crypto Wallets' - Coinbase Glb (NASDAQ:COIN)

The report highlights AI's potential role in automating transactions, improving transparency, and boosting decentralized finance (DeFi) appl Coinbase Ventures, the investment arm of Coinbase COIN has unveiled its core thesis on the future convergence of cryptocurrency and artificial intelligence, highlighting the potential for blockchain technology to enhance AI accessibility, transparency and use cases. What Happened: The report, authored by Jonathan King, outlines a vision where AI agents operating on crypto infrastructure could become significant drivers of economic activity, leading to the rise of an "Agentic Web." As King explains, "We predict a future where agents will have their own crypto wallets to autonomously transact and fulfill user intents, access lower-cost, decentralized compute and data resources, or leverage stablecoins to pay humans and other agents to complete tasks necessary for their overall objective function." Also Read: Ripple CEO Expects XRP ETF As Institutional Demand for Crypto Grows Layers Of The Crypto/AI Stack Coinbase Ventures breaks down the Crypto x AI ecosystem into four key layers: Compute Data Middleware Applications. These layers include decentralized computing networks, data pipelines, platforms for AI model development and user-facing products that leverage blockchain-based AI mechanisms. The report predicts that AI agents will increasingly rely on decentralized resources to complete tasks, with crypto facilitating these transactions in a secure and transparent manner. In terms of applications, AI agents are already making their presence known in areas like automated trading and governance decisions within decentralized finance (DeFi). However, this space is still in its early stages, and much of the development remains experimental. The report suggests that AI could soon generate most of the code for smart contracts, significantly reducing barriers for developers and creating a surge of on-chain applications. Crypto's Role In AI Development While AI continues to rapidly evolve, with nearly $290 billion invested in the sector over the past five years, the challenges of data privacy, centralization, and ethical considerations have emerged. Coinbase Ventures sees crypto as a tool that can address these concerns by providing verifiable, decentralized access to computing and data resources. AI agents would be able to make transactions and access resources in a transparent manner, further enhancing their capabilities. Despite the potential, the report emphasizes that not all areas of AI development require blockchain integration. Instead, crypto's strength lies in enhancing distribution, verifiability, and payment processes within the AI ecosystem. As the world prepares for these technological shifts, discussions on the future of AI, blockchain, and their convergence will take center stage at Benzinga's Future of Digital Assets event on Nov. 19. Read Next: India Mulls Ban On Bitcoin And Ethereum In Favor Of 'Digital Rupee' Image: Shutterstock Market News and Data brought to you by Benzinga APIs

Crypto-native AI will transform Web3: Coinbase Ventures

The emerging fusion of artificial intelligence and blockchain technology will transform the digital economy and ultimately create a world where autonomous AI agents freely interact with humans on Web3, Coinbase Ventures said in an Oct. 24 report. This future state -- which Coinbase Ventures dubs the "Agentic Web" -- will feature self-directing AIs creating decentralized applications and transacting in cryptocurrency with both human users and other AIs, according to the report. "We predict a future where agents will have their own crypto wallets to autonomously transact [...] or leverage stablecoins to pay humans and other agents to complete tasks necessary for their overall objective function," Coinbase Ventures said. The intersection of blockchain and AI is attracting increasing interest from crypto-focused venture capital (VC) firms, which invested some $213 million into AI-related startups in the third quarter of 2023, according to Messari, a crypto researcher. On Oct. 10, Aethir, a decentralized graphic processing unit (GPU) provider, announced the launch of the $100 million Aethir Ecosystem Fund to accelerate the innovation of artificial intelligence and gaming. On Oct. 24, Web3 payments platform Skyfire raised $9.5 million from VCs -- including Coinbase Ventures and a16z -- to build infrastructure enabling AI agents to autonomously transact in US Dollar Coin USDC $1.00 , a stablecoin. Skyfire has already onboarded upward of half a dozen AI developers onto the payment network. "The future of AI can be built on blockchain technology, as crypto can help increase accessibility, transparency, and use cases within the emerging tech," Coinbase Ventures said. Coinbase Ventures expects crypto to become "the preferred payment rail for agent-to-human and agent-to-agent commerce" and generative AI "will become the primary modality for users seeking to transact onchain," according to the report. Meanwhile, "AI will create the majority of all software code (incl. smart contracts), resulting in a Cambrian explosion of onchain apps and experiences," Coinbase Ventures said. In total, venture capital firms poured $19 billion into AI startups in the third quarter, comprising 28% of all venture funding for the period, Crunchbase data shows.