AI agents’ market cap surges 322% in Q4 2024, driven by Solana

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In the final three months of 2024, the total value of Artificial Intelligence (AI) agent companies soared, increasing from approximately $4.8 billion in October to a staggering $15.5 billion by December, marking an impressive 322% growth.

On January 14th, CoinGecko shared their “Yearly Crypto Industry Report for 2024,” which disclosed that AI-related entities gained popularity swiftly following the introduction of the Goatseus Maximus (GOAT) coin on the Solana platform in October 2024.

AI agents refer to self-governing software applications that utilize artificial intelligence to carry out various tasks, frequently within the realm of Decentralized Finance (DeFi) or as essential parts of blockchain networks. These agents can span from automated trading algorithms to decision-making systems designed to interact with smart contracts.

Solana leads the AI agent market

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In simple terms, Solana stands out as the leading blockchain for AI-related agents, controlling approximately 56.48% of the market and boasting a staggering capitalization value of $8.44 billion. Furthermore, data from cookie.fun indicates that it holds a commanding 64.34% share in social media presence, which is a measure of a brand or entity’s level of attention, awareness, and interaction on social platforms.

Currently, a blockchain named Base, which is backed by Coinbase and has seen support from initiatives such as AIXBT and Virtuals Protocol, boasts a market capitalization share of approximately 40.57%.

After Franklin Templeton’s report emphasized the potential of AI agents, the worth of tokens linked to these AI entities increased. On January 15, Virtuals Protocol (VIRTUAL) surged by more than 8% and exceeded $3 in early trading. Similarly, ai16z (AI16Z), a decentralized autonomous organization (DAO) that invests using AI agents, experienced a 20% growth, reaching $1.40.

In simpler terms, the report suggests that AI agents could dramatically change how content is created on social media, playing significant roles in numerous sectors and digital platforms.

Broader crypto market trends

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The rise of AI agents coincided with a strong fourth quarter for the crypto market.

In December of 2024, Bitcoin (BTC) peaked at an unprecedented value of $108,135. This surge led to a significant boost in the overall cryptocurrency market cap, pushing it up to a whopping $3.91 trillion, marking a rise of 45.7%. It’s worth noting that Bitcoin itself experienced a remarkable growth of 121.5% during that year.

As a researcher, I find it fascinating to note my observations on the significant progress made by both XRP (XRP) and Dogecoin (DOGE) throughout this year. Remarkably, XRP managed to leapfrog three other cryptocurrencies, moving from seventh to fourth place in terms of market capitalization. On the other hand, Dogecoin has shown impressive resilience by securing a spot within the top seven, dethroning USD Coin (USDC) for the first time since 2021. This dynamic duo’s journey is truly captivating as they continue to carve their unique paths in the ever-evolving cryptocurrency landscape.

Ethereum layer-2 solutions gain momentum

During the last quarter, there was a considerable expansion in Ethereum’s layer-2 network infrastructure. According to CoinGecko, the leading ten layer-2 solutions were handling an average of approximately 15 million daily transactions on average.

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In this scenario, Base was the primary driver, handling about half (48.3%) of all transactions. On the other hand, Taiko outpaced Arbitrum to claim the second spot as the busiest layer-2 network, experiencing a robust 85.5% growth from one quarter to the next, primarily due to the introduction of novel DeFi platforms.

Solana leads DEX trading

In the final three months of last year, Solana emerged as the leading blockchain platform for decentralized exchange transactions, handling more than a third of all trading activity.

In the span of trading volumes, Solana surpassed Ethereum with a whopping $219.2 billion, while Base saw an increase in popularity and claimed a significant 19% market share by the end of December.

In the meantime, it was Tron that demonstrated the most rapid growth among the leading blockchains, boosting its trading volume by a substantial 232.7% compared to the previous quarter.

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2025-01-15 17:22