What is Virtuals Protocol?

by Team Luno
· 2 minute read

Virtuals Protocol, or Virtuals, is a cryptocurrency network where people can create a society of productive AI agents, each with their own on-chain wallet, that can generate services or products, and autonomously engage in on-chain commerce with humans or other agents inside the Virtuals Protocol. 

So, think of Virtuals Protocol as a launchpad and infrastructure for these AI agents that can operate independently in digital environments.

Key features

AI agent creation: Users can build AI agents capable of text, speech, and 3D animation by simply describing the character and behaviour they want.

Tokenisation: Each AI agent is represented by an ERC-20 token paired with VIRTUAL, the native cryptocurrency, in locked liquidity pools, enabling co-ownership and revenue generation.

Autonomous operations: AI agents can manage their own on-chain wallets, execute transactions, and provide services across platforms like games, social media, Roblox, and Telegram.

Who created Virtuals Protocol?

Virtuals was launched in October 2024 by Jansen Teng and Wee Kee Tiew, supported by a team with experience in AI and crypto. The project is guided by a decentralised governance model, where investors can vote on updates, new features, and other ecosystem decisions.

What is the native cryptocurrency of Virtuals Protocol?

VIRTUAL is the main currency of the Virtuals network. It’s the cryptocurrency that activity on the network is priced and settled in.

However, there’s another layer. Each AI agent on Virtuals also has its own token. These agent tokens represent an ownership stake in that specific AI agent, an AI-generated singer, for example.

When someone creates a new agent, they use VIRTUAL to do it. The agent’s token is then made available for others to buy. Once enough VIRTUAL has been committed, the agent token is paired with VIRTUAL so people can trade between the two. In practice, this means that anyone who wants to buy an agent token first needs VIRTUAL.

When users pay to use an AI agent’s services or features, those payments are made in VIRTUAL. That value can flow back to holders of the agent’s token, linking the agent’s success to its investors.

Why does Virtuals Protocol matter?

Virtuals aims to create a new type of digital economy. Instead of AI tools being controlled by a single entity, anyone can launch AI agents, interact with them, and share in their potential earnings. This opens the door to a crowdsourced AI ecosystem where ownership, activity, and value are transparent and accessible.

Useful links


* Investing in cryptocurrency may result in the loss of capital. This information is not intended to be nor does it constitute financial, tax, legal, investment or other advice; nor is it a call to trade. The information is intended as general market commentary for information purposes only. Before making any decision or taking any action regarding your finances, you should consult a qualified Financial Advisor.

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