Starknet, a layer-2 blockchain on Ethereum, is set to introduce AI agents that can autonomously perform on-chain activities for users. These AI agents, developed by Giza, will be able to optimize yield and manage portfolios. Giza raised $3 million in a pre-seed round led by CoinFund in July 2023 and is leading the effort to bring AI to blockchains. According to Giza co-founder Renç Korzay, the AI agents will be deployed on Starknet by the end of June, with plans to expand to other chains in the future.
The AI agents will initially focus on yield aggregating, identifying the highest returns and depositing funds into various yield avenues. In subsequent releases, they will also serve as robo-advisors, determining the best portfolio allocation based on a user’s risk appetite. During the beta phase, Giza will audit and approve agent strategies to ensure security. The Giza Protocol will provide cryptographic and cryptoeconomic security, allowing agents to operate in a trust-minimized exchange between developers and users.
In addition to optimizing yields and managing portfolios, the AI agents will also provide liquidity on decentralized exchanges and make leveraged price bets. They will be able to predict price movements and adjust crypto holdings based on user-defined strategies. The yield-optimizing AI agents will be the first to be deployed, with other types of agents to follow.
The AI models developed by Giza utilize the Starknet programming language Cairo. They utilize Zero-Knowledge Scalable Transparent Argument of Knowledge and zero-knowledge proofs (ZK-proofs) created by StarkWare to verify complex computations while maintaining user privacy.
Giza co-founder Cem Dagdelen envisions the AI agents becoming the new application layer for Web3, abstracting away smart contract risks and complexities for users. The agents can also be utilized in highly regulated sectors to reduce oversight costs and validate outputs.
While the integration of AI into blockchains shows promise, caution is advised. Ethereum co-founder Vitalik Buterin has warned developers to tread carefully when adding AI to blockchains, emphasizing that AI should not be responsible for enforcing smart contract rules. However, Ava Labs founder Emin Gün Sirer believes that AI-backed smart contract coding is still several years away but could potentially onboard billions of new blockchain users when it becomes a reality.
Overall, the introduction of AI agents on Starknet is expected to enhance the efficiency and functionality of the blockchain, offering users automated and optimized on-chain activities.