Virtuals Protocol, a platform for creating and owning AI agents, has experienced a significant surge in its native cryptocurrency, VIRTUAL, which has outperformed major cryptocurrencies with a 200% increase over the past month. This growth is attributed to increased interest from 'smart money' investors. However, the platform is simultaneously grappling with a substantial decline in revenue, down 97% from its peak, as demand for AI agents wanes.
Security concerns have also emerged, with a recent hack of the Virtuals Protocol Discord server and a critical bug discovered and fixed in an audited contract. Despite these challenges, the protocol remains relevant in the gaming sector, as evidenced by Ethereum game 'Illuvium' planning to integrate Virtuals Protocol AI agents for enhanced gameplay. These developments highlight the volatile nature of the cryptocurrency and AI sectors, underscoring the need for robust security and adaptability to shifting market demands.
The Rise and Challenges of VIRTUAL: A Deep Dive into Virtuals Protocol
October 10, 2025
1 min read
Virtuals Protocol, a platform for creating and owning AI agents, has experienced a significant surge in its native cryptocurrency, VIRTUAL, which has outperformed major cryptocurrencies with a 200% increase over the past month. This growth is attributed to increased interest from 'smart money' investors. However, the platform is simultaneously grappling with a substantial decline in revenue, down 97% from its peak, as demand for AI agents wanes.