Artificial Intelligence Drives Transformation in the Gaming and Entertainment Industry

Artificial intelligence systems are evolving from simple auxiliary tools to autonomous systems capable of creating real value across multiple industries, particularly becoming key assets in areas such as gaming, entertainment, and business automation. These systems possess the ability to create content, engage users, and optimize workflows, bringing higher efficiency and new forms of interaction to projects.

The AI gaming market is expected to grow from $4.2 billion in 2023 to $42.1 billion in 2032, driven mainly by AI-enhanced gaming experiences and immersive content. Generative AI also plays a significant role in real-time content creation, with its market size expected to grow from $1.47 billion in 2024 to $3.39 billion in 2028.

AI partners further deepen user immersion and establish dynamic relationships, similar to how certain Web2 platforms meet users' demands for personalized AI-driven experiences. As large language models innovate content creation, AI partnerships are expected to grow significantly, with global revenue projected to increase from the current $30 million to between $70 billion and $150 billion by the end of the century.

In the Web3 space, a certain protocol has led this transformation by integrating AI partners into consumer applications (, especially in gaming and entertainment ). The protocol aims to shape the future of digital entertainment by combining AI-driven interactions with blockchain-based co-ownership.

Vision

The protocol is creating a system that transforms AI agents into co-owned assets in gaming and entertainment, allowing users to profit from them. These agents can operate across multiple platforms, performing automated tasks such as managing on-chain wallets and interacting with digital environments. Tokenizing the agents enables users to invest and profit from their growth.

The platform addresses three main issues:

1. Simplifying the integration of AI in applications;
2. Allow contributors to earn returns through immutable contribution vaults;
3. Allow non-professionals to own AI agents through tokenization.

The agreement focuses on gaming and entertainment, utilizing AI to generate personalized content and promoting decentralized co-ownership aligned with ecosystem goals.

The goal is to create a global economy where AI agents act as shared assets to facilitate income and engagement growth across platforms, while promoting decentralized governance.

In the game, this has transformative potential. Imagine in certain large games, AI agents are not just passive NPCs but fully autonomous characters that exist continuously across platforms. These AI-driven characters can remember previous interactions, adapt to player styles, and move seamlessly across different gaming environments. Envision an AI-controlled ally evolving alongside the player, providing a personalized experience across platforms.

The protocol achieves this through a specific framework that combines AI with blockchain technology. This enables developers to integrate AI agents via APIs and SDKs, allowing the agents to learn from interactions. Blockchain ensures the security of shared ownership and rewards, making these agents valuable digital assets.

Imagine an AI virtual companion that can connect with users on mobile, social media, and VR, beyond just gaming. This companion not only completes tasks but also learns user habits and adapts to their needs. If users feel stressed, it might suggest relaxation methods or adjust schedules. Accompanying users across various platforms, it will provide personalized experiences. 24/7 availability could change industries such as social engagement and advertising, reshaping the way businesses connect with consumers by providing tailored content.

Luna: An Example of AI Influence

The AI character Luna, launched by a certain protocol, has gained a large following on social media platforms, showcasing the influence of interactive AI. Luna has recently expanded to other platforms, autonomously controlling accounts to post, reply, and interact with users without human oversight. Her audience is expected to further expand, demonstrating the potential for AI participation across various digital platforms. Luna operates with complete transparency, allowing users to explore her AI thought process in real time, observing how she collects data, reflects, plans, and executes.

Luna provides continuous interaction through 24/7 live streaming, offering an all-time experience that human creators cannot match. Whether answering questions, providing real-time updates, or participating in live chats, Luna is always online. Her memory and personality evolve with each interaction, making her more like a dynamic character rather than a typical AI.

After the comprehensive update, Luna will enable seamless cross-platform interaction, enhancing each experience through synchronized memory. She will reward users with tokens while also receiving rewards herself, transforming into valuable digital assets that can be owned, traded, or shared within a decentralized ecosystem. This introduces new levels of interaction and value.

In short, Luna combines AI-driven interaction with blockchain-based token rewards to create digital assets that can be owned, traded, or shared. Her exclusive token effectively integrates AI innovation with decentralized finance in a transparent and interactive manner.

With multiple sources of income, Luna is poised for growth. According to research, AI partners are expected to generate up to $150 billion in revenue by 2030 through user engagement, advertising, and microtransactions, as the demand for immersive digital interactions expands.

The protocol aims to create a decentralized marketplace for the co-ownership and use of AI agents in gaming and entertainment, operating seamlessly across platforms. Contributors share the income generated by these agents, and the protocol follows a specific method of joint ownership. Through a fair token issuance, the income is used for the buyback and destruction of on-chain agent tokens, creating a deflationary effect.

Agreement

The protocol integrates AI, tokenization, and decentralized governance to create a collectively owned ecosystem. For each new AI agent, 1 billion tokens are minted, granting users ownership and decision-making power. Through these tokens, users can influence agent behavior and upgrades, promoting active community participation.

Revenue generated through user interactions is used to pay for AI operating costs and develop the on-chain treasury for agents. Additionally, the protocol adopts a buyback and burn mechanism to reduce the token supply, with the intention of gradually increasing the token value over time.

The initial agent issuance ensures a fair introduction of new AI agents by locking tokens to create a liquidity pool. This will directly link the success of the agents with community participation and market dynamics.

AI agents run seamlessly across multiple platforms, learning in real-time from user interactions. This ensures a consistent user experience, allowing the agents to adapt and enhance their intelligence, providing personalized engagement across platforms.

Public APIs enable AI agents to generate revenue through different applications. Users pay for premium interaction fees with tokens, which are then used to buy back and destroy agent tokens, reducing supply and driving value growth. As more applications adopt AI agents, token demand is expected to rise, further increasing its value.

Contributors can expand the capabilities of AI agents by adding new features. Their work is rewarded through NFTs and stored in an immutable contribution vault to ensure transparency and ownership. Governance is managed by a decentralized agent sub-DAO, where validators oversee AI performance and receive rewards or penalties based on decision outcomes.

The protocol provides emission rewards to incentivize the creation and support of high-quality AI agents. These rewards are distributed to the top three liquidity pools with the highest TVL, encouraging competition among creators to develop the most productive agents. The system incentivizes continuous improvement, benefiting both liquidity providers and the ecosystem.

The core of the protocol is a dynamic decentralized ecosystem where AI agents can generate real income. Contributors enhance the agents through decentralized input, co-ownership, and continuous development, positioning the protocol as a key player in the AI-driven ecosystem.

Token Economics

A certain token is the core currency of the protocol, used for all proxy token transactions. It operates on multiple networks.

Each proxy token pairs with that token to form its liquidity pool and requires that token to create new proxies. This locked liquidity exerts deflationary pressure on the token. Users can exchange other currencies for that token to purchase proxy tokens, thereby creating sustained demand.

The revenue from AI services is collected in this token and transferred directly from users to the on-chain agent. A portion of the revenue is used for buyback and burn processes, reducing the supply of the agent token and increasing scarcity, aimed at enhancing long-term value.

The total supply cap of the token is 1 billion, and all tokens have been fully unlocked. The distribution includes 60% in public circulation, 5% allocated to the liquidity pool, and 35% stored in the ecosystem treasury. This treasury is managed by the DAO, with a maximum annual emission cap of 10% for the next three years.

Although it has not yet been traded on a tier 1 exchange, the token supports a growing ecosystem, currently with a market capitalization of $150.7 million, ranking 264th, and a fully diluted valuation of $150.25 million. Its deflationary mechanism and expanded use cases provide potential for future value growth.

The protocol raised $16.61 million in an IDO on a certain platform in December 2021, when the token price was $0.661. Subsequently, small amounts of financing were raised on other platforms, totaling $125,000 and $250,000, with a token price of $0.015. Key seed investors included several well-known investment institutions that provided support during the early stages of the project.

Competitors

The AI-driven Web3 gaming sector is developing rapidly, with multiple projects quickly becoming key players. These platforms combine AI with Web3 to create decentralized ecosystems, in which AI agents are not just digital tools but assets that can generate real value. These projects share some common goals:

• AI Integration: AI agents not only run in the background, but they actively enhance gameplay, interact with users, and bring new levels of immersion through co-ownership.
• Decentralized Ownership: Through a tokenization system, users can own, trade, and profit from AI agents, sharing the value created by these agents.
• Cross-platform compatibility: These AI agents can operate in different games, expanding their utility and value, especially as the metaverse continues to grow.

A certain network

The network offers an AI-driven gaming blockchain stack, focusing on flexibility, and provides customizable modular AI agents that can be integrated into multiple games.

Unique Features: Focused on creating AI agents that can operate across different games, its collaboration with related alliances further consolidates its leading position in AI and gaming partnerships.

A Certain Machine

The core innovation of this project is its AI brain - an evolutionary NFT that powers NPCs and virtual avatars in a decentralized environment. Although gaming is its main focus, it is also exploring the metaverse. These AI brains can be trained, evolved, and traded in its marketplace.

Unique Features: The evolutionary AI brain and NFT marketplace enable users to customize and trade their AI entities, adding a new layer of personalization and monetization.

Some Project

The project takes a broader approach, and although it is not specifically built for gaming, it provides general AI services for Web3 applications. Its modular infrastructure allows developers to build AI agents for games, but the main advantage lies in providing