Real Vision analyst Jamie Coutts says that the layer-1 crypto sector could see a staggering rise in valuation driven by artificial intelligence (AI) technology.
Coutts says on the social media platform X that the total market value of all smart contract platforms could reach a 14-figure price tag in the next six years.
“By 2030, the combined market value of smart contract platforms, driven by the expanding use by AI agents could reach between $15 trillion and $25 trillion.”
The analyst shares an excerpt from his firm’s Pro-Crypto November 2023 report that suggests AI will increase the demand for on-chain verification and authentication services. The report also says that human-directed or autonomous AI agents could make use of smart contract platforms to exchange value, significantly increasing the growth rate.
“By incorporating an ‘AI growth factor’ starting in 2026, which adds 10% to the annual growth rate, we can begin to gauge this impact. Initially, the effect is modest, but by 2030, AI agents could comprise over 40% of total daily active users (DAU). This obviously creates some rather astronomical valuations for the blockchain assets, which will benefit from the transaction fees generated by an increasing number of AI agents.”
Coutts further says that even if the report’s prediction is partially correct, the combined market capitalization of smart contract platforms would still witness tremendous growth.
“Projections based on historical regressions will not hold indefinitely. The key point is that, directionally, network value increases exponentially as the network expands. Even if I am 25% correct on where this all goes, then it’s still a 4x to 5x from the current market cap levels.”
At time of writing, the total market cap of top layer-1 crypto projects is sitting at $1.88 trillion, according to CoinGecko.
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