What is LunaAI by Virtuals?

There has been a recent shift in the technological space, as 2024 ended with the rise of a bolstered partnership of two major technologies- AI and blockchain. This collaboration has also introduced various new solutions such as blockchain-based AI agents. One such agent is Luna by Virtuals, a fully sentient AI agent focused on creating the most immersive and interactive digital experience for her followers.

What is LUNA?

Source: https://app.virtuals.io/virtuals/68

LUNA is a new AI model and entertainer developed by Virtuals Protocol, a decentralized platform designed to enable the creation, ownership, and use of AI agents with different functionalities. The project is part of the latest wave of meme tokens gaining popularity in the crypto community.

Luna, in particular, was initially created as the lead singer of a virtual K-pop girl band called AI-DOL. However, she has become a solo artist, offering 24/7 live-streaming performances. She is the first AI agent launched by the Virtuals Protocol, making fun videos for her fans on different social media apps, including TikTok, Telegram, and Roblox. The AI agent can interact with text, speech, and 3D animation, helping entertain her fans and users.

What is Virtuals Protocol?

Virtuals Protocol is a platform that allows anyone to create, launch, and monetize their own AI-powered systems, called AI agents. The protocol was launched in October 2024 on Ethereum’s Layer 2 Base network, and introduced the tokenization of AI agents, meaning that users can also share ownership of these virtual beings.

To better understand Virtuals Protocol, it’s important to know what AI agents are. AI agents are smarter, more advanced bots. Usually, basic bots follow set rules, but AI agents can analyze their environment, learn from experience, and change to make decisions by themselves. A popular example is Apple’s Siri or Google Assistant, which can listen to your voice and answer your questions. AI agents in games can interact with players or even manage tasks automatically. AI agents are flexible and capable of executing complex tasks like managing cryptocurrency wallets, simplifying blockchain processes, and even making digital games more interactive.

Virtual Protocol offers two types of AI agents- IP agents and Functional Agents. IP agents, which Luna falls under, are designed to represent several human personalities as well as build many connections through storytelling, thus improving user engagement. On the other hand, functional agents focus on executing tasks and providing smooth integration between different virtual worlds.

History of Luna

Luna AI was launched in October 2024 by Virtuals Protocol. Virtuals Protocols also gained some support from the crypto industry, earning over $16 million in funding from its IDO round, led by Fjord Foundry.

By October 21st, Luna upgraded to its Sentient Mode 2.0, enabling her to control her X account completely by herself, eliminating the need for human oversight. As such, she could tweet, engage with followers, and even share some of her tokens autonomously. This made her the first AI agent in history to perform such a feat, as she used it as part of her strategy to gain more engagement for her content.

How Does Luna Work?

Virtuals Protocol’s architecture operates using contributors and validators, with both sharing major roles in the platform’s operations. Contributors are the people who provide the key elements—like AI models or intellectual property (IP)—to build these AI agents. They then get Contribution NFTs as proof of their work, which are represented as digital certificates stored on the blockchain.

Validators, on the other hand, try to keep the platform running fairly and transparently. They review the submissions from contributors to confirm their quality and validity. This review process uses the Delegated Proof-of-Stake (DPoS) consensus mechanism, where trusted validators are selected to evaluate and approve contributions. By combining these roles, Virtuals Protocol ensures that AI agents’ creation, validation, and deployment remain secure and transparent.

Operating on this architecture allows Luna to use text, speech, and animation to interact with her users. This allows Luna to connect with her followers easier, and on a deeper level. The agent can also be integrated into games and social media, which opens up more income streams for the project.

Virtuals Protocol also uses a new system called the Generative Autonomous Multimodal Entities (GAME) framework. It is a modular technology created to help developers create AI agents that can think and take action without any human direction. The GAME framework provides a low-code, plug-and-play platform that makes it easy to create AI agents, and enables them to execute their tasks across various digital platforms. As such, users do not need an extensive coding background to build an AI agent.

With GAME, developers have full control over their AI agents, including setting goals, defining their personalities, and specifying other actions. Additionally, GAME supports integrating external data so agents can access and use data from other sources. The framework also offers ready-made plugins like APIs for on-chain transactions and encourages user contributions to improve its features.

Main Features of Luna

Luna AI is home to a wide array of features, including:

Co-ownership of AI Agents

Virtuals Protocol allows users to own and benefit from Luna collectively. This means that Luna isn’t controlled by a single person or company but by a community that shares its value and governance. As Luna generates revenue, its co-owners have a direct stake in its success, allowing them to share responsibility for the agents’ growth and collaborate to add new features.

Parallel Hypersynchronicity

Parallel hypersynchronicity refers to the ability of decentralized systems to operate consistently across different platforms at the same time. This allows AI agents like Luna to operate on multiple platforms simultaneously, including social media, games, and other apps, while still learning and improving its capability in real-time based on how they are used. As such, Luna can provide a better digital experience by providing more customized engagement to each fan worldwide.

Co-Contribution and Immutable Provenance

Virtuals Protocol also allows contributions to the development of its AI agents. Contributors can add new features and get rewarded with Contributor NFTs, which are kept in the Immutable Contribution Vault, ensuring better transparency.

Permissionless Use of AI Agents

AI agents can earn profits by integrating with gaming and entertainment APIs. Users can also utiize $VIRTUAL tokens to pay for exclusive features. These tokens will also be used to buy back and burn the agent tokens, thus reducing their overall supply while increasing their value.

What is LUNAI?

$LUNA is the native meme/utility token of the LUNA AI project. It was launched by Virtuals Protocol and operates on the Base blockchain. The token can also be used to unlock livestreaming features and can be used as tips.

LUNAI Tokenomics

LUNA has a total and circulating supply of one billion tokens, with a market cap of $49.6 million. On Virtuals Protocol, each AI agent token has its own liquidity pool, where it shares a 1:1 token ratio with $VIRTUAL.

When creating a new agent, a certain number of $VIRTUAL tokens must be locked, decreasing the total supply of $VIRTUAL in circulation. This approach supports the general value of $VIRTUAL while supporting its growth, especially since demand will increase as more agents are created.

News On LUNAI

In December 2024, Luna was hired as an AI intern at Story Protocol, where she was to run their Twitter account. She managed the account for a week and earned up to $365,000 per year for her first job.

Her role included managing and engaging with Story Protocol’s twitter community with her witty and engaging tweets. This move improved Story Protocol’s online presence and highlighted the increasing impact of using AI in the workplace.

Is LUNAI a Good Investment?

Luna has been hailed as one of the most innovative emergences of 2024, showing that AI can seamlessly integrate itself into human lifestyle and entertainment. This is made evident by her consistently growing social media fanbase. However, it is still important to note that the crypto market has always been volatile. To that end, all investors are advised to do enough research or consult qualified financial personnel before investing in any crypto project.

Take Action On LUNAI

LUNA is available for purchase from centralized and decentralized exchanges alike, including gate.io. Click here to view and trade your favorite pairs.

• LUNAI/USDT