Remember the L2 hype cycle back in 2022-2023?

The best plays were accumulating the leading DEXs, top money markets, solidly forks, LSTs, yield optimizers, and so on. Everyone was chasing emissions, farming airdrops, or pouring TVL into L2s like Blast for points.

It was chaos, but it worked (at least for a few months). Now, the same energy is back—but this time, the rules have completely changed.

The Agent Ecosystem is reshaping everything we thought we knew about markets, and the structure is completely different from what we’ve seen before.

1. There’s No VC Dominance

In the L2 days, token distributions always had the same formula:

• 15-30% for teams.
• 10-30% for VCs and KOLs.
• The rest for emissions or incentives.

Not here. In the agent ecosystem, tokens are 100% community-owned. Teams launch agent tokens, maybe snipe 5% for incentives, and let the market handle the rest.

What does this mean?

Everyone has equal opportunity to buy in. There’s no looming fear of VC unlocks or insider dumps. If you want exposure, you take the same market risk as everyone else.

What about OTC rounds for KOLs?

Some projects do offer discounted OTC deals, but they’re often:

• Strictly limited in size.
• Reserved for aligned partners like DAOs or influencers who actively support the ecosystem.

This isn’t the “VCs pump, retail gets dumped” model. It’s a fairer, leaner system that keeps the power in the hands of the community.

2. There’s No Forking Meta

Well at least not in the sense where it’s like in Defi, where everything from Uniswap to Liquity had dozens of forks with barely any innovation

Here, it’s all about fresh innovation. Instead of cloning existing projects, builders are launching entirely new agents and use cases at a pace that’s hard to keep up with.

Why? AI applications move faster:

• You don’t need months of audits.
• Most agents take weeks—not months—to launch.
• The space is filled with energy, experimentation, and creativity.

Every week, there’s something new to get excited about. As AI tech evolves, so does the Web3 AI Agent narrative.

3. A Whole New User Acquisition Funnel

In traditional DeFi, users had to:

• Find a project’s website.
• Spend time understanding the product.
• Maybe interact with it.

Agents flip the script. They put the product directly in front of users.

Take @aixbt_agent for example.

• It delivers alpha directly on CT, in real-time.
• Users see value immediately, get curious, and dive deeper.
• Eventually, they acquire tokens to fully unlock the product.

This funnel—engage first, transact later—is far more effective. As on-chain trading agents and DeFi agents gain traction, this model will dominate by 2025.

4. Highly Curated Ecosystems

Instead of thousands of fragmented L2s and dApps, we now have tight-knit ecosystems like:

• @virtuals_io (Base)
• @ai16zdao (Solana)
• @daosdotworld (Base)
• @daosdotfun (Solana)

Here’s what makes it different: builders aren’t lured in by grants or emissions. They come organically, drawn by:

• Fair launch tokenomics.
• Passionate communities.
• The chance to experiment and innovate in an exciting space.

This is what happens when you combine fair launches with constant innovation. Builders, investors, and communities work together to drive growth.

How to Position Yourself in This Agentic Cycle

This feels like the early days of L1s—except it moves at a much faster pace. Back in 2020-2021, many L1s hit peak valuations of $100BN+. The same potential exists here.

If you’re looking to position yourself, focus on these agentic L1s:

• $VIRTUAL
• $AI16Z
• $ZEREBRO
• $GRIFFAIN
• $BULLY
• $ARC

And don’t just chase what’s hot now. Look for:

• Undervalued plays that are just outside the current narrative.
• Teams that ship fast, tell great stories, and know how to build mindshare.

Do check out this guide here if you wanna learn more:

Welcome to the New Era

The agent ecosystem isn’t just the new L1. It’s a completely different market structure—faster, leaner, and more community-driven than anything we’ve seen before.

We’re heading into a cycle that could reshape how Web3 innovation works, and the ride to $100BN+ valuations is just getting started.

Welcome onboard mi amigos, we’re gonna have a fun ride

Disclaimer:

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