- No new AI agents have been generated on Virtuals Protocol in a week, down from 1,000 daily in November.
- Virtuals Protocol’s revenue has dropped to $500 while the VIRTUAL token has fallen 90% from its $4.61 peak.
- Critics call AI agents “garbage” amid the drastic drop in demand.
Once hailed as a multibillion-dollar pioneer in the AI agent creation space, Virtuals Protocol now faces a stark reality as its daily revenue has dwindled to a mere $500, and its token price has plummeted 90% from its January peak.
Researchers and market analysts are sounding the alarm as the platform, which thrived in late 2024, hasn’t launched a new AI agent in roughly a week.
This dramatic decline signals a potential collapse for the once-booming crypto AI agents sector, leaving investors and builders questioning its future.
Viturals Protocol revenue and token price collapse
The descent of Virtuals Protocol began shortly after its token, VIRTUAL, soared to an all-time high of $4.61 on January 2, 2025.
At the time, the daily revenue topped $500,000.
That moment of triumph quickly faded as the platform’s earnings began a relentless slide, hitting rock bottom at under $500 by April 7, according to Blockworks researcher Sharples.
Probably one of the wildest crypto charts of the cycle. From peaking to over $500k in revenue in a single day to doing less than $500 today.
It’s been about a week since a new agent launched on Virtuals. pic.twitter.com/8lpjskntCI
— Sharples (@0xSharples) April 8, 2025
The VIRTUAL token followed suit, crashing to $0.42—a staggering 90% loss in value.
Notably, this freefall coincides with a broader crypto market downturn, exacerbated by global financial instability caused by US President Donald Trump’s escalating tariffs, which have sparked recession fears.
AI agents creation grinds to a halt
Virtuals Protocol once buzzed with activity, churning out over 1,000 new AI agents daily in late November 2024, according to Dune Analytics’s data.
That frenetic pace has since evaporated, with Sharples noting that no new agents have emerged in about a week as of April 8, 2025.
The current AI agents’ generation standstill marks a sharp contrast to the platform’s earlier promise of revolutionizing AI monetization.
Interestingly, even an expansion to the Solana blockchain on January 25 failed to reignite interest, suggesting deeper issues beyond mere market timing may be at play.
Criticism mounts as faith in AI agents wanes
Amid the drop in AI agents’ generation on Virtuals Protocol drops, skepticism about the utility of Virtuals’ AI agents is growing louder, with commentators like BitDuke dismissing them as outdated “ChatGPT wrappers” no longer captivating users.
AI enthusiast “DHH” echoed this sentiment on April 8, arguing that current AI agents fall short of replacing skilled professionals like programmers, despite optimism for future advancements.
I’m as AI positive as the next guy, but you’re delusional if you think any AI agent is full-on replacing a great programmer today. Who knows about tomorrow, but that day hasn’t arrived yet. https://t.co/vXjXZCPeLn
— DHH (@dhh) April 8, 2025
DeGen Capital’s Mardo also pointed to Virtuals’ business practices, such as withholding token taxes from builders, as a possible self-inflicted wound.
I believe it’s because of two things: 1) the market and 2) Virtuals not really working with its builder well. For example withholding token taxes that other platforms freely give back.
They said they’ll improve on #2. So we’ll see.
— Mardo (Miko) (@mikocryptonft) April 8, 2025
Meanwhile, Infinex founder Kain Warwick offered a glimmer of hope, suggesting that while today’s AI agents may be “garbage,” a resurgence could still lie ahead.
For now, Virtuals’ lifetime revenue of $39.1 million stands as a bittersweet testament to its faded glory.
Its token’s freefall and the halt in agent creation reflect not just a market correction but a broader questioning of the sector’s value proposition.
Whether Virtuals can reclaim its footing remains uncertain, but its current trajectory paints a grim picture of a dream deferred.
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