Key Takeaways
- Galaxy Digital CEO Michael Novogratz predicts that artificial intelligence agents will soon drive the majority of stablecoin payments.
- Novogratz’s view is echoed by other industry leaders like Matthew Graham of Ryze Labs.
- According to DefiLlama, transaction volumes hit $3 trillion in August, a 92% increase from July.
AI could soon become the dominant driver of stablecoin payments, according to Galaxy Digital’s CEO Michael Novogratz, who has suggested that AI-powered agents may one day conduct routine purchases in digital dollars.
The comments come as the market for fiat-backed tokens continues to expand at pace, surging 92% in August over the month prior.
Stablecoins and AI Agents
Speaking at Goldman Sachs’ Asia Leaders Conference in Hong Kong, Novogratz outlined a scenario in which automated systems handle everyday spending, including groceries, and settle bills using stablecoins.
“In the not so distant future, the biggest user of stablecoins is going to be AI,” he said on Bloomberg TV.
“You’re going to pick up your phone and say buy my groceries and your grocery agent who knows what you like to eat knows if you’re on a diet, it’s gonna know which groceries to buy and from where,” he added.
Novogratz said they will not send a wire instruction, but instead a “digital currency over a crypto rail.”
The CEO stopped short of fixing a precise timeline, but said the shift could take place over the next one to five years.
“So sometime in the distant future, I don’t know if it’s one year or five years, you’re gonna see an explosion of stablecoin transactions,” said Novogratz on Bloomberg TV.
AI Agents on the Way
In a recent interview with Matthew Graham, Founder of Ryze Labs, he echoed the sentiment to CCN that AI agents will soon be making autonomous decisions and financial transactions.
“They are going to have to be making transactions, microtransactions, whatever it is… this is very naturally a crypto rail situation.”
Graham envisioned that AI agents will soon become deeply personal AI assistants.
He has even already named his digital twin, Marty.
“Marty, you know everything about me and once you know everything about me, you start to know about the people around me… Marty, what does mom like? Go order some Christmas gifts for mom.”
Stablecoins Surging
The AI agent comments come as the stablecoins have been dramatically surging.
Data compiled by DefiLlama shows that the sector’s overall value reached $284.6bn by early September, up from $267bn a month earlier.
Transaction activity processed in August also hit $3tn, a 92% jump on the previous month.
The lion’s share of that growth came from tether (USDT), which accounts for about 59% of the sector and now has a market capitalisation close to $168bn.
Circle’s USDC also recorded strong gains, adding nearly $8bn to reach a $72bn valuation, while newer entrants such as Ethena’s USDe have been gathering momentum, increasing supply by more than 40% over the month.
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Kurt Robson is a London-based reporter at CCN, specialising in the fast-moving worlds of crypto and emerging technology. He began his career covering local news in Cornwall after graduating from Falmouth University with First Class Honours in Journalism. There, he cut his teeth on everything from council meetings to missing swans.
He quickly rose through the ranks to become a frontline journalist at several of the UK’s leading national newspapers. Over the years, he has interviewed musicians and celebrities, reported from courtrooms and crime scenes, and secured multiple front-page exclusives.
Following the upheaval of the COVID-19 pandemic, Kurt shifted his focus to technology journalism—just ahead of the AI boom. With a natural curiosity and a trained eye for emerging trends, he has found a new rhythm in reporting on innovation.
At CCN, Kurt's work focuses on the cutting edge of crypto, blockchain, AI, and the evolving digital world. Drawing on his background in people-first reporting and his deep interest in disruptive tech, Kurt delivers stories that are insightful, entertaining, and human-centric.
