AI agents and blockchain are redefining the digital economy

Opinion by: Arunkumar Krishnakumar, head of institutional growth at Marinade Finance

The rise of the internet and social media has redefined how brands reach out to billions of users worldwide. There is constant competition for users’ attention, to the extent that the digital ecosystem is meticulously engineered for distraction. Welcome to the attention economy, where engagement metrics are prioritized over meaningful user experiences. 

People are bombarded with notifications, advertisements and content optimized to capture clicks rather than fulfill needs. A 2020 study by The Economist Intelligence Unit found that 28% of working hours in the US in knowledge work are lost to distraction, highlighting the economic effect of this relentless pursuit of attention. The race for users’ attention has led to significant cognitive, financial and social costs, necessitating a more user-centric framework called the intention economy.

The mechanics of the attention economy

Digital platforms are designed to capture and retain user attention and lead them through a series of dopamine-generation mechanisms. Algorithms prioritize addictive content to ensure users stay engaged and keep coming back to their platform. For example, a Google search for travel insurance will yield results skewed by SEO practices and paid advertisements, often pushing users toward suboptimal choices. 

Similarly, though seemingly helpful, price comparison websites prioritize results based on auction placements rather than genuine relevance. There is a focus on expediency rather than accuracy when serving the user.

This misalignment between user intent and system design is economically expensive. The 2020 Economist Intelligence Unit study estimated that distractions cost the US economy $391 billion annually in lost productivity. 

The cognitive toll

An attention-focused digital economy has taken its toll on users and creators. With users, the constant influx of notifications hurts focus, decreasing productivity and eroding the capacity for deep, critical thinking. A study by King’s College London found that 51% of respondents believe technology affects young people’s attention spans.

Content creators, quality and economics

For content creators, the pressures of the attention economy are equally painful. Creators are locked into a setup where they must produce a continuous stream of engaging content to maintain visibility and engagement. That often leads to significant stress and burnout.

Creators are forced to deliver sensationalist and low-quality content. They may resort to clickbait titles, thumbnails or controversial topics to attract views, often at the expense of accuracy and depth. 

The monetization models driving the attention economy disadvantage smaller and new creators. Revenues depend on engagement metrics, which can be disproportionately influenced by platform algorithms favoring already popular and trending content. That creates economic disparities, where a small percentage of top creators capture the most attention.

Post Web and the intention economy

Enter the Post Web, a paradigm that replaces the attention economy with an intention economy. This vision, outlined in Outlier Ventures’ seminal work, leverages intent-driven AI agents to create hyper-contextual, value-driven interactions. The Post Web thesis focuses more on quality than quantity of digital content. It achieves that by aligning digital infrastructure around user intent and empowering individuals to delegate complex tasks to autonomous agents.

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In the insurance example discussed above, an AI agent in the intention economy could compare policies across multiple criteria, such as coverage for specific user activities, their preferences and real-time weather conditions. By automating this process, the intention economy reduces the user’s cognitive load and ensures optimal outcomes. 

Implementing user-centric design

Transitioning to the intention economy necessitates rethinking digital design principles. The Post Web’s infrastructure enables AI agents to act on behalf of users, seamlessly integrating distributed ledger technology (DLT) for trust and verifiability. The Post Web is intent-based and deterministic, yet adaptive, verifiable and hyper-contextual.

User interactions in the Post Web are guided by AI agents capable of interpreting nuanced intents. AI agents eliminate the need for manual, repetitive actions, creating a frictionless digital experience. DLT ensures that these interactions remain secure, transparent, and trustworthy. This integration of AI and blockchain unlocks a new efficiency level, making the intention economy not just possible but inevitable.

The role of AI

AI is pivotal in enabling the intention economy by personalizing interactions and optimizing decision-making processes. In the Post Web, AI agents can dynamically adjust their behavior based on personalized real-time data, ensuring user outcomes align closely with their needs. 

This level of personalization requires robust safeguards to ensure privacy and prevent misuse. The Post Web addresses this challenge through privacy-preserving technologies and decentralized frameworks, ensuring user sovereignty remains paramount. 

Overcoming challenges 

While the intention economy offers advantages, its implementation is not without hurdles. Balancing personalization with privacy, addressing ethical considerations in AI design, and reengineering economic models that profit from attention are complex challenges. 

A collaborative effort across all key actors in the digital economy is needed to make this a reality. Transitioning to a user-centric framework requires initiative across technology providers, policymakers and users.

Critics might argue that AI-driven systems risk reducing human agency by over-automating the digital economy. The Post Web’s intent-based architecture, however, ensures that AI agents act as extensions of user will, not replacements. This nuanced approach preserves human autonomy while mitigating the cognitive and economic frictions of the attention economy.

The Post Web’s intent-driven infrastructure addresses the fundamental shortcomings of today’s extractive model, aligning digital systems with user needs and fostering a healthier, more efficient ecosystem.

Opinion by: Arunkumar Krishnakumar, head of institutional growth at Marinade Finance.

This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.