{"id":71267,"date":"2026-04-17T04:14:15","date_gmt":"2026-04-17T04:14:15","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/why-ai-is-necessary-to-scale-decentralized-finance-interview-bitcoin-news\/"},"modified":"2026-04-17T04:14:15","modified_gmt":"2026-04-17T04:14:15","slug":"why-ai-is-necessary-to-scale-decentralized-finance-interview-bitcoin-news","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/why-ai-is-necessary-to-scale-decentralized-finance-interview-bitcoin-news\/","title":{"rendered":"Why AI Is Necessary to Scale Decentralized Finance \u2013 Interview Bitcoin News"},"content":{"rendered":"<p><b>(Originally posted on : Bitcoin News )<\/b><br \/>\n<\/p>\n<div>\n<p><strong>Key Takeaways:<\/strong><\/p>\n<ul>\n<li>AI agents like Coinfello automate <span>DeFi<\/span> tasks once reserved for hedge funds to manage 24\/7 market risks.<\/li>\n<li>Jacob C. warns that the \u201ctranslation layer\u201d must solve <span>oracle<\/span> and agency risks for <span>DeFi<\/span> to scale safely.<\/li>\n<li>By 2030, Jacob C. predicts <span>dapps<\/span> will decline as AI agents become the primary way to use <span>smart contracts<\/span>.<\/li>\n<\/ul>\n<h2>The Shift to Autonomous Finance<\/h2>\n<p>The shift from manual interaction to artificial intelligence (AI) agents in <a href=\"https:\/\/news.bitcoin.com\/unlocking-the-future-your-fun-guide-to-decentralized-finance-and-web3\/\">decentralized finance (DeFi)<\/a> represents the <a href=\"https:\/\/news.bitcoin.com\/ai-agents-enter-crypto-markets-with-support-from-exchanges-wallets-data-firms-and-more\/\">autopilot era of crypto<\/a>. In the past, <span>DeFi<\/span> required users to be glued to screens, monitoring <span>gas<\/span> fees, slippage, and <span>liquidation<\/span> risks. Today, autonomous agents are taking over the heavy lifting, providing continuous monitoring that was previously available only to institutional hedge funds.<\/p>\n<p>In some cases, agents can automatically pull <span>liquidity<\/span> out of a pool if they detect a rug pull pattern or if a <span>stablecoin<\/span> starts to de-peg. According to Jacob C., the co-founder and CEO of Coinfello, AI agents are also enhancing the way <span>DeFi<\/span> users interact with <span>smart contracts<\/span>.<\/p>\n<p>\u201cBefore AI agents, users were required to trust a centralized intermediary website (the <span>dapp<\/span>) which pointed at the <span>smart contract<\/span>,\u201d Jacob C. said. \u201cThey had to trust the website to honestly convey what a <span>smart contract<\/span> does, to legitimately point at the correct <span>smart contract<\/span>, and to not be hacked by a malicious third party.\u201d<\/p>\n<p>AI agents like Coinfello, Jacob C. argues, are eliminating this risk by interfacing directly with <span>smart contracts<\/span>, reading them, and explaining their risks to users. In other words, AI agents act as a <a href=\"https:\/\/news.bitcoin.com\/autonomous-ai-agents-are-using-crypto-at-scale-and-breaking-things-along-the-way\/\">translation layer<\/a> that could prove vital if <span>DeFi<\/span> is to scale to levels that seem impossible now.<\/p>\n<p>Nevertheless, while AI agents undeniably enhance efficiency and streamline complex workflows, they also expose systems to new vulnerabilities\u2014most notably <span>oracle<\/span> dependency, where external data sources can distort outcomes, and a subtle erosion of human agency, as decision-making authority shifts from individuals to algorithms. The Coinfello CEO concurs, warning that users still need to be able to verify or audit an agent before completely surrendering control or access to their funds.<\/p>\n<p>\u201cMost of the AI agents that we see on the market today require users to transfer funds into a wallet fully controlled by the AI agent, and to trust that the agent will not make mistakes or will not be malicious,\u201d the CEO said.<\/p>\n<p>bn_article_selector]<\/p>\n<p>To get around this problem, Jacob C. said his platform uses what he called \u201c <span>liquidity<\/span> sandboxing,\u201d a concept he says enables users to approve individual permissions to the AI agent that limit which tokens the agent can access. The Coinfello team believes this approach \u201ccreates guardrails that fundamentally solve the dangers of securely using AI agents.\u201d<\/p>\n<p>Regarding the prospects of <span>DeFi<\/span> in the age of AI agents, Jacob C. foresees these agents automating actions that a user otherwise would not have time to monitor, such as <a href=\"http:\/\/www.bitcoin.com\/get-started\/dollar-cost-averaging\/\" class=\"lar_link lar_link_outgoing\" target=\"_blank\" rel=\"noopener noreferrer\">dollar-cost averaging<\/a> or executing personally defined trading strategies. By 2030, he predicts <a href=\"http:\/\/www.bitcoin.com\/get-started\/what-is-a-dApp\/\" class=\"lar_link lar_link_outgoing\" target=\"_blank\" rel=\"noopener noreferrer\">decentralized applications<\/a> ( <a href=\"http:\/\/www.bitcoin.com\/get-started\/what-is-a-dApp\/\" class=\"lar_link lar_link_outgoing\" target=\"_blank\" rel=\"noopener noreferrer\">dApps<\/a>) will decline to the point where they are no longer the primary way people use <a href=\"http:\/\/www.bitcoin.com\/get-started\/what-is-a-smart-contract\/\" class=\"lar_link lar_link_outgoing\" target=\"_blank\" rel=\"noopener noreferrer\">smart contracts<\/a>.<\/p>\n<\/div>\n<p><a href=\"https:\/\/news.bitcoin.com\/the-translation-layer-why-ai-is-necessary-to-scale-decentralized-finance\/\">Source link <\/a><br \/>\n<br \/><\/p>\n","protected":false},"excerpt":{"rendered":"<p>(Originally posted on : Bitcoin News ) Key Takeaways: AI agents like Coinfello automate DeFi tasks once reserved for hedge funds to manage 24\/7 market risks. Jacob C. warns that the \u201ctranslation layer\u201d must solve oracle and agency risks for DeFi to scale safely. By 2030, Jacob C. predicts dapps will decline as AI agents [&hellip;]<\/p>\n","protected":false},"author":10,"featured_media":71268,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0},"categories":[32],"tags":[],"_links":{"self":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/71267"}],"collection":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/comments?post=71267"}],"version-history":[{"count":0,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/posts\/71267\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media\/71268"}],"wp:attachment":[{"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/media?parent=71267"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/categories?post=71267"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/crowdfundjunction.com\/blog\/wp-json\/wp\/v2\/tags?post=71267"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}