The Integration of AI and Encryption Technology: The MCP Protocol Leads a New Paradigm

The Convergence of Two Waves of Technology

Recently, "AI+Crypto" has become a hot topic. From the emergence of ChatGPT to major AI companies launching multimodal large models, and then to blockchain projects attempting to integrate AI agents, this technological fusion is becoming a reality.

This trend stems from the complementarity of two major technological systems. Although AI has enhanced task execution and information processing capabilities, it still faces limitations in context understanding, incentive mechanisms, and so on. On the other hand, the on-chain data, incentive design, and governance framework provided by blockchain can just fill these gaps. Conversely, the blockchain industry also needs AI to handle repetitive tasks such as user behavior and risk management.

This deep integration has formed a new pattern of "mutual infrastructure". For example, in DeFi, there has emerged "AI market makers" that use AI models to model market fluctuations in real-time, achieving dynamic liquidity scheduling. In governance scenarios, AI-assisted "governance agents" can analyze proposals and predict voting tendencies, providing users with decision-making suggestions.

From a data perspective, the verifiability of on-chain behavioral data makes it an ideal training material for AI. Some projects have begun to incorporate on-chain behavior into the model fine-tuning process. At the same time, the incentive mechanisms of blockchain provide a more sustainable economic drive for AI systems, enabling AI agents to "participate in the economic system."

From a macro perspective, this trend may evolve into an "Agent-centric on-chain social structure": AI models not only execute contracts but also understand context, participate in governance, and establish their own micro-economies. This prospect has attracted a lot of capital attention, with everyone from venture capitalists to project parties laying out strategies in this field.

It is foreseeable that in the future Web3 world, AI agents will become indispensable system participants. This participation will evolve from simple API calls to a new form of "model as node" and "intention as contract". New protocols such as MC are building semantic and execution paradigms for this.

The integration of AI and blockchain is a connection of underlying technologies that will reshape the on-chain social structure. This is not a short-term hotspot, but rather a long-term structural evolution.

MC Protocol: Building a General Layer for AI Operations on the Chain

With the improvement of large models in context management, task decomposition, and other areas, as well as the technological advancements of blockchain itself, AI's continuous interaction and autonomous decision-making on the chain have become possible. Against this backdrop, the MCP protocol has emerged, aiming to establish a universal protocol layer for AI models to operate, execute, provide feedback, and generate revenue on the chain.

MCP is not an independent model or platform, but a full-chain semantic layer protocol that runs through AI invocation, context construction, intent understanding, on-chain execution, and incentive feedback. Its core design includes:

1. Model identity mechanism: Each model instance or agent has an independent on-chain address, capable of receiving assets, initiating transactions, and invoking contracts.

2. Context Collection and Semantic Interpretation: Abstracting on-chain states, off-chain data, and historical interactions, combined with natural language input, to provide an execution environment for the model.

3. Task decomposition and execution planning: Convert user intent into an executable sequence of on-chain operations.

4. Incentive and Feedback Mechanism: Executed through the token reward model, and collect execution results for continuous optimization.

Multiple projects have begun building prototype systems around MCP. Some platforms are attempting to deploy AI models as publicly callable on-chain agents, serving scenarios such as transaction strategy generation. Additionally, there are projects that have constructed a multi-agent collaboration system based on MCP, allowing multiple models to dynamically collaborate around the same task.

The proposal of MCP not only brings a new technological path but also presents an opportunity for the restructuring of the industrial framework. It opens up the "native AI economic layer," allowing models to become economic participants with accounts, credit, and earnings. This implies that in the future, roles such as DeFi market makers, DAO governance participants, and NFT curators may be played by AI.

MCP, as a fundamental semantic and execution interface protocol, has potential network effects and standardization premiums that are worth noting. It aims to address not only the technical issue of "how to put AI on the chain", but also the economic system issue of "how to incentivize AI to continuously create value on the chain".

AI Agent Reconstructs On-Chain Task Model

The MCP protocol enables AI models to possess on-chain identity, semantic understanding, and task execution capabilities, thus becoming proactive agents on the chain. This provides the possibility for AI to participate in building the Web3 economic system.

In the field of on-chain asset management, the AI Agent based on MC can automatically analyze data, generate strategies, and execute transactions based on user intent, reducing the operational threshold for ordinary users. In terms of on-chain identity and social interactions, AI can act as a "semantic agent" for users, participating in social DAOs, publishing content, and maintaining reputation. In governance and DAO management, the AI Agent can assist users in organizing proposals, recommending voting options, and alleviating information overload issues.

In addition, MCP provides a unified interface for AI in scenarios such as on-chain data curation, game interactions, and ZK proof generation. In blockchain games, AI can become the brain of NPCs; in the NFT ecosystem, AI can serve as a "semantic curator"; in the ZK field, AI can simplify the proof generation process.

What MCP is changing is the paradigm of task execution itself. Traditional Web3 tasks require users to grasp underlying knowledge, while MCP transforms it into an "intent expression" model. The interaction between users and the chain shifts from a code interface to a semantic interface, from function calls to intent orchestration. This transformation elevates AI from a "tool" to an "agent of action" and also transforms blockchain from a "protocol network" to an "interactive context".

Market Prospects and Industry Applications

The MCP protocol, as a cutting-edge innovation integrating AI and blockchain, brings new opportunities to multiple industries. In the financial sector, MCP can promote the deepening of the DeFi ecosystem through the "revenue rights" assets of AI models. In healthcare, MCP supports the application of AI in precision medicine, drug research and development, and provides a transparent data privacy protection scheme. In the Internet of Things sector, MCP offers a reliable incentive mechanism for AI models, promoting the development of smart homes and smart cities.

The MCP protocol will also promote the deep integration of the industrial chain and drive cross-industry resource integration. It provides a decentralized platform for AI training data sharing and algorithm optimization, helping to break data silos. The open-source and transparent characteristics of MCP will also drive technological innovation, enabling developers to collaborate in an open ecosystem.

From an investment perspective, the MCP protocol brings new opportunities to the capital market. Investors can directly purchase the rights to the earnings of AI models or participate in the MCP token economy. This will attract various types of capital into the market, promoting the popularization and commercialization of the MCP protocol.

In the future, with the enrichment of the MCP ecosystem, AI and encryption assets based on this protocol may become mainstream investment tools, and even develop into important global financial products, driving the formation of a new economic landscape.

The MCP protocol represents an important direction for the integration of AI and the encryption market, showcasing great potential in areas such as DeFi, data privacy, and smart contracts. It provides a decentralized and transparent operating platform for AI models, with the potential to reshape the digital asset economic ecosystem and provide new impetus for the global economic transformation.