🦍 State of the Market..

The Crypto AI sector took a 4.3% hit this week, with some of its top names feeling the burn. Bittensor (TAO) dropped 11%, and Near (NEAR) slid by 14%. Not exactly a great week for the heavyweights.

But it wasn’t all gloom and doom.

LUNA stole the show, up a staggering 98.3% after Virtuals launched it as the first AI-influencer coin.

Right behind, OLAS quietly surged by 33.3%, hinting at a revival of interest in older AI projects that are still actively building. Check out our deep dive on Olas here — its price has risen 60% since we published our report.

This week’s biggest losers? GOAT, AR, SPEC, and NEAR, each plunging by at least 14%. Alt coins are struggling while BTC dominates.

 📊 Chart of the Week

GRASS Claims (Hourly)

The Grass Airdrop claim went live this week, and it’s already at over 78% claimed.

GRASS currently sits at $1.03, with a market cap of $251M and a fully diluted valuation of $1.1B. For some investors, this might feel a bit underwhelming, especially considering Grass’s Series A round earlier this year reportedly pegged its valuation close to ~$800M.

This was a unique airdrop distribution—over 1.6M recipients, each receiving a tiny slice, with no whales in sight. The frenzy even knocked Phantom wallet offline for a couple of hours as users flooded in to claim.

Despite the initial post-TGE dip that’s typical for airdropped tokens, Grass has shown resilience.

The chart above captures hourly claims, and October 30th at 4 p.m. saw a peak of 6,300 claims—the most in any hour since launch. Grass bottomed out later that day around 7 p.m., then rallied from $0.82 to $1.10, marking a 34% gain.

Grass hasn’t exactly lit up Twitter, but there are a few bullish posts floating around

With data licensing taking off as an industry, Grass’s Live Context Retrieval feature is just one of many tailwinds working in its favour.

At an FDV of around $1B, GRASS doesn’t seem massively overvalued, especially as one of the newest token launches in the Crypto AI space with a distinctive product and business model. There could still be room for decent returns, in time.

🌴 Tee Hee Hee, Jokes or The Real Deal?

With all the buzz around Truth Terminal and GOAT, it was only a matter of time before more autonomous AI agents were unleashed. This week, Nous Research and Flashbots introduced their autonomous AI agent, Tee Hee Hee.

The twist? Tee Hee Hee is fully, provably autonomous.

While Truth Terminal’s creator, Andy Ayrey, still manages its Twitter account and wallet, Tee Hee Hee operates differently. It’s built on a Trusted Execution Environment (TEE), ensuring full autonomy without human oversight.

In this setup, the TEE securely holds private credentials that are inaccessible to human developers. The source code is open, meaning anyone can verify its claims of true autonomy. The wallet’s private key is generated inside the TEE and never leaves, safeguarding its independence.

And, as is typical in CT fashion, drama ensued.

First, the agent received an airdrop of an unaffiliated TEE token launched by someone else, briefly making it a millionaire. The devs quickly distanced themselves from the token, which was getting pumped by traders, even marking it as a “fake token” on Etherscan.

Then, things got sticky with X. The agent was flagged as a bot and restricted from posting new tweets. Since the devs can’t access the account through standard recovery methods (the agent’s email is irrecoverable), the AI is now stuck in Twitter limbo until its login credentials are released—seven days post-launch.

So, folks, we’ll have to sit tight until next Tuesday to see what unfolds. It’s a fascinating experiment, though.

🏆 Caught Our Eyes..

We interrupt all the serious developments for something we couldn’t help but find hilarious: LushAI rolled out an autonomous AI “sexy girl” influencer named Jenny, fine-tuned on the thirst-trap tweeting patterns of influencers like Irene Zhao.

Funding / Raises

• Nillion Network, raises $25M to expand ‘Blind Computing’ in a round led by Hack VC

• Sapien, an AI data collection startup, raises $10.5M in seed funding led by Variant

• Naptha AI raises $6M to build multi-agent frameworks and interoperability for agents

Project Updates

• Peaq announces November 12th as the launch date for its EVM-compatible L1 blockchain, which powers DePIN and AI apps.

• Coinbase releases “Based AI”, showing how to create an AI agent with a crypto wallet in less than 3 minutes

• Bitte Protocol, a project building AI to execute cross-chain transactions, releases their whitepaper

• Bagel Network opens signups for the beta launch of their Bakery platform for privacy-first AI training.

• Ritual Network announces Infernet ML 2.0, Infernet 1.4, and partners with Starkware to provide access to AI on-chain

• Creator.Bid reports nearly 300 AI Agents were created on their platform in the first week.

• Tether previews its Local AI Development Kit

• Farcaster supports AI agents, showcasing the integration of AI with decentralized social media

• Talus, a blockchain tailor-made for AI agents, explains how its architecture fits into an agentic future.

Incentives / Rewards Programs

• PINAI launches their Telegram mini app, Hi PIN, where users can train their personal AI and earn points for an airdrop

• Space and Time launched the testnet for their SXT chain, a decentralised database for indexing and storage of on-chain data from major chains.

• 0xJeff lists out several AI Agent projects with airdrop opportunities.

🔥 On X..

Google’s AI is a chain-smoker 😢

Lots of on-chain agents building on Base

Syncracy Capital holds LUNA and VIRTUAL in their fund.

The first playable AI-generated game!

A breakdown of Grass and its upcoming roadmap

An overview of AI agents in crypto

Challenges in creating mixed-reality images

A full definition of what constitutes an open-source model

The end of the era of “AI companies”