What Is Virtuals Protocol (VIRTUAL) and How Does It Work?
Virtuals Protocol (VIRTUAL) is a decentralized blockchain protocol designed to let anyone create, own, and monetize autonomous
AI agents. These agents act as
on-chain digital entities that can interact with users, applications, and environments across Web3, ranging from gaming characters and virtual influencers to service bots and AI companions. By combining
AI with tokenized ownership, Virtuals Protocol turns digital characters into programmable, revenue-generating assets.
The protocol works through a tokenized AI-agent model. Users spend VIRTUAL tokens to launch new AI agents via an on-chain bonding curve. As demand for an agent grows, its associated Agent Token gains value. Once an agent reaches a predefined threshold, it “graduates,” triggering the creation of a dedicated liquidity pool where the Agent Token is paired with VIRTUAL. This structure enables transparent price discovery and shared ownership between creators, users, and the broader ecosystem.
Virtuals Protocol also features built-in revenue flows and governance. AI agents can charge fees for interactions or services, generating income that can be redistributed to token holders and the protocol through buybacks or incentives. Meanwhile, VIRTUAL holders can stake their tokens to participate in governance, vote on ecosystem decisions, and align long-term incentives, making Virtuals Protocol a core infrastructure layer for decentralized, AI-powered applications.
When Did Virtuals Protocol Launch?
Virtuals Protocol traces its origins back to 2021, when the team began building under the PathDAO banner. Founded by Jansen Teng and Wee Kee Tiew, the project pivoted toward decentralized AI infrastructure and rebranded in December 2023, when the VIRTUAL token was officially introduced. The protocol formally launched as Virtuals Protocol in October 2024 on
Base,
Ethereum’s Layer-2 network, positioning itself as an on-chain platform for creating and monetizing autonomous AI agents. From late 2024 through 2025, Virtuals Protocol saw rapid ecosystem growth, major exchange listings, and the rollout of new AI-agent products, cementing its role in the emerging AI-x-Web3 sector.
Virtuals Protocol Roadmap and Future Milestones
• Q4 2024: Mainnet launch and early ecosystem expansion
• 2025: Integration with major exchanges, rollout of new agent commerce features (ACP / x402), and launch of Unicorn launchpad.
• Ongoing: Cross-chain support growth like
Solana,
Ronin, governance evolution, and broader AI-agent adoption
• Future: Continued platform upgrades, broader dApp integrations, and enhanced revenue-sharing mechanisms for AI agents
What Is the VIRTUAL Token Utility?
The VIRTUAL token is the native utility and governance token of Virtuals Protocol, powering the creation, interaction, and monetization of AI agents on-chain. It’s used to pay for launching AI agents via bonding curves, provide liquidity paired with Agent Tokens, participate in governance via veVIRTUAL, and support ecosystem incentives like buybacks and rewards that align token holders with platform growth.
You can trade VIRTUAL on the
BingX spot market by searching for the
VIRTUAL/USDT or similar trading pair, placing a buy or sell order based on real-time price charts and order book data. BingX supports instant execution and deep liquidity, making it easy to enter or exit positions directly from your account dashboard.
What Is Virtuals Protocol Tokenomics?
Virtuals Protocol (VIRTUAL) has a fixed maximum supply of 1,000,000,000 tokens, meaning no new VIRTUAL will be created beyond this cap, helping prevent inflation and surprise dilution over time.
VIRTUAL Token Allocation
• Public Distribution: 60% or 600 million released into the market for trading and ecosystem participation.
• Ecosystem Treasury: 35% or 350 million reserved for growth initiatives, incentives, community funding, and governance-approved programs.
• Liquidity Pools: 5% or 50 million set aside to support market liquidity and reduce price volatility.
How to Earn VIRTUAL Tokens on Virtuals Protocol
Here’s how you can earn VIRTUAL tokens and rewards within the Virtuals Protocol ecosystem:
1. Staking VIRTUAL for veVIRTUAL Rewards
You can stake your VIRTUAL tokens to receive veVIRTUAL, the vote-escrowed version of the token. Staking not only gives you governance power but also earns you daily rewards and points used for priority access to airdrops and new launches. veVIRTUAL holders receive a share of the daily points distribution that can unlock further rewards and eligibility for exclusive ecosystem events.
2. Earning Virgen or Genesis Points
Virtuals Protocol uses a points system that tracks active participation and contribution. You earn points by:
- Staking VIRTUAL / veVIRTUAL (higher stake = more points),
- Trading AI agent tokens or participating in agent markets,
- “Yapping” or posting project-related content on social platforms like X (Twitter), which rewards points based on engagement.
These points can be used for priority access to Genesis Launches and token allocations, which in turn can reward you with new tokens from AI-agent projects.
3. Participation in Genesis Launches and Airdrops
By earning points through staking and active engagement, you gain access to Virtuals Protocol’s Genesis Launch events, where new AI agent tokens are launched. The more points you have, the higher your allocation and priority, potentially earning new token rewards or airdrops tied to those projects.
4. Trading and Engagement
Simple actions like trading VIRTUAL and AI agent tokens on supported markets also contribute to your point totals and ecosystem participation score. This helps you climb reward tiers and qualify for future incentives.
What Blockchain Network Does Virtuals Protocol Operate on?
Virtuals Protocol primarily operates on Base, an Ethereum Layer-2 blockchain built by Coinbase that uses optimistic rollups to deliver low fees and high throughput while remaining fully secured by Ethereum. Base serves as the core execution layer for Virtuals Protocol’s AI-agent economy, enabling efficient agent creation, token launches, and on-chain interactions. The protocol has also expanded toward a multi-chain strategy, with integrations across other networks to support broader adoption, scalability, and cross-ecosystem AI-agent deployment.
How to Store VIRTUAL Tokens Securely
The simplest and most convenient way to store VIRTUAL tokens is directly on BingX, where your assets are protected by enterprise-grade security systems, including multi-signature wallets, cold storage, and real-time risk monitoring. Storing VIRTUAL on BingX allows you to seamlessly trade on the spot market, manage your portfolio, and access liquidity without needing to move funds between external wallets, making it an ideal option for active traders and long-term holders alike.
For users who prefer self-custody, VIRTUAL tokens can also be stored in
Ethereum-compatible Web3 wallets such as
MetaMask,
Base App, or
hardware wallets like
Ledger, especially when interacting directly with the Virtuals Protocol ecosystem. While self-custody provides full control over your private keys, it also requires careful key management and security practices, including secure backups and protection against
phishing attempts.
Is Virtuals Protocol (VIRTUAL) a Good Investment?
Virtuals Protocol (VIRTUAL) stands out as a compelling investment thesis because it bridges blockchain and generative AI, enabling on-chain autonomous AI agents that can generate real economic activity and revenue. Its innovative tokenized agent model creates recurring demand for VIRTUAL tokens in agent creation, liquidity pairing, and governance, while its growing ecosystem, supported by major exchange listings, multi-chain expansion, and active community participation, enhances liquidity and adoption. Coupled with strong token utility, staking incentives, and a roadmap focused on scalable AI-driven use cases, VIRTUAL offers both fundamental utility and long-term growth potential in the rapidly expanding AI-Web3 sector.