Avalanche CEO warns AI agents could strain blockchain capacity

blockchain capacity — The CEO of the Avalanche Treasury has warned that the rise of AI agents could overwhelm the capacity of layer-1 blockchains, coinciding with a predicted shift in traditional finance to 24/5 trading.

John Smith stated that the current blockchain infrastructure may not be sufficient to handle the anticipated surge in demand. He specifically highlighted the potential strain from AI agents, which could consume significant blockspace as they operate autonomously.

This concern is linked to his expectation that traditional financial markets will transition to 24-hour trading, five days a week, by mid-2027. Such a move would dramatically increase transaction volume and settlement demands on underlying systems.

The comments underscore a growing industry focus on scalability and infrastructure readiness as blockchain technology intersects with both artificial intelligence and evolving global financial practices.