Giza Agents & Cognitive Ergonomics of Crypto
TBD
Aug 9, 2024
Cem Dagdelen
Co-Founder
In a post-tech-lash era, there is no shortage of critique on the problems of centralized platforms. High-profile exposes have pushed into popular consciousness the data extractivism at the core of their offering, rooted in advertising-dominated business models and now intensified by the AI race’s insatiable appetite for training data. It’s by now clear that this extractivism is an intrinsic rather than incidental feature, yet we all keep logging in anyway. Negative sentiment has picked up pace over the past decade, but so has the digitisation of both the public and private spheres.
This is because centralized platforms lure and lock in users through ease rather than ideology. They are to 21st-century digitization as consumer malls were to 20th-century urbanization. Both respond to a moment of societal upheaval by consolidating a complex array of choices into a single, navigable space, and both eat away at our own autonomy and decision-making capacity in the process. Convenience and engagement are prioritized over awareness and dignity.
Users operating within the inherent complexity of a networked information environment require a mechanism to convert complexity into clear and actionable paths forward. Centralized control achieves this, but it does so by consolidating data and deciding those paths in advance. In fact, it is precisely because centralized platforms have access to large swathes of data that they are able to offer personalized recommendations, targeted services, and automated interactions conducive to a plurality of users and use cases.
The ideology that animates decentralized alternatives to these platforms is a belief in integrity and self-sovereignty. However, for users to actually experience these values requires a fundamental shift in how we approach data processing and decision-making in networked environments.
The broad adoption of decentralized protocols depends on the introduction of comparable complexity reduction mechanisms that can parse the data distributed in a network without resorting to centralized aggregation and control.
Trust minimization is the only way to deliver these complexity-reducing mechanisms in an ownerless, publicly-owned protocol. At the same time, parsing raw data into actionable insight that reduces the user's cognitive load requires complex computation that exceeds the base capacities of most protocols. Reconciling trust minimization with complexity reduction therefore calls for the integration of verifiable algorithmic logic into decentralized networks. We call these assemblages of verifiable computation, trust-minimized interfaces, and complexity-reducing algorithms Agents.
Verifiable Agents are an ideal candidate to bridge the gap between decentralization’s ideals and its practical implementation. They present a non-extractive path to harness the power of networked information while preserving individual autonomy. Platforms absorb complexity on behalf of users, while Agents offer an interface by which they might navigate it themselves.
Decentralization Without Complexity Reduction
Today, opting into decentralization means opting into excessive complexity. Users of decentralized protocols retain full ownership of their data and digital assets, but in exchange are subject to an increased cognitive load absent the abstraction made possible by centralization. Without a centralized authority to delegate to, you need to be your own fraud detector, financial advisor, and technical support. Users gain autonomy, but it comes with a massive cognitive cost.
Decentralization without complexity reduction limits adoption to those willing to endure this trade-off. Broadly, this group can be split into ideologically motivated early adopters who put up with complexity due to their principled beliefs (amplifying the benefits of decentralization) and risk-motivated users who embrace it given the potential to extract value from volatility (discounting its costs).
It’s a well-trodden talking point that crypto’s suboptimal user experience presents an obstacle to adoption beyond these niches. What is less well theorised is how the constraints and costs encountered by individual users accumulate into protocol-wide cultures.
A high-complexity environment deters users not just because it is difficult to navigate, but because this difficulty creates information asymmetries that reward speculative and opportunistic behaviour. Knowledge is unevenly distributed, expertise is hoarded (alpha), and trust erodes. Over time, this dynamic ossifies into the general culture of the ecosystem. Zero-sum profit-seeking is normalised and incentivised, while coordination, collaboration, and parallel experimentation become prohibitively risky for wide sections of the public.
This process creates a self-reinforcing cycle: the environment becomes more opaque and the focus shifts further towards individual gain rather than collective benefit. This in turn exacerbates market volatility, further crowding out alternate use cases and narratives.
The challenge of interface design in decentralized systems, then, extends beyond simplifying individual user interactions; rather, it encompasses the emergent culture of the entire ecosystem. The current misalignment between the ideology of public goods that provides the raison d’etre of smart contract infrastructure and the prevalent user behaviour of maximizing private gain stems from the very cognitive overload induced by its high-complexity environment. Excessive complexity doesn't just deter users; it fundamentally alters the nature of participation. Without a means of managing this complexity, we can expect most protocols to tend toward a “dark forest” scenario of constant vigilance and predation.
Agents as a Decentralization-Native Complexity Interface
Verifiable Agents present a secure and transparent way to reduce complexity by embedding a layer of automated intelligence across the network. This new layer of automated intelligence not only reduces cognitive load, but expands the capabilities of decentralized applications as a whole by mediating smart contract functionality and user requirements.
They achieve this by continuously observing the network and implementing adaptive decision-making that accounts for both general conditions and individual preferences, serving as a stabilizing intermediary in a democratized cybernetic control layer between humans and smart contracts.
At the level of the individual user, Agents can substitute protocol interactions with user-centric actions while preserving autonomy. Unlike the algorithmic anticipation that sheperds users through centralized platforms, opt-in Agents enhance rather than supplant human agency.
At the protocol level, Agents enhance the system’s intelligence and adaptability. They continuously process and analyze complex onchain and offchain data, implementing machine learning models to enable sophisticated adaptive decision-making and the autonomous execution of self-regulating strategies.
As Agents make protocols more accessible, they attract a wider and more diverse user base. This increased adoption, in turn, generates more varied use cases and richer data, fueling further innovations in Agent capabilities and protocol functionalities. By making smart contracts more legible to users, Agents make the protocol more legible to itself, acting as a form of “cognitive glue” that promotes adaptive behaviour and paves the way for the next generation of smart-contract-based applications.
How will digital public goods persist under the acceleration pressures of artificial intelligence? AI is advancing quickly, while innovation in decentralized systems proceeds at an incremental rate that risks obsolescence. Without overcoming this evolutionary bottleneck, decentralized systems risk being outpaced and abandoned, becoming mere ideological ruins. Agentic applications present a path to not just keep pace with this acceleration but harness it within a framework that preserves the core values of decentralization—user autonomy, system resilience, and collective intelligence.