AgentFi: A New Paradigm for Stablecoin Yield

In the context of increasingly rich stablecoin yield strategies, but with user attention and execution efficiency being limited, AgentFi, as the next paradigm of "AI + DeFi" integration, provides DeFi users with an intelligent agent solution that does not require constant monitoring and automatically optimizes.

1. Classification and Comparison of DeFAI and AgentFi

DeFAI and AgentFi, while both in the "AI + DeFi" crossover field, have fundamentally different technological natures, product forms, and paradigm missions. AgentFi distinguishes itself from traditional DeFi or generalized DeFAI projects, with its core feature being: the AI Agent is the main executor and decision carrier, fully automated decision-making and closed-loop execution, rather than simply using AI as a decision support tool for data analysis and strategy enhancement.

DeFAI Category: Using AI to assist or enhance DeFi-related functions, such as strategy optimization, data analysis, investment advice, and other tool-based applications, AI models assist human decision-making. Such financial automation products rely on explicit user instructions and strategies, executing a "from instructions to operations" process.

AgentFi Category: Building a financial system with on-chain AI agents as the primary executors, agents can autonomously reason, make decisions, and complete transactions or governance operations. Users authorize the agent to act on their behalf, and the agent ( makes proactive decisions and executes them. Using the "from intent to outcome" paradigm, users only need to express their goals, and the system can formulate and execute the strategy.

Currently, the market is flooded with a large number of Agent launch platforms or trading markets. Compared to purely speculative AI Meme tokens that have no practical use, there are very few AgentFi projects that truly focus on the Crypto Native DeFi world. Through extensive online research and screening, and eliminating overly early or obviously air projects, we have made a simple classification and rating of the current AgentFi projects in the market.

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2. Optimization of stablecoin yields in AgentFi

The track of stablecoin yield optimization is not new in the DeFi world. From the earliest Yearn Finance)YFI( automated yield aggregator and Idle Finance's automated asset rebalancing and strategy composition platform, to Gauntlet, a professional DeFi risk modeling and protocol-level yield optimization platform aimed at institutions, these are all representative automated yield optimization projects prior to AgentFi.

The intelligent financial entity ) AgentFi ( has initially realized the vision of mutual assistance between Crypto and AI: that is, AI empowers users to better participate in the native Defi world of Crypto through on-chain information collection and decision-making capabilities, while utilizing the immutability of blockchain to retain transaction details in the form of on-chain logs, ensuring that logic is verifiable and actions are traceable. As a continuation of the stablecoin yield article, we focus on discussing the product under the AgentFi track that has uniquely received a five-star review and is the only entity in the "stablecoin yield optimization" category ------ ARMA.

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III. Vision and Paradigm Concept of the Giza Project

Giza is a blockchain infrastructure project focused on building "Verifiable AI Agents" and is dedicated to promoting Agent-native Finance), a new emerging paradigm. As one of the few project teams in the ZKML track, Giza differs from teams like Modulus Labs or EZKL, which lean towards theoretical research or infrastructure development, by placing greater emphasis on engineering and practicality. It is one of the earliest projects in the ZKML track to achieve a complete closed loop of "on-chain intelligent agents + verifiable execution + AI scheduling."

Giza has proposed a groundbreaking concept ------ Xenocognitive Finance (, which introduces AI agents ) as a new interface in decentralized finance to address the cognitive bottlenecks of human participants and reconstruct market intelligence and structure. The agents are not passive tools, but "cognitive representatives", possessing independent reasoning abilities and on-chain execution permissions. They enhance the overall market's information processing capability through a distributed agent network, allowing market intelligence to expand with the scale of participation instead of collapsing, and providing trustworthy results through zero-knowledge proofs ( ZK ). In short, Xenocognitive Finance ( is a paradigm that extends human cognitive abilities through autonomous intelligent agents, achieving "cognitive offload )" without sacrificing sovereignty in a non-custodial model, enabling efficient participation in decentralized finance without constant monitoring or automatic protocol switching.

The architecture of the Giza Protocol consists of the following three layers:

Semantic Abstraction Layer (: Bridging the semantic gap between AI and blockchain, helping AI to understand the blockchain world.

Decentralized Execution Layer): Provides a scalable, secure, and censorship-resistant agent execution environment.

Agent Authorization Layer(: Ensure that the agent operates in a non-custodial, secure, and controllable manner.

The agent execution process of Giza is completed through the collaboration of three core modules, divided into four key steps:

Request processing ) semantic abstraction layer (: The AI agent initiates an operation request through the MCP protocol ) such as "Deposit USDC into AAVE" (, the system will parse the natural language strategy into standardized on-chain operation instructions, while verifying the format, semantics, and permission boundaries to ensure that the request is legal and executable;

Protocol Interaction ) Decentralized Execution Layer (: Execution nodes call DeFi protocols ) such as lending and exchanging ( to complete actual operations based on instructions. The system dynamically optimizes the trading path, considering gas costs, slippage tolerance, and protocol liquidity. After task execution, results and task proofs are generated for subsequent verification.

Execute verification ) authorization layer + execution layer (: System checks whether the operation complies with the Session Key authorization range set by the user ) protocol type, amount, time (, multiple Attester nodes independently verify the operation, aggregation node ) Aggregator ( collects signatures to reach consensus, ensuring the results are secure and trustworthy;

Result feedback ) semantic abstraction layer (: The execution result is converted into structured semantic information ) such as changes in收益变化, asset distribution (, and returned to the AI agent system for subsequent strategy adjustments and automatic iterative decision-making.

In July 2023, Giza announced the completion of a $3 million Pre-Seed round of financing, led by CoinFund, with participation from StarkWare, TA Ventures, and Arrington Capital), founded by TechCrunch co-founder(. Angel investors include Rand Hindi and Julien Bouteloup. In May 2025, Giza completed a $2.2 million seed round of financing, led by Base Ecosystem Fund, with follow-on investments from CoinFund, Arrington Capital, Re7 Capital, and Contango Digital Assets. These two rounds of financing demonstrate the capital market's continued optimism towards Giza's vision in the "AI + DeFi" field.

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4. Representative Product ARMA: Stablecoin Yield Optimization Agent

ARMA) Autonomous Revenue Management Agent( is a stablecoin yield optimization smart agent launched by Giza, aimed at maximizing automated cross-protocol yield for users. It is currently deployed on the Base network and plans to expand to more Layer2 ecosystems, supporting mainstream lending protocols such as AAVE, Morpho, Compound, and Moonwell.

) 4.1 Overview of ARMA Working Mechanism

Smart Strategy Scheduling: Real-time analysis of stablecoin yields across various protocols ( APR ), transaction costs, and rebalancing timing, automatically executing optimal rebalancing operations.

APR Optimization System: Through the comprehensive optimization of interest rate comparison, cost assessment, and rebalancing logic, it ensures that each operation brings net gains; the actual annualized return can reach up to 2 times that of traditional static holdings.

Automatic Compound Interest Mechanism: Automatically receive and reinvest incentive tokens, converting rewards into original stablecoins; compounding frequency dynamically optimized based on position size and trading costs to enhance efficiency.

Smart exchange logic: supports dual currency operations with USDC and USDT, automatically and efficiently exchanges coins through integrated DEX when necessary, ensuring that users can always withdraw assets in the original currency, enhancing flexibility and experience.

( 4.2 Overview of ARMA Component Modules and Security Architecture

The Giza Agent architecture consists of six major modules: Smart Accounts ), Session Keys (, Agent Core ), Protocol Integration ###, Risk Module (, and Accounting Module ), which collaboratively build a secure, efficient, intelligent, and verifiable on-chain automation execution system.

At the same time, ARMA ensures the safety of user funds and operations through a three-layer protection mechanism:

Smart Account Security: Based on self-custodial smart accounts, users always maintain control over their assets, and Giza cannot access the private keys; the contracts are audited and support flexible permission management.

Access control mechanism: Fine-tune proxy permissions through Session Key, limited to specific protocols, operation types, and validity periods, to avoid the risk of full authorization.

Risk management system: only connect to prudently selected protocols, focusing on stable income scenarios; the entire trading process is traceable, ensuring operational transparency and auditability, enhancing the overall security of the system.

4.3 ARMA Fee Mechanism and Revenue Management

The fee and revenue mechanism of ARMA is centered on user-friendliness and transparency, covering three main aspects:

Fee Structure: Charged based on earnings, transparent and traceable, only a 10% success fee is charged on the actual generated earnings. This fee is settled in a lump sum when the user withdraws, and all fee calculation processes can be viewed in real-time through the dashboard.

Reward Management: Automatic Collection, Unified Distribution, ARMA agents will automatically collect and aggregate all rewards from various integrated DeFi protocols, and all rewards will be returned to the user along with the principal and earnings upon withdrawal without the need for manual operation.

Asset Management: ARMA does not charge any deposit or withdrawal fees. Regardless of how many protocols are involved in between or which tokens are involved, users will always withdraw funds in the original tokens deposited, ensuring convenience in fund recovery.

( 4.4 ARMA's integration with DeFi protocols and data performance

Through ARMA's official data dashboard, we can intuitively observe the continuous growth of its asset management scale and the number of smart agents within months of its launch. At the same time, the dashboard also shows the dynamic flow of assets among mainstream lending protocols such as Morpho, Aave, and Fluid. We believe that as ARMA integrates more DeFi protocols, the number of active agents increases, and the capital scale continues to expand, it will further strengthen its positive growth flywheel effect.

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5. Core Positioning and Incentive Mechanism of Token

The Giza official has just announced the complete details of the token economic model, and the TGE token issuance has become an important milestone worth paying attention to. $GIZA is the native asset of the Giza Smart Agency Network, featuring immediate utility, long-term value capture capability, and is designed with core principles of community-first, product-driven, and mechanism restraint.

Key points summary

Reasonable initial valuation: The initial FDV of TGE is $70M, which is significantly lower than similar AI projects and has considerable upside potential.

Zero unlock launch: No token unlock for the team and investors at TGE, avoiding early selling pressure and ensuring high consistency with the community.

Product has been launched: ARMA Smart Agent has managed over $30M in on-chain assets, and market demand is supported by real use cases.

The purpose of the token is clear: $GIZA is used for staking verification, permission control, protocol governance, and agent incentives, and is a core asset.

Incentives and Security Binding: Proxy nodes need to stake $GIZA, malicious behavior.