Blockchain Overload Looms as AI Agents Flood Financial Markets

Avalanche Treasury Company CEO Bart Smith warned that the increasing use of artificial intelligence (AI) agents in financial markets could put blockchain blockspace to the ultimate stress test.

In an interview at the Avalanche Summit in New York, Smith stated 'block space is not infinite anymore' and emphasized the growing concern about the technical differences between various blockchain networks.

'If we hit any of the low-end expectations of what agentic activity is going to happen as AI gets into financial markets, all of that's going to be on blockchains too', Smith said, referring to the predicted use of AI trading agents in traditional markets by mid-2027.