📖Introduction

From AI Agents to Decentralized Intelligent Finance: Unveiling the AI Town Experiment

In 2023, Stanford University and Google jointly published the paper “Generative Agents: Interactive Simulacra of Human Behavior”, presenting a visionary experiment known as the “AI Town.” This experiment simulated an autonomous virtual society where generative agents not only possessed memory, but could also independently learn, adapt to their environment, and engage in complex social interactions. These agents were capable of making autonomous decisions, establishing long-term behavioral patterns, and ultimately forming a stable social structure. The research team discovered that, without centralized control, the agents—through continuous interaction and learning—spontaneously developed a highly coordinated social dynamic, including resource sharing, mutual aid mechanisms, and long-term strategy optimization.

The AI Town experiment validated a crucial theory: intelligent collaboration among individuals can spontaneously construct decentralized autonomous systems. This mechanism offers an optimized model for managing complex economies. In this experiment, the agents were not merely acting as isolated individuals, but were able to form mutually beneficial patterns through data-driven decisions, reinforcement learning, and cooperative gameplay. This capability not only increased overall societal efficiency but also fostered a fairer and more stable incentive system.

This research has profound implications for the decentralized finance (DeFi) space. The current DeFi ecosystem is still largely dominated by short-term arbitrageurs, exacerbating cyclical volatility and often lacking governance mechanisms that protect long-term participants. As a result, protocol-level liquidity management faces major challenges. Traditional DeFi relies on passive market forces, whereas the collaborative intelligence mechanism revealed by the AI Town experiment suggests that economic system stability can be achieved through agent-driven collaboration and adaptive optimization. This means that DeFi should not only rely on supply and demand dynamics but should integrate intelligent collaboration mechanisms to build a more sustainable financial ecosystem.

Proof of Collaboration (PoC): The Cornerstone of Intelligent Financial Autonomy

Inspired by the AI Town experiment, KLK Sync Protocol introduces a new decentralized financial coordination mechanism—Proof of Collaboration (PoC). PoC is designed to break the traditional zero-sum game model in DeFi by shifting economic incentives away from short-term speculation and instead rewarding long-term contributors through collaborative engagement. By leveraging AI-powered oracles and adaptive incentive systems, PoC analyzes user behavior across the network—including interaction patterns, staking activity, and governance participation—and dynamically adjusts reward allocations based on these inputs.

Under the PoC model, KLK Sync Protocol ensures that an individual’s value is not determined solely by the quantity of assets staked, but by their long-term contributions, behavioral consistency, and degree of collaboration within the network. This mechanism ensures the long-term stability of the decentralized network while reducing the damaging effects of short-term arbitrage.

At its core, the philosophy of PoC is rooted in the key insight from the AI Town experiment: intelligent collaboration among individuals leads to more stable and efficient economic systems. Through the implementation of PoC, KLK Sync Protocol aims to evolve DeFi from a landscape dominated by volatility and short-termism into a truly intelligent, autonomous, and long-term stable economy—empowering long-termists with on-chain governance authority and ushering in a new era of smart governance in decentralized finance.