- Cardano integrates x402 and Masumi, enabling automated, verifiable payments between AI agents.
- Hoskinson hailed the upgrade as “very big for Cardano.”
- Ouroboros Leios moves into the engineering phase, boosting scalability goals.
Cardano has made a significant push into the AI Agent Economy with its latest network upgrade. The integration incorporates the x402 protocol, facilitated by the Masumi Network, creating a standardized way for AI agents to make automated, verifiable payments directly on the Cardano blockchain.
Founder Charles Hoskinson reacted enthusiastically, calling the development “very big for Cardano,” signaling its strategic importance for the network’s future utility..
x402 Integration: A New Economic Layer for AI Agents
The x402 protocol, originally developed by Coinbase and now part of Google’s Agent-Payment Protocol (AP2), brings a novel approach to digital payments.
Built around the HTTP 402 “Payment Required” status code, x402 enables automatic, verifiable payments via APIs, eliminating the need for registrations, emails, or complex authentication systems. This allows seamless and direct economic interaction between digital services and agents.
Related: Bitcoin to $250K? Hoskinson Highlights Regulation and Corporate Treasuries as Catalysts
Developer Patrick Tobler, founder of NMKR and the Masumi Network, showcased a proof-of-concept demo on the Cardano testnet, where x402 triggered on-chain actions, such as minting a meme coin, through a simple web payment flow.
The demo illustrated how AI agents could initiate verified on-chain payments using just ADA and the Cardano-pegged stablecoin USDM, without intermediaries or centralized oversight.
Ouroboros Leios and Institutional Expansion
Alongside x402, Input Output Global (IOG) confirmed that Ouroboros Leios, Cardano’s next-generation consensus protocol, has moved from research to active engineering.
Leios is designed to improve scalability and performance while maintaining the network’s security and decentralization principles.
ADA Price Analysis: Is $1 Surge Close?
On the daily chart, ADA continues to trade within a descending channel between $0.58 and $0.75. The price hovers near the mid-range at $0.666 as the Relative Strength Index (RSI) stands at 43.5, indicating mild bearish pressure. The Chaikin Money Flow (CMF) remains neutral at 0.06.
If buyers defend the $0.58 support and ADA breaks above the channel’s upper boundary near $0.75, the next upside target could be $0.85, a level that aligns with mid-August resistance.
However, failure to reclaim $0.66 convincingly may push ADA back toward $0.54, exposing further downside risk in the short term.
Related: Cardano Price Prediction: Can 2,100 Validators and $1M Outflows Push ADA Higher?
Disclaimer: The information presented in this article is for informational and educational purposes only. The article does not constitute financial advice or advice of any kind. Coin Edition is not responsible for any losses incurred as a result of the utilization of content, products, or services mentioned. Readers are advised to exercise caution before taking any action related to the company.
