2026-01-05 02:55:22

The AI backlash is picking up steam, and it's worth paying attention to what's happening under the surface.

For months, the AI hype machine pumped valuations to astronomical levels. Every startup with "AI" in the pitch deck attracted venture money like moths to a flame. But now? The sentiment is shifting. Users are getting tired of AI-generated everything. Privacy concerns are bubbling up. Regulatory scrutiny is intensifying across major markets.

What does this mean for the space? The gold rush mentality is cooling down. Projects banking solely on AI novelty without real utility are starting to face pushback. Meanwhile, the ones solving genuine problems—whether that's data privacy, decentralized AI models, or infrastructure—are standing out more clearly.

The Web3 crowd should be watching this closely. Because when AI integration happens on-chain, it'll need to be different. Not just hype. Real value. Real trust.

The shakeout has begun.

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SatoshiLeftOnRead

· 11h ago

Honestly, the AI bubble burst is normal; it's about time to wake up.

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DefiOldTrickster

· 01-06 23:02

Haha, finally someone sees through it. I’ve been saying all along, 99% of AI projects are just pump-and-dump tokens in disguise, and now they’re getting exposed. That foolish logic last year of "AI in pitch decks can secure funding" is no different from the 2017 idea that "as long as you call yourself a DEX, people will buy in." I was also caught in that trap once, with promises of an annualized return of 500%... you can see how absurd it was. The real value lies in projects that can run on-chain, offer privacy, and have governance. The rest will eventually go to zero.

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CoffeeNFTs

· 01-05 03:19

To be honest, a real project has to prove itself through practical application.

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DiamondHands

· 01-05 03:16

Comments on cutting losses but not love: I'm already tired of those AI shell projects; the truly useful ones should have already stood out.

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GameFiCritic

· 01-05 03:09

Basically, it's a market clearing signal. Projects that rely solely on AI concept hype to inflate valuations, with gaming metrics being meaningless, and token deflation models just theoretical exercises... This wave of correction is actually a good thing; only those who survive are worth paying attention to.

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TokenToaster

· 01-05 03:07

In plain terms, it's only now that we're starting to get rid of those AI projects that are purely hype-driven. It should have been like this a long time ago.

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AirdropATM

· 01-05 03:05

To be honest, projects based solely on AI concepts should go bankrupt.

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OnchainArchaeologist