ai16z Falls 12.7% as Platform Officially Rebrands to ElizaOS

AI Agent sensation ai16z has rebranded to ElizaOS.

This rebrand was trailed by a more than 12% plunge in its native token.

ElizaOS team has other plans in the pipeline, some of which may be decided by the DAO.

ai16z, the first venture capital DAO led by AI agents, has seen its price drop by 12.7% to nearly $0.55 after rebranding to ElizaOS. The project’s leaders that they made this change to improve collaboration with established companies in the AI industry. This move aims to speed up the development of ElizaOS, a complete framework for creating and managing AI agents.

ai16z Rebranding Brings Lots of Benefits

ElizaOS is an open-source platform that improves AI agents and manages the Eliza agent development framework.

Despite the rebranding, the ai16z ticker for its associated token will remain the same. Community voting in a new Decentralized Autonomous Organization (DAO) voting module will decide future changes, including the possibility of new tokens.

Notably, the rebranding aims to encourage more collaboration and adoption, but it has faced challenges. The price of ai16z has fallen, partly due to competition from other AI projects. A major reason for this decline is the rising popularity and global focus on DeepSeek due to its innovations.

As of the time of writing, the ai16z price was trading for $0.5908, extending its 7-day losses to 53.6%. While this selloff reflects the general trend in the industry, it tests AI16Z’s resolve to weather strain from competitors.

Despite the setback, the project remains optimistic about its prospects. ElizaOS’s leadership believes that the rebranding will solidify the platform’s role in the AI ecosystem and increase its value proposition for developers, researchers, and industry leaders.

ai16z Team Prepares for Pump.fun-like Launchpad Debut

Recall that the AI agent protocol worked on adjusting its tokenomics while launching its Layer-1 blockchain. Though it is similarly named as the popular venture capital firm Andreessen Horowitz (a16z), they are not related.

Starting from Q1 2025, ai16z plans to launch a token launchpad similar to the embattled . The development team looks forward to making it the central hub for deploying AI projects based on the Eliza framework. Also, it intends to make its native token the base currency for agent-to-agent interactions.

Like existing launchpads, the ai16z solution would see the implementation of mechanisms that capture value. This includes launch fees, ai16z token staking for access, and strategic liquidity pool pairings. Meanwhile, the document shared with contributors details the push to debut an L1 blockchain as part of its roadmap.

AI Agents: The Next Big Crypto Trend

The previous rise of AI16Z coincided with a broader market trend favoring AI agent tokens over traditional meme coins.

Analysts predict this momentum will continue through 2025, driven by these tokens’ utility and innovations. Dragonfly Capital’s Haseeb Qureshi recently that this shift represents a migration from “financial nihilism to financial over-optimism”.

However, experts also urge caution. Qureshi predicts that AI’s novelty and craze may diminish in 2026 as advanced applications saturate the market. Similarly, Decentralized AI Society co-founder Michael Casey warned of centralization risks in AI development in December, advocating for decentralized frameworks to avoid potential pitfalls.