As the crypto industry matures, the limitations of Web3 are becoming apparent. We sat down with Anndy Lian, book author of Web4: The Age of Autonomous Intelligence to discuss the next evolution of the internet.
Book is ranked number 1 new release. Web4: The Age of Autonomous Intelligence by Anndy Lian https://www.amazon.com/Web4-Autonomous-Intelligence-Anndy-Lian-ebook/dp/B0H35597HS
Travladd: You have been in the crypto space for over fifteen years. Why do you believe Web3 has fallen short of its decentralized promises?
Anndy Lian: Web3 introduced programmable money and smart contracts, but it often lacks the cognitive layer to manage complex operations autonomously. Venture capital concentration and centralized governance bottlenecks have left the ecosystem with a significant intelligence gap. True decentralization remains compromised because the architecture simply cannot support fully autonomous, trustless workflows without an intelligent layer.
Travladd: How does Web4 solve this intelligence gap?
Anndy Lian: Web4 is a fundamental architectural realignment that fuses artificial intelligence with blockchain technology. It positions AI as the brain and blockchain as the spine. In this symbiotic relationship, AI agents execute complex tasks, navigate protocols, and automate workflows. The blockchain simultaneously provides the immutable foundation that ensures security, transparency, and cryptographic checks and balances.
Travladd: Can you break down the technical architecture of a Web4 network?
Anndy Lian: I view it through a four layer model. First is the Interface Layer, which translates human intent into complex multichain operations seamlessly. Second is the Agent Layer, the autonomous workforce where AI agents manage cross chain states and execute goals based on user constraints. Third is the Protocol Layer, providing programmable trust through AI enhanced smart contracts capable of rapid micro transactions. Finally, the Data Layer mandates decentralized storage networks and zero knowledge proof data structures. Without a decentralized data layer, true sovereignty is impossible.
Travladd: How does this decentralized vision intersect with global financial infrastructure and government policy?
Anndy Lian: Having advised governments on blockchain integration, I see a clear divergence. Many central banks are pushing retail Central Bank Digital Currencies, which I view as mechanisms of surveillance and control. Web4 offers the antithesis. It provides a privacy preserving, decentralized financial layer that empowers the individual. We must move beyond superficial narratives and build economic layers that genuinely protect user sovereignty, ensuring the next generation of digital assets serves as a foundation for global financial innovation rather than state overreach.
Travladd: How will this shift impact the human workforce?
Anndy Lian: The fear of AI replacing human jobs is largely misplaced. Instead of performing repetitive tasks, humans will evolve into the architects and handlers of AI agents. We will design the strategic parameters, fine tune the prompts, and oversee the ethical boundaries of these autonomous systems. AI will handle the execution while humans provide the vision.
Travladd: What is your ultimate vision for Web4?
Anndy Lian: Web4 represents the necessary maturation of the decentralized web. By marrying the cognitive capabilities of artificial intelligence with the immutable nature of blockchain technology, we can build an internet that is exponentially smarter and fundamentally fairer. The future belongs to the visionaries who refuse to compromise on decentralization, building systems where intelligence is autonomous, data remains strictly sovereign, and network power is truly distributed.
Final words
Anndy Lian: A critical pillar of the Web4 thesis is the decentralization of AI itself. Currently, the AI frontier is heavily monopolized by a few centralized entities controlling vast troves of data and computing power. This centralization poses a severe risk to digital sovereignty. Web4 advocates for distributed AI, where computing power, model training, and data governance are shared across the community. By decentralizing AI, we prevent single points of failure and ensure that autonomous intelligence remains a public good rather than a proprietary tool for surveillance or control.
Check out it out:
Web4: The Age of Autonomous Intelligence by Anndy Lian
Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.
Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.
An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.
At the Scaling Summit Singapore, a pivotal conversation unfolded on the Ethereum Stage, where builders, researchers, and visionaries gathered to confront one of the ecosystem’s most pressing dilemmas: How do we scale Ethereum without sacrificing its foundational ethos of decentralization? Moderated by Luca Donno, a researcher at L2Beat, the panel featuring Amir (Puffer Finance), Mike Massari (Redstone), Ian Wallis (Linea), and Anndy Lian (Intergovernmental Blockchain Advisor) delved into the tension between idealism and pragmatism in blockchain infrastructure.
The Centralization Conundrum
The discussion opened with a stark reality: while decentralization remains Ethereum’s “biggest asset,” market forces often incentivize centralization for speed and user experience. As Amir of Puffer Finance noted, “If you look at where biggest asset holders are now parking their assets… they’re trusting Ethereum for a reason.” He pointed to USDT and USDC 45% and nearly 100% of their supplies, respectively, reside on Ethereum precisely because of its trustless nature.
The path to mass adoption is rarely pure. Luca framed the dilemma: “We were very much in a situation in which decentralization was the most important thing… Now it’s not anymore. That is not the focus of institutions.” This shift demands a recalibration. Anndy Lian, speaking from a macroeconomic lens, admitted bluntly: “Most users, including VCs like myself, you know, we don’t really care [about decentralization]… we want to make money.” His candid remark underscored a broader truth user incentives today prioritize yield and UX over ideological purity.
But the panelists agreed: decentralization must remain the north star, even if the journey begins with centralized stepping stones. “It is okay to start slightly more centralized,” Amir argued, “but having decentralization on the roadmap as the main goal is the only way we can scale the entire blockchain to its full capacity.”
Anti-Slashing: Guardrails for a Risky Landscape
A key innovation discussed was anti-slashing a critical safeguard in the era of liquid staking tokens (LSTs). With LSTs now dominating Ethereum’s staking landscape, systemic risk looms large. As Luca observed, many protocols hold more LSTs than native ETH, creating concentration points that threaten network security.
Amir explained how Puffer Finance addresses this: “We didn’t stop at permissionless restaking. We launched bonded validators operators must stake their own capital. If slashing occurs, it’s their money on the line.” This “skin in the game” model, combined with hardware-based anti-slashing modules (like trusted execution environments, or TEEs), prevents malicious or accidental validator misbehavior. “These modules act like a Ledger wallet,” Amir said, “but even more restricted you can only sign permitted transactions.”
Mike Massari echoed the sentiment: “The moment you detach risk from the person managing the capital, you create systemic risk.” Anti-slashing, therefore, isn’t just technical it’s economic alignment.
Ian Wallis added context from Linea’s perspective, noting their plan for a “native yield” bridge that stakes ETH directly, reducing reliance on dominant LST providers like Lido. “We’re consulting closely with the Ethereum Foundation,” he said, emphasizing collaboration over competition in securing the ecosystem.
ZK: Promise, Peril, and Patience
The conversation then turned to zero-knowledge (ZK) technology the cornerstone of Ethereum’s scaling roadmap. While optimistic about ZK’s potential, the panelists acknowledged its immaturity. “ZK is still experimental,” Luca warned, citing recent bugs in foundational libraries like Circom and Halo2. “A multi-billion-dollar bug on Ethereum L1 could shatter trust in the entire paradigm.”
Amir, however, offered a solution in progress: “We’re researching 2FA for ZK running a full Ethereum client inside a TEE alongside the ZK prover. If outputs mismatch, you halt the transaction.” This dual-verification approach could catch bugs before they cascade.
Ian, whose team at Linea operates a ZK-EVM rollup, remained bullish: “Compare where we were five years ago to now we’re light years ahead. ZK improvements are coming quarterly.” He pointed to Swift’s recent partnership with Linea as validation: “If the kings of centralized finance see potential here, that’s an endorsement.”
Anndy Lian urged patience: “Give the technology time. The big boys are coming. Adoption will follow.”
Toward a Redistributed Future
Ultimately, the panel converged on a shared vision: Ethereum must evolve progressively. As Luca summarized, “We shouldn’t decentralize for decentralization’s sake but where user funds are at stake, decentralization equals security, and security equals good UX.”
The road ahead involves balancing short-term pragmatism with long-term principles. Whether through anti-slashing economics, ZK verifiability, or middleware that enforces decentralization standards, the goal remains clear: build infrastructure that can onboard trillions not just billions without compromising Ethereum’s soul.
As Amir put it: “If we want to bring repo markets or supply chains onchain, it has to be fully decentralized and secure. Hyperliquid won’t cut it for JP Morgan.”
In that spirit, the Scaling Summit didn’t just showcase technology it reaffirmed a covenant: scale with integrity, or don’t scale at all.
Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.
Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.
An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.
The broader discussion aligns with industry trends, where AI and blockchain convergence is becoming a focal point for developers and investors alike.
Where Should AI Live? CZ Fuels L1 vs. L2 Discussion
In a recent post on X (Twitter), CZ highlighted that the core purpose of such projects is not to develop a superior blockchain. Instead, it is to use blockchain technology to support AI economics.
He noted that while L1 provides greater sovereignty and decentralization, it also demands more effort in maintaining nodes and validators. In contrast, L2 networks offer convenience by leveraging existing ecosystems like Ethereum’s decentralized exchanges (DEXs), perpetual contracts, and tools without significant value leakage to the base layer.
“L1 vs L2…Does it matter if a new AI project is an L1 or an L2?… Is L1 cooler than L2 or the reverse? Old topic, but wondering if sentiment has changed or not,” CZ posed, welcoming conversation.
Crypto analyst Hitesh Malviya argues that L1 blockchain is the superior choice. The analyst advocates this network for projects seeking to establish their own consensus mechanisms, optimize performance, and reduce validator costs.
However, he also warns that despite extensive fundraising and user acquisition efforts, many L1 projects still experience retention drops of 70-90% after token generation events (TGE).
“…even if you retain users, you would only see one category or niche capturing the maximum traction onchain. So if the destination is already known—retention drop, higher user acquisition costs, and niche-specific demand capture—then why not build an app chain using an L2 stack,” Hitesh suggested.
Given these challenges, he suggests that building an AI-focused blockchain as an L2 app chain is a more practical approach. This would allow for faster development, marketing, and scalability.
AI & Blockchain: The Layer 1, Layer 2, and Layer 3 Debate
Investor and blockchain advisor Anndy Lian adds another dimension to the debate. In a subsequent comment on X, he argued that AI is most effectively deployed at Layer-3 (L3). He explains that while implementing AI on L1 is theoretically possible, it is impractical due to security and resource constraints.
“AI can be implemented on blockchain Layers 1, 2, or 3… In practice, Layer 3 is where AI is most effectively and frequently utilized, leveraging the blockchain’s strengths while accommodating AI’s computational needs,” Lian explained.
On L2, the blockchain advisor noted that AI can optimize scalability. However, AI is most frequently utilized in L3, enabling a diverse range of AI-powered applications while leveraging blockchain’s strengths.
Meanwhile, CZ discusses AI’s placement in the blockchain ecosystem amid growing interest in AI-integrated L2 networks. In June 2024, Binance Labs (now YZI Labs) invested in Zircuit, an AI-enhanced L2 network that utilizes zero-knowledge rollups to improve security.
This investment signals Binance’s strategic focus on AI-blockchain integration, potentially influencing CZ’s latest inquiry.
Ethereum co-founder Vitalik Buterin has also been actively discussing L1 and L2 scaling solutions. Last month, Buterin outlined a roadmap for scaling Ethereum’s L1 and L2 protocols in 2025. However, he also recently cautioned that certain L2 networks will likely fail due to weak economic models and poor execution.
These statements further fuel the debate on whether AI projects should build their sovereign chains or integrate with existing ecosystems.
Nevertheless, CZ’s timing in raising this question may suggest he is gauging market sentiment for a new AI blockchain initiative. Given Binance’s investment in AI-driven L2 solutions and the increasing interest in modular blockchain architectures, he could be testing the waters for future ventures.
The trade-offs between sovereignty, scalability, and accessibility will shape the future of AI-blockchain integration. This could make it essential for developers and investors to weigh their options carefully.
Anndy Lian is an early blockchain adopter and experienced serial entrepreneur who is known for his work in the government sector. He is a best selling book author- “NFT: From Zero to Hero” and “Blockchain Revolution 2030”.
Currently, he is appointed as the Chief Digital Advisor at Mongolia Productivity Organization, championing national digitization. Prior to his current appointments, he was the Chairman of BigONE Exchange, a global top 30 ranked crypto spot exchange and was also the Advisory Board Member for Hyundai DAC, the blockchain arm of South Korea’s largest car manufacturer Hyundai Motor Group. Lian played a pivotal role as the Blockchain Advisor for Asian Productivity Organisation (APO), an intergovernmental organization committed to improving productivity in the Asia-Pacific region.
An avid supporter of incubating start-ups, Anndy has also been a private investor for the past eight years. With a growth investment mindset, Anndy strategically demonstrates this in the companies he chooses to be involved with. He believes that what he is doing through blockchain technology currently will revolutionise and redefine traditional businesses. He also believes that the blockchain industry has to be “redecentralised”.
