Block, the financial technology company led by Jack Dorsey, has launched a new payment protocol named x402. The system is specifically engineered to allow AI agents to interact with the Bitcoin Lightning Network, a layer-two solution designed to make Bitcoin transactions faster and cheaper. By utilizing x402, AI agents can handle micro-payments automatically, which could theoretically allow them to pay for API access, data, or other digital services without human intervention.

This integration is part of a broader effort within the crypto industry to bridge the gap between artificial intelligence and decentralized finance. Proponents argue that because AI agents operate at high speeds and require constant connectivity, traditional banking systems are too slow and expensive for their needs. The Lightning Network is presented as a solution that provides the necessary speed and low transaction costs for these automated systems to function effectively. While the technology is currently in its early stages, Block’s move signals a strategic interest in positioning Bitcoin as the native currency of the internet-based AI economy. The company has not yet released specific data on adoption rates or the volume of transactions currently processed through this new protocol.