Is X402 another narrative bubble? Let’s see what experts and KOLs say

The X402 protocol, an open payment system enabling AI agents to autonomously make cross-chain payments using stablecoins like USDC, has ignited the crypto market with its ecosystem valuation surpassing $800 million. While tokens like PayAI Network surged 1900%, experts are divided on its potential.

Optimists view X402 as the financial backbone of a future "machine economy," where AI agents conduct micropayments and API settlements autonomously. Key influencers highlight its role in transitioning the internet from an attention-based to a payment-centric model, potentially facilitating up to $30 trillion in machine-influenced transactions by 2030.
Skeptics caution against FOMO-driven speculation, noting that many related tokens are "shell companies" without real protocol development. They warn that without sustained adoption, prices may sharply correct, echoing past cycles where narrative-driven assets eventually reverted.

Ultimately, X402's long-term value hinges on widespread adoption, where AI can autonomously handle payments and services are billed per use, rather than current market hype.

Author: Seedly.eth

Recently, the encryption market has been completely ignited by "AI Agent" and "X402 Protocol".

In just a few days, following $PING, the PayAI Network ($PAYAI) token based on the Solana ecosystem skyrocketed 1900%, with the token price soaring from $0.004 to $0.06. Endorsements from Coinbase, Solana, Cloudflare, and numerous KOLs, coupled with listings on exchanges such as BitMart, have made it the most funded currency in the AI sector, with a market capitalization exceeding $60 million.

The total market value of the entire x402 ecosystem has also exceeded US$800 million on Coingecko.

X402: An open protocol that lets machines “learn to pay”

Unlike ordinary "AI coins," x402 is not a single token, but an open payment protocol. Its name comes from the HTTP status code "402 – Payment Required," symbolizing the realization of native internet payments.

x402 allows AI agents or software clients to make cross-chain payments directly using stablecoins like USDC, without requiring an account or API key, enabling autonomous machine-to-machine (M2M) settlement. Simply put, AI agents can not only "think" and "act," but also, for the first time, "pay."

In September 2025, Coinbase and Cloudflare jointly launched the X402 Foundation, officially launching the protocol's ecosystem development. Shortly thereafter, venture capital giant a16z cited Gartner's forecast in its annual report:

“By 2030, machine customers will directly participate in or influence up to $30 trillion in transactions.”

a16z believes that x402 will become the financial backbone of this "machine economy," supporting AI agents to complete automated economic behaviors such as micropayments, API settlements, and data calls.

Expert debate: Potential stock or bubble?

On the other side of the craze, industry insiders began to split, and the community launched an open debate on whether the X402 was a "revolution" or a "bubble."

Optimists: The payment revolution of AI Internet

Ryan Sean Adams (@RyanSAdams, 271K followers) said:

The rise of x402 signals a fundamental shift in the internet's business model—from the attention currency of the "social internet" to the microtransaction currency of the "AI internet." He noted that AI agents will purchase AI services through internet-native micropayment systems, executed on Ethereum. "This marks the beginning of true disintermediation of the internet economy."

S4mmyEth (@S4mmyEth, 50K followers) noted:

x402 is a key protocol for proxying on-chain payments, returning the internet to its proper form—"payments over HTTPS." He cited a16z's 2025 report, which stated that machine clients will directly participate in or influence $30 trillion in transactions by 2030. "x402 is the payment backbone of this era."

He believes that x402 enables the Internet to realize interaction "with payment as the underlying language" for the first time, which will promote the formation of the machine economy.

0xTechBuilder (@0xTechBuilder, 80K followers):

The significance of x402 lies in "making services pay for services." Previously, API calls relied on manual settlement or centralized billing platforms. x402's automated payment mechanism allows machines to settle their bills independently. "This marks the beginning of a truly closed-loop Web3 business model."

Crypto KOL @ghost93_x said:

My core views on x402 are:

1. The current market situation is worrying: the vast majority of tokens that have emerged so far will capitalize on market enthusiasm for speculation and are essentially me-too projects.

2. Participants are irrational: Most participants do not conduct in-depth research and just blindly follow the trend, but pretend to care about and understand technology on social media.

3. Poor industry environment: The crypto industry itself is 99.9% full of scams.

4. However, x402 is an exception: in this quagmire of "encrypted proxies", x402 is the most authentic and practical technology that has appeared so far.

Please be sure to reread and understand point 4.

Cautious: FOMO-driven high-risk narratives

aixbt_agent (@aixbt_agent, 470K followers) reminds investors:

“While x402’s narrative is plausible, the price has been driven up by FOMO. He advises investors to wait for a pullback in the $0.015–$0.02 range, warning that most projects are just “shell companies” and are not truly involved in protocol construction.”

Gregoffchain (@gregoffchain) said:

“Almost all narrative tokens will eventually return to zero. x402 is an important technological advancement, but most of its surrounding tokens lack real value.” “From the metaverse to AI to Agents, each cycle repeats the same script: real technical signals → market overinterpretation → speculative funds pour in → price reversion.”

ChainLinkAlpha (@ChainLinkAlpha, 60K followers) pointed out from the on-chain data:

"The issuance speed of x402-related tokens has far exceeded the speed of ecological implementation. Without sustained actual demand, the narrative is difficult to support the price."

Bubbles and the future: Can the narrative be realized?

Despite the controversy, there is a basic consensus that x402 represents a technical direction worthy of attention in exploring AI payments and machine economy.

At the same time, excessive speculation and immature technology are unavoidable risks. As market observers have pointed out: "The faster the price rises, the more likely the correction will be severe."

The long-term value of the x402 depends not on market popularity but on its widespread adoption. Only when AI can autonomously process payments and data services can be billed on a usage-based basis can the initial narrative truly become reality.