📊 Data Bottlenecks Replace Compute Limits

The real competition in decentralized AI isn't between individual layers - it's between **coherent systems** that connect everything together. **Morpheus stands out** as one of the few projects attempting to integrate: - Infrastructure - Data processing - AI inference - Development tools - Autonomous agents This **integrated approach** creates a complete value loop rather than fragmented components. While most projects focus on single layers, Morpheus aims to build a unified ecosystem where all parts work together seamlessly. The project combines decentralized compute and storage infrastructure with Smart Agents that can execute contracts on users' behalf, potentially making Web3 accessible to mainstream users through AI interfaces.

**Morpheus is preparing for major scaling** by migrating from Arbitrum to Base L2, streamlining its decentralized AI protocol. **Key developments this week:** - 70+ commits shipped across the ecosystem - Dashboard V2 launched with faster multi-network sync - Marketplace API improved for better performance - Smart contracts integrated with Base L2 **The migration positions Morpheus** where AI growth is accelerating, making the protocol faster and more scalable. This move represents a **strategic shift** for the peer-to-peer AI network that enables Smart Agents to execute contracts on behalf of users. [Read full details](https://x.com/MorpheusAIs/status/1999177444792893618?s=20)

**MOR token emissions face major changes after 2040** when Epoch 1 ends and scheduled emissions stop. **Key Changes:** - Tail emissions begin at 50% of next epoch's allocation - Distribution spreads evenly over 5,833 days - Pattern repeats indefinitely to maintain incentives **Current Supply Metrics:** - 194,000+ MOR tokens locked - ~400,000 MOR removed from circulation - Supply tightening creates scarcity **Impact:** The predictable emission floor combined with reduced supply aims to build a sustainable long-term token economy. As scheduled emissions end, the tail emission model ensures continued network incentives while maintaining scarcity.

**The AI landscape is undergoing a fundamental transformation** according to Messari's latest State of AI report. **Key shift identified:** - The frontier has moved away from training massive models - Focus now on building **autonomous systems** that execute real workflows - Emphasis on practical AI agents over raw computational power This trend aligns with broader industry observations about AI entering a new phase centered on **autonomy and infrastructure** rather than simply scaling model size. The report highlights how AI development priorities are evolving to support systems that can independently handle complex tasks and workflows.