> For the complete documentation index, see [llms.txt](https://whitepaper.virtuals.io/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://whitepaper.virtuals.io/about-virtuals-1/the-protocol/virtual-agents-as-programmable-decentralized-entities.md).

# VIRTUAL Agents as Programmable Decentralized Entities

<figure><img src="/files/M5N4QVlYiJrzn3ZdNn9l" alt=""><figcaption><p>Value flow of Agents Co-ownership</p></figcaption></figure>

Virtuals Protocol provides a blockchain-based framework for AI agents, enabling their programmability, interoperability, and decentralized governance. This approach allows developers and communities to engage with AI agents transparently, ensuring sustainable growth and innovation. The process works as follows:

1\. Minting and Tokenization: Every time a new AI agent is created, 1 billion tokens specific to that agent are minted.&#x20;

2\. Governance: Anyone who believes in the potential of the AI agent can buy these tokens, which serve as the agent’s governance tokens. Token holders can participate in key decisions about the agent’s development, behavior, and future upgrades, fostering a decentralized approach to AI management. <br>


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# Agent Instructions
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