Phemex CEO Warns of AI's Negative Impact on Crypto Industry

Phemex CEO Federico Variola stated that AI poses a net negative impact on the crypto industry by diverting capital and empowering attackers to exploit protocols. He noted that these security pressures could lead to increased centralization. While acknowledging the utility of AI agents for portfolio management, he warned that rising AI-driven threats may reduce DeFi's appeal to retail users. The discussion follows recent security incidents, such as the $116 million Bitcoin (BTC) theft linked to a hardware wallet vulnerability.