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# The AI Agent Can Act On-Chain. Who Defines Its Authority?

**[Coins Bench](https://daily.dev/sources/coinsbench)** · 8 min read · 0 upvotes · 0 comments

## Summary

When an AI agent can submit state-changing blockchain transactions without per-action human approval, the critical question shifts from capability to authority. The post argues that DAO governance provides the right framework for defining, enforcing, and revoking agent permissions when multiple parties share economic risk. It outlines a minimal authorization layer composed of four elements: explicit machine-readable permission scopes ratified by governance, hard contract-enforced limits that reject out-of-scope actions, fast-path multisig revocation bypassing governance timelocks, and a public on-chain authorization record with action logs. Real-world asset (RWA) tokenization exposes the boundary clearly — a DAO can govern on-chain exposure but cannot control off-chain issuer redemption. Existing standards (ERC-4337, EIP-7702, ERC-7579, ERC-8004) provide infrastructure pieces but no complete mandate. Major protocols like Aave, Arbitrum, and Uniswap have governance machinery that could be extended, but none currently publish a complete agent authorization process. The authorization record can prove what was permitted and logged, but cannot validate oracle integrity, custodian reserves, or legal compliance.

## Full article

daily.dev links to this article rather than hosting it. Read it at the original source: <https://coinsbench.com/the-ai-agent-can-act-on-chain-who-defines-its-authority-81c5a4218d47>

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Tags: [#ai-agents](https://daily.dev/tags/ai-agents), [#blockchain](https://daily.dev/tags/blockchain), [#smart-contracts](https://daily.dev/tags/smart-contracts), [#defi](https://daily.dev/tags/defi)

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