ValueGuard Token

ValueGuard Token (VGT) is an AI-driven on-chain token designed to protect users’ wealth against inflation by functioning like a decentralized investment fund. Each token represents a share in a diversified portfolio of real-world assets, including gold, silver, oil, and government bonds. Unlike stablecoins or other tokens that are pegged to fiat currencies or crypto assets, VGT’s value is determined by the net asset value of its underlying portfolio.

The system uses AI agents powered by a large language model to continuously analyze real-time market data from trusted oracles such as Pyth Network. One agent gathers up-to-date asset prices, while another agent uses an economic reasoning model to determine optimal portfolio weights and send updates to the smart contract. This ensures that the token dynamically tracks the value of its underlying assets and provides an on-chain hedge against inflation.

Users mint new tokens by depositing stablecoins into a vault, receiving VGT tokens proportional to the current portfolio value. A portion of the vault’s assets remains locked to maintain liquidity, while another portion can be used for protocol-managed yield strategies, with profits returned to the vault.

VGT is fully decentralized, transparent, and accessible to anyone, anywhere in the world. It combines the transparency of on-chain systems with the stability of real-world assets and the intelligence of AI-driven portfolio management. In essence, VGT provides a borderless, inflation-hedged financial instrument that acts like an investment fund, giving users a reliable and easy way to preserve their purchasing power on-chain

ValueGuard Token (VGT) is built as an AI-driven, on-chain token backed by a diversified basket of real-world assets. The core of the system is a smart contract that implements ERC-20 logic, handles minting and burning of tokens, and calculates the net asset value per token based on the underlying portfolio. Users deposit stablecoins into a vault contract to mint VGT tokens, which are proportional to the current portfolio value. A portion of the vault is kept locked to maintain liquidity, while another portion can be deployed in protocol-managed yield strategies, with profits returned to the vault.

AI agents handle the dynamic portfolio management built using fetch.ai's uAgent, Agentverse, and ASI:One LLM, and also SingularityNET's meTTa knowledge graphs. One agent retrieves real-time asset prices from the Pyth Network oracle, while another agent applies an economic reasoning knowledge graph to optimize the portfolio weights. The optimized weights are sent back to the smart contract, allowing it to update NAV and rebalance the virtual basket automatically. This hybrid on-chain/off-chain design minimizes gas costs while maintaining transparency and automation.

We built the project using Solidity for smart contracts and Hardhat and Ethers.js for development and testing, and React.js for the frontend.

Partner technologies like ASI One and Pyth Network were crucial. ASI One enabled us to implement AI-driven economic reasoning, while Pyth provided accurate, real-time market prices that make our inflation-hedged token truly reflective of the underlying assets.