ElizaOS founder Shaw has accused daos.fun founder baoskee of trading on non-public information during the ai16z project’s rebranding and migration process, alleging that baoskee made about $6.6 million by selling ai16z. According to Shaw, the project team had promised in June 2025 to launch a Snapshot vote so the community could decide whether to change the name, after a16z had asked the project to adopt a different name to avoid trademark disputes. Shaw said the voting mechanism was not launched as promised, and claimed baoskee sold all ai16z held in the daos.fun execution wallet after learning about the naming pressure and migration plans, then continued selling before the move to elizaOS, pushing the token price lower. baoskee rejected the allegations, saying the Snapshot vote had in fact gone live and that daos.fun had added and locked more than $1 million in ai16z liquidity at its own expense. He also accused Shaw of serious problems in project operations, token migration, and the use of development funds. Shaw said he would attach relevant Solscan on-chain records at the end of his post.

Project updates over the past week spanned restaking, token launch tooling, DAO governance, derivatives trading, legal disputes, token unlock visibility, Layer 2 upgrades, and shifting sector data. ether.fi removed all EigenLayer restaking exposure from weETH and is moving that function to a separate Symbiotic-based token, weETHs, with the remaining EigenLayer exposure already below 1% and expected to reach 0% in the third quarter of 2026. Uniswap rolled out Pools on Robinhood Chain as a launchpad for high-volatility meme tokens, offering Crowd Launch and Instant Launch formats, permanent liquidity and anti-sniping features; data from @Adam_Tehc showed $99.1 million in first-day volume, or about 54.2% of token launchpad volume on Robinhood Chain that day. Elsewhere, Lido DAO opened voting on its NEST automated buyback mechanism, Hyperliquid posted $218 billion in July perpetuals volume, and Shaw said ai16z would abandon its token, wind down the foundation and keep building open-source AI around Eliza. DeFi total value locked also turned up in July, rising 5.3% to about $73.8 billion after six straight monthly declines.

ElizaOS founder Shaw said the $ai16z token is "completely dead" and that the related foundation is gradually winding down operations, according to Foresight. The source article frames ai16z as one of the earliest high-profile crypto AI projects, arguing that it stood out not as a meme-driven asset but as a more technical and idea-heavy ecosystem token. It notes that the project’s founder had proposed, around October and November 2024, a base framework designed to serve the AI ecosystem — an idea the article describes as forward-looking, even if the label "operating system" was awkward. The piece also points out that Anthropic’s MCP framework was introduced in late November 2024, placing it later on the timeline. In the author’s view, ai16z eventually declined for commercial reasons rather than technical ones: it failed to establish a business model that could generate profit and cash flow, and it did not build a stronger team capable of pushing the project forward. The article contrasts that path with Virtual, which it says focused on business model, revenue, and cash flow from the start. The conclusion presented in the source is that long-term project value still comes back to commercial fundamentals.

Anthropic said it is building an internal silicon team to design custom AI chips for Claude as demand for the model rises, according to Business Insider. The company said it wants tighter hardware-model co-design so Claude can run faster and more efficiently at the scale customers need, while still relying on a multi-chip setup built around infrastructure from Amazon Web Services, Google, Nvidia, and AMD. Earlier reports had said Anthropic was also exploring its own chip efforts and had discussed potential manufacturing cooperation with Samsung Electronics. The broader crypto and AI news cycle also included several other developments. Eliza Labs founder Shaw Walters said the ai16z/ElizaOS token is effectively dead and that the related foundation will shut down after settling a class action brought by holders through Burwick Law. DeepSeek, meanwhile, has reportedly restarted its second fundraising round, seeking 50 billion yuan at a pre-money valuation of about 500 billion yuan, with signing planned for late August. On the market side, Arthur Hayes accumulated 11.74 million ENA over four days, while a wallet tied to Strategy moved another 1,030 BTC. Circle reported $701 million in Q2 revenue and reserve income, with USDC circulation up 19% year over year to $73.3 billion.

Eliza Labs founder Shaw Walters said the project’s native token is over and the Eliza Foundation is winding down after a class-action settlement drained its remaining resources. In a post on X on Tuesday, Walters said the case was settled with a group of token holders represented by Burwick Law because the project did not have enough money to keep fighting in court. He said the foundation’s remaining treasury and available cash were consumed by the settlement. Walters’ statement follows the rapid rise and decline of ai16z, the Solana-based AI agent project launched in October 2024 and later renamed ElizaOS after Andreessen Horowitz objected to the use of the ai16z name. The token at one point reached about $2.5 billion in market capitalization in January 2025. The lawsuit, filed in April in the U.S. District Court for the Southern District of New York, accused Eliza Labs of false advertising, deceptive business practices, negligent misrepresentation, and unjust enrichment. Walters said he is abandoning tokenization, though he added that development of ElizaOS will continue without a token.

Eliza Labs founder Shaw Walters said the ai16z token is "dead. Completely." after settling a class action brought by Burwick Law and handing over what he described as the rest of the project treasury and all remaining cash. In a post on X, Walters told holders there is no foundation, no buyback money, and no supply mechanism left to support the token’s price. He also said he no longer owns any ai16z tokens and plans to keep building ElizaOS software while starting over separately with the intellectual property. The lawsuit, filed on April 16, 2026 in the U.S. District Court for the Southern District of New York as Doe v. Walters, was brought on behalf of people who bought ai16z on Solana starting Oct. 24, 2024. Burwick Law said the complaint names nine defendants, including Walters, Eliza Labs, AI16Z DAO, and DAOs.fun, and includes claims tied to deceptive acts, false advertising, negligent misrepresentation, and unjust enrichment. The firm also alleged that "Marc AIndreessen" was only a facade and that a September 2025 token migration expanded supply from 1.1 billion to 11 billion, with 40% of newly created tokens routed to defendant-controlled entities.

A broader shakeout is moving through crypto as the market enters what BlockBeats described as the later stage of the bear cycle. On Aug. 5, ElizaOS founder Shaw Walters said the ai16z/ElizaOS token was “completely dead,” and that the related foundation would gradually wind down operations. The announcement added to a growing list of closures across the industry this year. According to the report, more than 60 well-known crypto projects in 2026 have either shut down or filed for bankruptcy, with the pace of exits picking up notably in late July. The list spans centralized trading platforms, public chains and Layer2 networks, DeFi protocols, wallets, NFT platforms, and DAO tools. Named examples include BitMEX, AscendEX, BitMart, Polygon zkEVM, Botanix, Sophon, Powerloom, MilkyWay, Radiant Capital, Step Finance, Ionic Protocol, Everclear, Secondfi, Ctrl Wallet, Leap Wallet, Foundation, Fishing Frenzy, Tally, and Zapper. BlockBeats said the main drivers were weak business models, cooling demand that pushed users and capital out of key sectors, and hacks that cut off funding. Unlike the leverage-driven collapses of 2022, this cycle is being defined more by projects running out of money and exiting in an orderly or forced way.

According to a report from ChainCatcher, Shaw Walters, founder of Eliza Labs, has officially declared that the ai16z/ElizaOS token is 'dead' and that the related foundation will be closed. The decision comes after Burwick Law, a law firm representing token holders, filed a class-action lawsuit. Unable to afford the legal expenses, the foundation chose to settle and will distribute the rest of its treasury assets to claimants in full. Walters said he never sold any of his ai16z tokens and never made a profit from the project. He clarified that he only drew a basic wage matching that of an engineer and is currently relying on personal savings. He further stated that he intends to keep developing the underlying Eliza technology, but he explicitly promised that no token will ever be tied to Eliza again. For existing holders, Walters suggested they handle their tokens themselves, as the foundation will not provide repurchase support.