Sean Neville, CEO of Kadena Labs and co-founder of Circle, believes stablecoins are evolving from simple digital payment tools into a new kind of money built for machines—what he calls “machine-native money.” This new form of digital currency would allow artificial intelligence (AI) agents to make transactions on their own, without needing human involvement.

In a recent interview, Neville explained how his journey into crypto began with the belief that “money is just data.” He envisions money moving around the world as easily as information does on the internet. That idea led to the creation of Circle back in 2013, with a mission to build open and nearly free systems for sending value across borders.

By 2018, Circle shifted its focus to USDC, a U.S. dollar-backed stablecoin. Neville said that while Bitcoin and Ethereum are interesting digital assets, most people still prefer using dollars for everyday payments. The breakthrough was turning the dollar into a blockchain-based asset that could move quickly and globally.

From day one, regulatory compliance has been a key part of Circle’s strategy. As AI becomes more involved in finance, new challenges emerge—especially around identity and trust. Traditional systems like KYC (Know Your Customer) and AML (Anti-Money Laundering) don’t work well when you’re dealing with AI agents instead of humans. “How do I know I’m talking to a real agent?” Neville asked.

AI-driven agents are better equipped than humans at handling tasks like signing cryptographic messages or executing contracts automatically. This opens up a new kind of financial system where these AI tools can send and receive money without delays or human error.

As stablecoins grow, so does the need for them to work smoothly with each other. Different companies issue different types of stablecoins, but for AI systems to function efficiently, they need easy ways to convert between them. “A dollar is a dollar,” Neville emphasized, pointing out that AI workflows often involve multiple stablecoin types.

The Lummis-Gillibrand Act is one step toward clearer rules for stablecoins in the U.S., offering some legal certainty for payment-focused digital dollars. However, it doesn’t yet solve the problem of making different stablecoins work together—a technical challenge that still needs to be addressed.

Traditional banks are starting to catch on. They’re using AI not just for customer service or fraud detection but also for more complex tasks like managing foreign exchange markets and handling treasury operations. These AI-driven improvements are far more efficient than what legacy banking systems can offer.

Neville sees a future filled with entirely new financial products that simply aren’t possible today because the current system is too slow and costly. With blockchain and AI combined, real-time microtransactions—tiny payments made instantly—could become common, unlocking innovations similar to those sparked by the early days of the internet.

Building this future will require a massive infrastructure upgrade, much like setting up a nationwide network of electric vehicle chargers. The tech is there, but broad adoption is necessary for everything to work seamlessly.

While it’s hard to predict exactly when this transformation will hit the mainstream, one thing is clear: a major shift is coming. As both technology and regulations catch up, the way we think about money—and who or what can use it—is set to change forever.