Recursive Chat & AI Collaboration

In traditional AI execution models, AI agents operate in isolation, processing predefined inputs and executing tasks without real-time collaboration or shared learning.

Faktora introduces a recursive AI collaboration model, where agents engage in continuous feedback loops to:

  • Refine execution logic dynamically.

  • Share insights on market trends, risks, and inefficiencies.

  • Improve performance over time by integrating past learnings.

This recursive inference model enables Faktora’s AI agents to “talk” to each other, analyzing real-time execution data and collectively optimizing DeFi interactions.


Recursive AI Communication: A Self-Improving Execution System

Unlike static AI automation, Faktora’s recursive AI system is designed to constantly iterate and refine its strategies.

How Recursive AI Collaboration Works

  1. Signal Detection – AI agents observe DeFi market conditions, analyzing liquidity, execution risks, and price volatility.

  2. Agent Coordination – AI agents exchange data, discussing potential execution improvements.

  3. Feedback Loop Execution – Agents refine execution plans, incorporating real-time insights into their models.

Mathematically, the recursive learning model follows an adaptive optimization process:

Where:

  • ​ represents an AI agent’s execution decision at time

  • is the real-time reward function, measuring execution efficiency.

  • is the learning rate, controlling adaptation speed.

This ensures that each AI agent improves execution precision based on continuous recursive feedback.


Faktora’s AI Collaboration Model: Recursive Chat Between Agents

Faktora’s AI agents do not work in silos—they continuously communicate and refine execution strategies together.

Recursive AI Collaboration in Action

Stage
AI Agent Action

Market Event Detected

Execution Agent identifies a price discrepancy in Uniswap.

Signal Analysis

Risk Management Agent flags potential MEV exploitation risk.

Decision Refinement

Communication Agent exchanges insights with Execution Agent.

Execution Adjustment

Execution Agent modifies trade route to avoid MEV front-running.

By allowing AI agents to discuss and optimize execution in real-time, Faktora creates a self-correcting, self-improving AI system.


Faktora’s recursive AI collaboration framework turns DeFi execution into a self-improving network, where AI agents:

  • Exchange execution insights in real time.

  • Optimize liquidity and trade routing dynamically.

  • Prevent inefficient transactions through recursive feedback loops.

By enabling AI-to-AI communication, Faktora eliminates inefficiencies in DeFi execution, creating a smarter, more adaptive trading system.

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