X has reinstated the accounts of Shaw Walters and his ElizaOS platform after a six-month ban, triggering a 150% surge in the ElizaOS token price within 24 hours. The token’s market cap now stands at $48 million, fueled by renewed visibility and development updates.
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Account restoration: X lifted the ban on @shawmakesmagic and ElizaOS, boosting community excitement.
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Token price jumped from lows to $0.0064 amid migration completion from AI16Z.
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Market cap reached $48 million, up significantly but 83% below November 2025 peak of $0.039.
ElizaOS token surges 150% after X restores Shaw Walters’ account post six-month ban. Explore the blockchain AI agent’s comeback, price analysis, and platform tensions. Stay ahead in crypto AI developments today.
What caused the ElizaOS token surge after its X ban?
ElizaOS token experienced a dramatic 150% price increase within 24 hours following X’s restoration of Shaw Walters’ account (@shawmakesmagic) and the ElizaOS platform after a six-month suspension. This move reignited investor interest in the open-source framework for autonomous AI agents on blockchains, pushing the market capitalization to $48 million. Walters shared updates on completed developments, highlighting resilience despite prior challenges.
What is ElizaOS and its role in blockchain AI?
ElizaOS serves as an open-source framework designed for creating autonomous AI agents that function across various blockchains, enabling decentralized operations and innovative applications. In November 2025, it underwent a major restructuring, migrating from the AI16Z token at a 1:6 ratio and expanding its total supply to 11 billion tokens, as confirmed in official announcements. This migration aimed to enhance scalability and accessibility for developers building agentic AI systems. Walters emphasized in his return post, “We finished Eliza framework and migrated from ai16z to elizaOS. It was really really hard without X. We almost died. But now we’re back.” Supporting data shows the token trading at approximately $0.0064, reflecting an 83.17% drop from its all-time high near $0.039, yet the recent surge signals recovering momentum. Industry experts note such frameworks are pivotal for integrating AI with blockchain, potentially transforming decentralized finance and automation.
Frequently Asked Questions
What is the current market performance of ElizaOS token after the account restoration?
The ElizaOS token has risen over 150% in the past 24 hours to around $0.0064, achieving a $48 million market cap following X’s reinstatement of Shaw Walters’ and ElizaOS accounts, according to on-chain data and platform metrics as of the latest reports.
Why was Shaw Walters’ account on X previously banned?
Shaw Walters’ account and ElizaOS were suspended for six months due to alleged violations of X’s terms of service, amid tensions over AI agent development on the platform. This followed discussions where Eliza Labs shared technical details, leading to claims of anticompetitive actions by X.
Key Takeaways
- Historic rebound: The 150% token surge underscores the impact of social platform visibility on crypto projects like ElizaOS.
- Development milestone: Completion of the Eliza framework migration from AI16Z positions it for broader blockchain AI adoption.
- Ongoing tensions: Restoration highlights unresolved debates on AI regulation and platform competition—monitor for further updates.
Conclusion
The ElizaOS token surge marks a pivotal moment for blockchain-based AI agents, driven by X’s account restoration and Shaw Walters’ updates on framework advancements. Despite remaining below its November 2025 peak, the $48 million market cap reflects strong community support and potential for growth. As debates on AI regulation and platform policies evolve, ElizaOS exemplifies resilience in the competitive crypto AI landscape—investors should track on-chain metrics and official announcements for sustained momentum.
ElizaOS’ history with X traces back to deeper conflicts. In an August federal court filing in San Francisco, Eliza Labs and founder Shaw Walters accused X of leveraging its market dominance to deplatform users and restrain AI agent competition. The lawsuit detailed how X allegedly launched copycat products after accessing Eliza’s roadmap during partnership talks. Plaintiffs claimed abrupt suspensions without warning after Eliza declined a proposed $50,000 monthly enterprise license fee, which they deemed exorbitant. X maintained the actions addressed terms of service breaches.
This backdrop raises questions on platform responsibility toward emerging technologies. While some advocate stricter AI content rules to protect integrity, others argue such enforcements risk stifling innovation and veering into antitrust territory, especially with X’s own Grok AI integrated. No official resolution has been announced regarding the legal dispute, leaving room for speculation on policy shifts.
Market observers point to the token’s post-migration dynamics as key. The 1:6 swap ratio and 11 billion supply adjustment were strategic moves to align with long-term goals. On-chain analytics reveal heightened trading volume post-restoration, with over 175% gains at peak, though volatility persists. ElizaOS continues to attract developers focused on cross-chain autonomy, positioning it amid rising demand for decentralized AI solutions.
Source: https://en.coinotag.com/elizaos-token-surges-over-150-as-x-restores-banned-accounts-amid-ai-tensions
