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Algorand Launches AC2 Protocol for AI Agent Key Control

Dailycoin.com reports that the Algorand Foundation launched AC2, an open protocol designed to let AI agents request sensitive actions without holding user private keys. The Agentic Communication and Control Protocol went live on August 25 and is available as an open-source specification. AC2 uses hardware-bound FIDO2 passkeys to keep credentials on the user’s device while allowing agents to request approvals. This approach acts like a doorbell where the agent asks for access and the user approves without exposing the actual key. The protocol combines DIDComm v2.0, WebAuthn/FIDO2, and WebRTC DataChannels for secure, peer-to-peer transport. It does not require a central message relay or blockchain to operate, though it can support on-chain use cases. This development aims to give agents enough authority to be useful without risking unauthorized actions against user interests.