Tracey MCP Server is the Missing Link for AI Agents on XDC

AI agents are getting smarter every day. But there's a problem: they can think, but they can't act. They can't check your wallet balance. They can't send a payment. They can't interact with smart contracts.

Tracey changes that.

Tracey is an MCP server built specifically for the XDC Network. It gives AI assistants like Claude the ability to perform real blockchain operations—securely, without ever exposing your private keys.

The Problem: AI Is Trapped in a Box

Large Language Models (LLMs) are powerful. They can reason, analyze, and generate. But they're fundamentally isolated. They have no hands to touch the digital world and no wallet to participate in its economy.

Historically, connecting AI to external tools meant building custom integrations for every combination of model and service. If you have 5 AI models and 10 tools, that's 50 different adapters. This complexity created security nightmares and slowed innovation.

The Model Context Protocol (MCP) solves this. It's a universal standard—think of it as USB for AI. One protocol, endless possibilities.

What Is Tracey?

Tracey is an MCP server that connects AI assistants to the XDC blockchain. It exposes 17 carefully designed tools that let AI agents:

• Query network data (gas prices, block details, transaction status)
• Check balances (XDC and XRC-20 tokens)
• Execute transactions (send XDC, transfer tokens, interact with smart contracts)
• Participate in the x402 economy (machine-to-machine payments)

Here's the critical part: your AI never sees your private key. Tracey handles signing separately, keeping your secrets safe.

Why XDC Is Perfect for AI Agents

AI agents operate at software speeds. They don't wait around. XDC's architecture is uniquely suited for this:

When an AI agent needs to pay $0.01 for an API call, high gas fees on other chains make it impossible. On XDC, it just works.

The x402 Protocol: Teaching AI to Pay

Remember HTTP 402 "Payment Required"? That status code sat unused for 30 years because the payment infrastructure didn't exist.

x402 brings it to life.

Here's how it works with Tracey:

1. Agent requests a premium resource (e.g., market data API)
2. Server responds with 402 Payment Required + payment details
3. Agent asks Tracey to send payment (USDC on XDC)
4. Transaction confirms in seconds
5. Agent resends request with payment proof
6. Resource delivered

This enables pay-per-use AI. No subscriptions. No API keys. No human in the loop. The agent decides if the cost is worth it and pays instantly.

The 17 Tools at a Glance

Tracey organizes its capabilities into four clusters:

Network Intelligence

• get_network_stats — Block height, validators, epoch info
• get_gas_price — Current gas costs
• get_token_price — Real-time XDC exchange rates
• get_block_details — Inspect specific blocks
• get_transaction_status — Confirm transaction outcomes

Asset Management

• get_balance — Native XDC balance
• get_token_balance — XRC-20 token balances
• get_portfolio — Aggregate holdings snapshot
• get_transaction_history — Recent activity
• validate_address — Check address validity

Authenticated Execution

• transfer_xdc — Send native XDC
• transfer_token — Send XRC-20 tokens
• approve_spender — Authorize contract spending
• simulate_transaction — Dry-run before executing

Smart Contract Interaction

• read_contract — Call view functions
• write_contract — Execute state changes
• deploy_contract — Deploy new contracts
• get_contract_abi — Fetch contract interfaces

Security: The "No Code in Context" Rule

This is non-negotiable: your private key never touches the AI.

Tracey implements a delegated signing model:

1. AI submits an intent ("Send 10 XDC to 0x...")
2. Tracey validates parameters
3. Tracey signs using keys stored in secure environment variables
4. Transaction broadcasts
5. AI receives only the transaction hash

Even if the AI were compromised, it has no access to signing capabilities. For enterprise deployments, Tracey supports Wallet-as-a-Service (WaaS) providers where keys live in HSMs with policy controls.

30-Second Setup with No Code

For Claude Users

1. Go to Claude Settings → Connectors → Add custom connector
2. Add the following:
   • Name: Tracey XDC
   • URL: https://mcp.tracey.dev/sse
3. Click Add
4. Test: Ask "What XDC blockchain tools do you have?"

For Cursor Users

Quick Install — Click the button below to automatically install:

Manual Setup:

1. Press Cmd+Shift+P → "Open MCP settings"
2. Add to mcp.json:

{
  "mcpServers": {
    "tracey": {
      "url": "https://mcp.tracey.dev/sse"
    }
  }
}

1. Test: Ask "Check current XDC price"

For Windsurf Users

1. Open Windsurf IDE
2. Go to Settings > Tools > Windsurf Settings
3. Click Add Server or View Raw Config
4. Add this configuration to your mcp_config.json:

{
  "mcpServers": {
    "tracey-mcp": {
      "url": "https://mcp.tracey.dev/sse"
    }
  }
}

First Commands to Try

1. Check XDC Price

"What's the current XDC price in USD?"

Expected: Real-time price with 24h change and market data

2. Network Status

"Show me XDC network information"

Expected: Network stats, validators, current block info

3. Connect Wallet (Optional)

"Connect my MetaMask wallet"

Expected: Instructions and connection link

4. Market Analysis

"Find arbitrage opportunities on XDC DEXs"

Expected: Real arbitrage opportunities with profit calculations

5. Latest News

"Get the latest XDC and DeFi news"

Expected: Recent crypto news from multiple sources

Real-World Example: Token Metrics Integration

Token Metrics demonstrates x402 in action. Their premium crypto analytics API now accepts instant payments:

1. Agent asks: "What's the sentiment for XDC?"
2. Token Metrics returns 402 + price (fraction of a USDC)
3. Agent pays via Tracey on XDC
4. Data delivered instantly

No subscription. No registration. Just value exchanged for value.

What's Next for Tracey

Phase 2: Autonomous Verification
Agents will verify not just that transactions sent, but that they achieved the desired outcome—handling reverts gracefully.

Phase 3: Cross-Chain Abstraction
Agents won't care which chain they're on. Tracey will route to the optimal execution path, leveraging XDC's low fees for settlement.

The Bigger Picture

We're moving from a user-centric web to an agent-centric economy. AI agents will negotiate, transact, and operate autonomously. They need infrastructure that's:

• Fast — Software-speed transactions
• Cheap — Viable micropayments
• Secure — No key exposure
• Standard — Universal protocols

XDC provides the rails. MCP provides the interface. x402 provides the payment layer.

Tracey brings them together.

Resources

• Tracey Documentation
• MCP Specification
• x402 Protocol Docs
• XDC Network

Building with Tracey? Share your experience in the comments below.