Kaito token plummets after X revises API policies to ban ‘infofi’ crypto projects
X revised its API policies to ban apps rewarding user posts, causing the Kaito token to drop over 10%.Summary
X, formerly Twitter, is updating its developer API policies to prohibit applications that reward users for posting on the platform, according to product lead Nikita Bier. This change led to the immediate plummeting of the Kaito token, the native token of the "infofi" network, by more than 10%. The Kaito platform aggregates posts from major crypto accounts on X to track trending topics, but Bier stated that the infofi integration resulted in "a tremendous amount of AI slop & reply spam" on X. X has revoked API access from these apps and offered assistance to affected developers to transition their business to Threads and Bluesky. At the time of reporting, KAITO traded around $0.59, down 14.5%, with a market cap near $140 million, significantly down from its peak fully diluted valuation near $2 billion in February 2025.
(Source：The Block)