Kaito Token Takes a Nose Dive as Elon Musk’s X Unleashes the Ban Hammer! 😂

by

Key Highlights of the Day – A True Tale of Woe!

  • In a surprising twist, X has declared war on apps that dare to pay users for their humble postings, cutting off the lifeblood of InfoFi projects to combat the dreaded spam and AI-generated nonsense.
  • As if struck by a thunderbolt, Kaito AI’s token plummeted by 15%, while its valiant NFT collection was brutally slashed by over 50% after such tragic news announced.
  • Fear not, dear developers! Assistance is at hand for those seeking refuge in the realms of Meta’s Threads or the lofty heights of Bluesky.

In a dark turn of events, the illustrious Elon Musk’s X has swung its mighty sword against apps that have the audacity to reward users with digital tokens for their delightful musings, as declared by the ever-serious Head of Product, Nikita Bier. Thursday bore witness to this decisive action.

These unfortunate changes have cast a shadow over InfoFi projects, which once transformed user activity into lucrative ventures. Mr. Bier lamented that these apps had birthed “a tremendous amount of AI slop [and] reply spam on the platform.” Thus, API access has been revoked, leaving these projects gasping for breath. The noble goal? To elevate the experience of the common user and ensure that bots can no longer reap riches from their postings.

We are revising our developer API policies:

No more shall apps reward users for posting on X (aka “infofi”). This led to a veritable avalanche of AI slop & reply spam on the platform.

We have cut off API access from these apps, thus your X experience should…

– Nikita Bier (@nikitabier) January 15, 2026

For those developers affected by this catastrophic ban, assistance awaits! You may flee to other platforms, such as Meta’s Threads or the ever-charming Bluesky-a decentralized utopia that has blossomed since Musk’s acquisition of Twitter in 2022. Meanwhile, poor Kaito AI, once basking in the glow of popularity since last February, now faces a tempestuous fate.

“We are revising our developer API policies: We will no longer allow apps that reward users for posting on X (aka ‘infofi’). This has led to a tremendous amount of AI slop & reply spam on the platform. We have revoked API access from these apps, so your X experience should…” Bier relayed this tale on X, as if it were a cherished bedtime story.

The Tragic Plummet of Kaito Token and NFTs!

In a swift act of financial despair, Kaito’s token price fell by 15% from an intraday high of $0.7 to a dismal $0.56. The market capitalization tumbled down to a mere $138 million, according to the oracle known as CoinMarketCap. Trading activity surged by 111%, though it seems this was merely traders scrambling to rid themselves of the token.

This calamity also swept through the Yapybaras NFT collection linked to Kaito, which saw its floor price plummet by over 50%, landing at 0.21 ETH on OpenSea. Bier assured developers left in the lurch that they could seek assistance in migrating to Meta’s Threads or the illustrious Bluesky, a social network that has blossomed since Musk’s grand takeover of Twitter in 2022.

New Features and Developer Support – A Ray of Hope?

As X embarks on its other crypto escapades, they have recently unveiled Smart Cashtags, linking ticker symbols to real-time financial data-a dazzling development indeed! One tap reveals live prices, charts, and posts discussing the asset.

However, in a bittersweet turn, Kaito has announced the retirement of Yaps, a feature that once rewarded users with tokenized scores for engagement. Kaito’s founder, Yui Hu, stated that Yaps “embodied the core Web3 ethos” while reluctantly admitting it did not cater to “the needs of high-quality brands, serious content creators, or X as a platform.” Critics, of course, squealed about “attention farming,” where users churn out repetitive posts purely for rewards-a scandalous affair!

InfoFi apps, which generously offered rewards for postings, ignited a frenzy of activity from both human users and their pesky bot counterparts. Kaito AI stood as a prime example of InfoFi’s wild success. Alas, the new edicts from X reveal how swiftly the winds of change can alter the fortunes of crypto tokens and NFT markets. The company, in its grand wisdom, aims to diminish spam and AI content while guiding developers toward safer shores.

Read More

2026-01-15 21:06