X revokes API access for InfoFi reward apps, triggering token sell-off

Beincrypto reports X has revoked API access for apps that paid users to post, effectively banning so-called “InfoFi” projects, product lead Nikita Bier said the model created “a tremendous amount of AI slop and reply spam.” The decision prompted an immediate sell-off across InfoFi tokens, with Kaito, Cookie DAO, BubbledMaps, Loud, Arbus and others falling sharply as traders priced in the loss of their core distribution engine.

Kaito founder Yu Hu confirmed the company will sunset Yaps and pivot to a new product called Kaito Studio. Cookie said it will end Snaps, its creator campaign system, and that it remains an Enterprise API customer but cannot operate reward-based posting programs under the new rules.

InfoFi platforms monetized attention on X by tracking posts, replies and engagement and distributing tokens; Kaito’s Yaps reportedly drove hundreds of thousands of users, particularly in South Korea. The model had already faced backlash after KAITO’s token launch in early 2025, when users said Yaps points converted into much smaller token allocations than expected and critics pointed to insider-heavy tokenomics and rapid post-airdrop selling.

Key Topics

Crypto, Infofi, X, Kaito, Kaito Token, Yaps