Kaito’s Yaps Product Shuts Down as Token Plummets Toward All-Time Lows

Another crypto project hits the skids—Kaito pulls the plug on its Yaps product while its token circles the drain.

The Unraveling

Yaps is officially winding down. The move comes as Kaito's native token continues its brutal descent, trading dangerously close to its historic floor. No new features. No grand revival. Just a quiet shutdown.

Token Turmoil

The token's price action tells the real story—a near-vertical drop from previous highs, now flirting with levels not seen since launch. It's the classic crypto lifecycle: hype, hope, then a long slide toward irrelevance. Another reminder that in this market, a 'utility token' often has one utility: going down.

Strategic Retreat or Full Capitulation?

Kaito frames this as a 'strategic wind-down'—focusing resources on 'core priorities.' The market hears something else: a project cutting its losses. It's the financial equivalent of rearranging deck chairs, just as the ship's bow dips below the waves. One less product, one more lesson in the high-stakes gamble of crypto innovation.

Kaito will limit permissionless posting

The restriction on permissionless posting for InfoFi will not remove influencers and KOLs entirely. However, Kaito will handle the curation of personalities more strictly, creating a tiered structure that is more similar to traditional marketing. 

“Top and emerging high-quality creators will stand to benefit far more in a relevance- and analytics-based model rather than open incentives – benefitting those high-quality creators who already use Kaito and those who previously felt we were detached from them,” explained Yu Hu.

Kaito will still have cross-platform reach, retaining a presence on X, as well as TikTok and YouTube. 

The campaign against crypto InfoFi projects on X coincided with a drop in general viewership. As Cryptopolitan reported earlier, YouTube viewership for crypto channels is down to a five-year low. 

Kaito still values the creator market at $20B and will seek new forms of marketing. Yu Hu also remarked that the crypto economy of tokenizing interactions may not be viable, as chains have turned into infrastructure for finance.

InfoFi projects are all in the red

After the news of closing Yaps, KAITO tokens crashed further, trading at $0.54, close to their all-time lows of $0.49. 

KAITO’s market capitalization fell to $185M, around 50% of the total market’s value. The total market cap of InfoFi projects crashed to $355M, one of the smallest sectors in the crypto space.

The removal of InfoFi reflected the position of X on advertising, where third parties hired influencers and bypassed the social media’s advertising process. Smaller projects also closed their products. The shift from InfoFi may generate new types of incentives and point farming.

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