Today I want to talk about a project I've been keeping an eye on recently, Kite AI, also known as $KITE.
It is now December 19, 2025, and Bitcoin is hovering around $86,000. The overall market is relatively cold, and the panic sentiment hasn't dissipated yet. However, during times like this, the speculative bubbles fade away, allowing the infrastructure projects that are genuinely making progress to gradually come to the surface. In my opinion, Kite is currently in this 'low-key accumulation' phase.
KITE has been hovering around $0.088 for the past month, with a slight increase today. Its market cap remains around $150 million, and the daily trading volume is in the tens of millions. It's not overly popular, but the situation is relatively stable. I remember when it launched on major exchanges like Binance and Upbit on November 3rd, the opening trading volume surged to 260 million, creating quite a scene. Now that the hype has subsided, it actually feels healthier.
Don’t be fooled by the lack of significant price movement; the foundation is always changing. Kite's core is an EVM Layer-1 chain specifically designed for AI agents, solving three main issues: identity, payments, and auditable permissions. Their 'Kite Passport' has already been issued to over ten million, allowing each AI agent to carry an identity and control tasks. By the end of the year, the number of passports may exceed 17 million. What does this indicate? People are indeed using it for development.
There has also been progress in the payment layer recently. After the x402 protocol upgraded to V2, transaction fees have significantly decreased, compatible with Anthropic's MCP and Google's proxy framework, making integration super convenient and developer-friendly. Settlement of stablecoins on the mainnet is becoming smoother, and proxies can pay for services and coordinate with other proxies without needing approval each time. This is the future: AI agents' autonomous economy.
Some recent updates have been subtle but solid: the Agent App Store is expanding in e-commerce scenarios, allowing agents to connect directly with payment channels like PayPal and Shopify; the coordination API supports condition-triggered automatic purchases; OKX wallet integration, cross-protocol transfer features, and continuous SDK upgrades... These are all the hard work of 'building roads'; once the roads are built, more users will come.
The token model is simple and clear: total supply is 10 billion, with around 1.8 billion currently in circulation, fully diluted market cap over 800 million. Half is allocated to the ecosystem, and the rest is unlocked in batches for the team and investors. The staking annualized return is about 10%, there is no token burning mechanism, and value is completely accumulated through real usage—such as transaction fees, staking demand, and governance.
There are definitely risks: most tokens are still locked, and if ecosystem development cannot keep up with the unlocking pace, there will be selling pressure; the economic model of AI agents has not yet undergone large-scale validation; regulatory attitudes towards 'autonomous agent transfers' are still unclear; and there are quite a few players in the field. However, the project is backed by institutions like PayPal Ventures and Coinbase Ventures, which invested 33 million dollars, at least providing resources and time to run.
Currently, the price of KITE is around 0.088 dollars, which hasn’t priced in the expectations of a bull market but rather reflects 'possibility + skepticism'. Personally, I believe Kite's strength lies in focusing on identity + payments + coordination, with controllable constraints for humans. If AI agents really create an economic scale in the coming years, Kite is definitely an early player.
What do you all think? Those holding tokens should hold steady, and those looking to enter can pay attention in batches.
