Kite introduces a crypto-native payments and identity layer built for a world where billions of AI agents might soon be managing tasks for us. If agents are going to shop, book services, run campaigns, and move money independently, they need a system where they can verify who they are, follow spending rules, and settle payments instantly—without creating security or compliance headaches. Kite calls this vision an “economic operating system” for the AI-powered internet.
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Why Current Systems Hold Agents Back
AI agents already handle multi-step tasks, but everything slows down the moment payments enter the picture. Businesses still rely on manual approvals, API keys, and corporate cards. Kite argues the real bottleneck is not agent intelligence—it’s outdated payment and identity infrastructure built for humans, not autonomous software.
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The SPACE Framework: Clear Rules for Agent Money
Kite’s whitepaper introduces its “SPACE” model, bringing together stablecoin-based settlement, programmable constraints, agent-first authentication, audit-friendly design, and micro-sized payments. Its identity system is hierarchical: a human or company delegates authority to an agent, and that agent uses short-lived session IDs. This makes permissions easy to grant, rotate, or revoke instantly.
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Fast, Cheap Payments Designed for Machines
Kite supports extremely low-fee, low-latency transactions using state-channel-style rails and relies on stablecoins as the default currency for machine payments. A major part of its strategy is alignment with x402, an emerging agent-payment standard connected to Coinbase. Kite received investment from Coinbase Ventures and is positioning itself as one of the first Layer-1 chains with x402-compatible systems for agent “intent-based” payments.
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Institutional Momentum and Real Integrations
Kite’s 2025 progress wasn’t just technical—it was institutional. PayPal Ventures and General Catalyst led an $18M Series A, and Kite launched AIR (Agent Identity Resolution) with integrations into Shopify and PayPal. HTX and BitMart listings expanded liquidity and opened the door to margin and futures trading.
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Token Design Built for Constant Microtransactions
KITE has a fixed supply of 10 billion tokens, with a reward model that forces users to choose between claiming emissions now or preserving future rewards—a mechanism designed to reduce constant sell pressure.
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The Bet on 10 Billion AI Agents
Kite believes agents will be cheap to deploy and economically active through millions of tiny payments. For this future to work, payments must be instant, cheap, and tied to programmable identity—not human paperwork.
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How to Judge Kite Going Forward
When evaluating Kite, look at three dimensions:
Interoperability (x402 and agent standards),
Distribution (real commerce integrations), and
Reliability (whether its identity and permission layers prevent misuse).
The real indicator of success will be whether agents actually spend money in real business workflows—not just in demos.
