X is tightening its grip on reward-based engagement mechanics. The platform has pulled API access for crypto InfoFi services that compensate users for posting activity on the network.

Nikita Bier, heading up product strategy at X, made the call public, dismissing these information finance platforms as "AI slop and reply spam." It's a notable shift in how the social giant is handling third-party integrations in the crypto space.

Kaito and similar crypto data platforms built their model around incentivizing content creation and information sharing. But X's move suggests the platform wants stricter control over what kind of reward mechanisms operate within its ecosystem. The reasoning tracks: when you're paying people to post, the quality bar tends to drop, and algorithmic manipulation becomes easier to pull off.

This clampdown could reshape how crypto communities share market insights and onchain intelligence going forward.