Crypto sentiment analytics platform Kaito AI prepares for token launch

The AI platform looks to reshape Web3 marketing with yaps

article-image

Ivanova Ksenia/Shutterstock modified by Blockworks

share


This is a segment from the 0xResearch newsletter. To read full editions, subscribe.


Crypto is a volatile industry for primarily two reasons: 1) it’s permissionless (anyone can make a token) and 2) it’s still largely looking for product-market fit.

What does this mean to a short-term trader looking to flip a quick buck? If you’re trying to frontrun the market, you’d want to know when a certain narrative is falling in (and out of) favor. 

You can then spend absurd hours doomscrolling Twitter and Telegram groups — or you can use Kaito, a Web3-focused search engine that scrapes troves of data across social media to generate quantifiable sentiment analysis for you.

If you’ve spent time on CT in the last year, you’ve likely seen many of these useful Kaito dashboards around.

Source: @sandraaleow

But people are excited about Kaito today because of its token airdrop, not its core analytical product.

Wait, a data analytics platform needs a token?

Yes it does, because you can apparently tokenize anything in crypto. In Kaito’s case, it’s tokenizing the attention economy of Crypto Twitter.

Everyone has a shot — you can connect your X account to Kaito, and tweet a lot to earn “Yap” points, which entitle you to a larger KAITO airdrop.

To deter mindless spam, the team weights Twitter posts by relevance (proof-of-work), originality (proof-of-insight) and engagement based on “reputation” (proof-of-exchange).

Loading Tweet..

This entire idea is based on a familiar sales pitch: Big Tech sucks because they monopolize the value created by content creators. Kaito lets the people retain some of that value.

It also opens up a very interesting business model for Web3 marketing. 

The users who’ve signed up to “yap” away on Twitter provide Kaito with quality data around crypto trends and KOLs that can be sold to major ecosystem projects. 

Source: Kaito

“Essentially Kaito does all the hard work that marketing teams would otherwise need to spec out to determine how and where to develop and spend on social marketing campaigns in terms of selecting the right set of KOLs, targeting the proper audience and so forth,” Blockworks’ Danny Knettel told me.

Loading Tweet..

Now back to the points. Maybe you think this is another pointless “SocialFi” game we’ve seen with BitClout or friend.tech, but Kaito’s points are actually shaping up to be valuable.

Based on @Ren_gmi’s estimates, YAP points are worth anything between $20 to $140 per point.

It’s unclear how Kaito’s token product ties into its core analytics product, and it’s still too early to speculate on there being any kind of value accrual between the two.

Assuming an annual price of $10,000 and 1,000 paid seats, Kaito generates annualized revenues of $10 million.

One could value KAITO at a conservative 20x P/S multiple, which would place the token’s value at a $200 million market cap (assuming a 24% token supply airdrop).

On Aevo’s pre-launch market, KAITO is presently trading at a $320 million market cap/$1.3 billion FDV.

Updated Feb. 19, 2025 at 1:48 pm ET: Updated KAITO P/S multiple.


Get the news in your inbox. Explore Blockworks newsletters:

Tags

Decoding crypto and the markets. Daily, with Byron Gilliam.

Upcoming Events

Javits Center North | 445 11th Ave

Tues - Thurs, March 24 - 26, 2026

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

Old Billingsgate

Mon - Wed, October 13 - 15, 2025

Blockworks’ Digital Asset Summit (DAS) will feature conversations between the builders, allocators, and legislators who will shape the trajectory of the digital asset ecosystem in the US and abroad.

recent research

Unlocked by Template (1).jpg

Research

As AI supercharges surveillance, privacy becomes a prerequisite and the winning stack will combine confidentiality with selective disclosure. Zcash’s Tachyon, composable standards on Ethereum/Solana, and compliance-aware pools aim to make private rails the new norm.

article-image

The startup says it aims to rival Stripe and Worldpay by using stablecoins to speed merchant settlements from days to seconds

by Blockworks /
article-image

“S&P 500” for crypto comes as segment gains “established role in global markets,” S&P exec says

article-image

The S&P Digital Markets 50 Index combines 15 cryptocurrencies with 35 crypto-linked companies, offering investors hybrid exposure

by Blockworks /
article-image

Gnosis is betting that openness — not ownership — will define the future of onchain money

article-image

Crypto’s quest to imbue shareholder protections for tokens

article-image

Grass previously raised a seed and Series A rounds and plans to utilize the token purchase to execute on its roadmap