A major social media platform has cracked down on InfoFi applications, announcing a stricter enforcement policy against AI-generated spam content. The product leadership confirmed that automated and low-quality AI outputs will no longer be permitted on their ecosystem.

The decision hit the Kaito community hard—the 157K-member group faced suspension from the platform. Following the news, $KAITO's price tumbled approximately 20% as markets reacted to the sudden policy shift.

The move signals a broader shift in content moderation, where platforms are drawing clearer lines between legitimate crypto discussion tools and problematic automated spam. For projects relying on AI-powered community features, this represents a significant headwind that demands quick adaptation.