X Bans Reward-Based Posting to Curb Spam, Crypto Community Adapts
X, formerly Twitter, has updated its API policies to prohibit apps that incentivize content creation through token or cash rewards. The MOVE targets AI-generated spam and low-quality engagement, drawing praise from prominent figures like Y Combinator's Paul Graham, who labeled automated replies a "plague."
InfoFi projects—platforms compensating users for viral content—are pivoting abruptly. Kaito abandoned its token reward model for influencer marketing, while Cookie DAO announced a shutdown. Despite the crackdown, X reaffirmed support for non-incentivized crypto and Web3 use cases.