The reshuffle of the InfoFi ecosystem under the X ban: Cookie DAO shuts down Snaps, and the entire sector is looking for a way out

The API ban on InfoFi applications by Platform X has triggered a chain reaction. Cookie DAO announced on January 16th the shutdown of the Snaps platform and all creator activities, becoming another InfoFi project forced to adjust its business after Kaito. This is not only a strategic shift for a single project but also reflects systemic challenges faced by the entire ecosystem—under tightening platform policies, is there still room for incentive-based creation models to survive?

X’s Policy Shift: Why Ban InfoFi

In its policy adjustment on January 15th, X explicitly stated that applications rewarding users for posting are no longer allowed, and API access for related applications has been revoked. According to the latest news, the core reason for this decision is that such applications generate大量AI-generated spam content and reply spam, severely impacting platform experience.

It is noteworthy that X was very resolute in making this decision—despite these projects paying millions of dollars for enterprise API access, X chose to forego revenue to clean up the ecosystem. This indicates that the platform’s emphasis on content quality has surpassed commercial considerations.

Cookie DAO’s Response: Offline vs. Communication

Cookie DAO’s official statement shows a relatively pragmatic approach. Specific actions include:

• Immediate shutdown: Closing Snaps platform and all ongoing creator activities
• Active communication: Engaging with the X team to discuss API usage policies and evaluate whether Snaps can continue operating in a new form
• Maintaining compliance: Emphasizing that they have always adhered to X’s rules and policies, and are currently still a customer of Twitter Enterprise API
• Business pivot: Cookie Pro (a real-time market intelligence product for the crypto industry) plans to launch in Q1

From this statement, it’s clear that Cookie DAO has not completely abandoned the InfoFi model but is waiting for further guidance from X while exploring new product directions.

Market Reaction: Chain Reaction Across the Sector

The impact of policy changes on token prices is immediate:

It’s worth noting that Kaito’s decline is significantly larger than Cookie DAO’s. This may reflect different market assessments of their response strategies—Kaito’s core product “Yaps” heavily relies on X API to track user posting behavior, whereas Cookie DAO has a more diversified product system. Additionally, the floor price of Kaito’s Yapybaras NFTs has halved, indicating greater loss of holder confidence.

Uncertainty Moving Forward

Key questions:

1. Can Snaps survive in a new form? Cookie DAO states they are discussing this possibility with X, but no definitive answer yet.
2. What is the outlook for the entire InfoFi model? Does X’s policy adjustment mean such applications have no survival space on mainstream platforms?
3. Long-term project direction: Can Cookie DAO find growth momentum through new products like Cookie Pro?

According to the latest news, X’s attitude toward the InfoFi model appears to be a long-term policy adjustment rather than a temporary ban. This introduces significant uncertainty for all related projects.

Summary

Cookie DAO’s shutdown of Snaps marks a major shift in the InfoFi ecosystem. This is not just an issue for individual projects but a systemic governance of content ecology by X. From Kaito to Cookie DAO, from token crashes to sector-wide evaporation, the market is voting with real money—mainstream platform incentive models are being rapidly squeezed out.

Cookie DAO’s relatively moderate response (shutting down existing operations while actively communicating) and smaller decline suggest some market recognition of its transition. However, whether it can successfully pivot through new products like Cookie Pro remains to be seen, depending on subsequent product performance and market reactions. For the entire InfoFi ecosystem, this crisis may be a crucial watershed—projects that can quickly find new business models might survive, while those clinging to old paradigms face greater risks.