Kaito, an AI project focused on tokenizing social media, announced today that it has not engaged in any token sales since February. The project ended its partnership with Web3Port, a market maker, due to disagreements that were not specified.

Despite this, KAITO has shown a significant resurgence over the past month, with a price increase of more than 150% in 30 days. While being listed on exchanges and introducing token staking activities may contribute to its growth, there are still issues with its core product.

The controversy surrounding KAITO's token and its dispute with Web3Port emerged following a highly publicized airdrop it conducted in February. The tokenomics of the airdrop faced severe criticism from the public, leading to a decrease in momentum due to high selling pressure.

KAITO clarified that it has refrained from selling any tokens since the events of February, when it terminated the market-making agreement with Web3Port on February 27. Despite this shake-up, the company emphasized that the dispute with Web3Port was unrelated to subsequent controversies.

During the past month, KAITO has demonstrated a noteworthy bullish trend, seeing its price surge by over 150%. This is particularly impressive considering the limitations on direct token sales by the company. Notably, KAITO secured listings on major exchanges like Binance and Coinbase, contributing to its recent successes.

Further developments, such as updates on May 6 and the implementation of token staking rewards, have also contributed to the increased token price and trading volumes. The introduction of staking rewards received positive reactions from the community, with discussions on how it could stimulate platform growth gaining traction.

Despite these positive movements in the market, KAITO still operates as a utility token. The company's ambitious objective to utilize AI and tokenization to reward quality social media content remains its primary focus. While staking rewards and exchange listings are beneficial for its valuation, users continue to express concerns about the current state of its core product, noting an abundance of low-quality content on its platform.

In conclusion, the long-term outlook for Kaito is uncertain. Despite facing challenges such as community backlash and the Web3Port disagreement, KAITO's ability to establish utility will be crucial in determining its future success.