Kite Launches Avalanche L1 Mainnet With Passport for AI Agent Payments

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Kite Launches Avalanche L1 Mainnet With Passport for AI Agent Payments
  • Kite launched its sovereign Avalanche L1 mainnet to support AI agent payments, identity, and real-time settlement.
  • Kite Passport gives autonomous agents cryptographic identity, programmable permissions, and controlled payment authority.
  • Kite reported over 1.9 billion testnet agent interactions, with backing from PayPal Ventures, General Catalyst, and others.

Kite has launched its mainnet as a sovereign Avalanche L1, bringing AI agent identity and payments into production. Today’s launch also introduces Kite Passport, a system for verifiable agent identity, permissions, and payment authority. The network now supports autonomous software systems that need to transact, access services, and settle payments during execution.

Kite Moves From Coordination to Execution

Kite started with a testnet in early 2025 that focused on coordination across data, models, and agents. The project used that phase to track contributions and support rewards across its early agent network. However, Kite said agent systems now require infrastructure for execution, not only coordination. 

AI agents can call APIs, trigger workflows, and complete tasks without direct human input. That change creates demand for payments that move inside software workflows. Agents need tools that let them pay for datasets, paid APIs, and services instantly. Traditional systems often depend on human approval, card rails, and slower settlement. 

In contrast, Kite targets agent activity that runs continuously and handles many small payments. Kite said this shift changes how its infrastructure supports agent work. The mainnet now centers on execution, settlement, identity, and controlled access for autonomous software.

Mainnet Adds Kite Passport for Identity and Payments

Kite built its mainnet as a dedicated Avalanche L1 for programmatic transactions between agents and services. The network handles settlement for agent commerce, digital marketplaces, and service access.

Kite Passport adds identity and permission controls for autonomous agents. It gives agents persistent cryptographic identity, programmable delegation, and rules for authorized activity. Together, the mainnet and Passport let agents authenticate before they act. They also let agents operate within set limits and settle payments in real time.

According to Kite, the system supports stablecoin-based settlement for agent activity. That design lets agents pay per API call, access datasets, or complete tasks that need payment. The Passport layer also supports payment authority for agents across connected services. Therefore, agents can act under set permissions rather than unrestricted access.

Testnet Activity Shows Demand for Agent Infrastructure

Kite reported more than 1.9 billion agent interactions during its testnet phases. The network also processed over 300 million transactions before the mainnet launch. Daily activity peaked at 30 million calls, over 51 million addresses, and 20 million users. 

Those records validate that agent activity differs from normal blockchain usage. The pattern looks closer to API traffic because agents act repeatedly and quickly. Kite has raised $33 million from investors, including PayPal Ventures and General Catalyst. 

Coinbase Ventures, the Avalanche Foundation, and other backers also joined its funding rounds. PayPal has started piloting Kite’s infrastructure, while Shopify integrations remain in progress. These efforts connect Kite’s agent payment system with existing commerce and payment networks.

Avalanche L1 Supports Fast Settlement and Predictable Costs

Kite uses Avalanche’s L1 architecture to support fast settlement and high transaction throughput. The network also benefits from low transaction costs and sub-second finality. These features support agent payments because agents may execute many small transactions during one workflow. They also need predictable costs before they act.

A sovereign L1 gives Kite more control over network rules and fee design. That control helps the project support sustained agent traffic without relying on general-purpose blockchain settings. The mainnet also gives developers a live environment for building agent commerce applications. These applications may include paid API access, data markets, service payments, and automated task settlement.

Kite’s launch brings together its mainnet, Kite Passport, stablecoin settlement, and Avalanche infrastructure. The latest rollout follows its testnet results, funding rounds, PayPal pilot activity, and planned Shopify integrations.