DeFi still mostly operates this way—want to borrow 100 dollars, first put up 150 dollars as collateral. The efficiency is painfully low. It’s acceptable for crypto traders, but in the context of the agent economy, it becomes a dead end.

Imagine an AI agent for arbitrage trading, with an astonishingly high win rate, but the problem is it has no initial capital. In traditional finance, you can use credit loans, but on the blockchain? No one dares to do that.

The root cause is very painful: too much anonymity. If an agent defaults, it’s just a matter of switching to another wallet address to continue, with near-zero default costs. That’s why existing DeFi protocols never touch the line of unsecured lending.

So what does KITE AI want to do? It approaches from the perspective of machine execution, leveraging its SPACE framework and the advantage of complete on-chain records to build a credit scoring system exclusively for machines. In simple terms, it turns "historical behavior" itself into an asset that can be used.

The key breakthrough lies in the Credit Delegation module within the SPACE framework. The logic of this system is to directly turn reputation and credit into transferable assets. This is true innovation—no longer sticking to the old routine of "how much collateral," but starting from the actual operational records of machines to establish a genuine internet-native credit system.