Kite, a pioneering tech company focused on establishing trust and infrastructure for the emerging agentic web, has secured $18 million in a Series A funding round, led by PayPal Ventures and General Catalyst. This latest injection brings Kite’s total funding to $33 million. With a mission to enable autonomous agents—intelligent software entities that can interact and transact without human oversight—the implications for small businesses are both significant and actionable.
Kite, previously known as Zettablock, draws from extensive experience in decentralized networks, having served notable systems like Sui, Polygon, and Chainlink. Their new platform features a groundbreaking tool called Kite Agent Identity Resolution (Kite AIR), specifically designed for the needs of autonomous agents. This system facilitates trusted and efficient transactions and operations in real-world settings.
At the heart of Kite AIR are two essential components: the Agent Passport, which provides a verifiable identity for agents, and the Agent App Store, a marketplace where agents can access various services such as APIs and commerce tools. This feature is particularly pertinent to small business owners as it opens up new avenues for automation and efficiency, enabling them to respond to emerging consumer demands quickly.
“From the beginning, we believed autonomous agents would be the dominant UI for the future digital economies. To function, they need structured and verifiable data, That was our first step,” said Chi Zhang, Co-Founder and CEO of Kite. He emphasizes the necessity for identity, trust, and programmable payments, asserting that existing systems cannot support the speed and complexity required by autonomous agents.
Small business merchants using PayPal or Shopify can easily integrate with Kite’s platform, making their services visible to AI-driven shopping agents. Transactions are conducted on-chain using stablecoins, ensuring full traceability and a reduction in fraud risks. This streamlined process can save costs and improve transaction efficiency—an attractive prospect for small enterprises that often operate on tight margins.
Marc Bhargava, Managing Director at General Catalyst, noted, “Kite is doing the foundational work we believe will define how agents operate tomorrow.” As small businesses increasingly look for scalable solutions, platforms like Kite could become essential for adapting to automated commerce.
The transformative potential of Kite goes beyond merely facilitating transactions. Alan Du, Partner at PayPal Ventures, points out that the system breaks down existing barriers in payments, which can often involve high fees and delay issues. Acknowledging that traditional payment methods are not suitable for the high frequency and low-latency demands of machine-to-machine interactions, he stated that Kite’s infrastructure enables stablecoin-based settlements with minimal transaction costs.
However, small business owners should consider the challenges inherent in adopting such innovative technology. The transition to a system centered around autonomous agents will require an adjustment phase. Education on how to integrate and leverage these tools effectively will be crucial. Additionally, as the use of stablecoins comes with regulatory scrutiny, staying informed about compliance issues will be paramount.
Kite’s focus on using blockchain technology addresses the critical need for security and transparency in business transactions, factors that are increasingly vital as digital fraud becomes more sophisticated. As Steve Everett from PayPal Crypto and Digital Assets emphasized, “Enabling simultaneous, atomic settlement … will be the killer combination that delivers the promises of programmable payments in the exciting frontier of agentic commerce.”
The founding team brings together a wealth of experience from notable tech companies, equipping Kite with the know-how to tackle the complexities of the agentic economy. Their expertise signifies that they are well-positioned to lead the charge in redefining how businesses transact in an increasingly automated world.
As small businesses navigate this new landscape, the foundational trust infrastructure introduced by Kite holds the promise of not just transforming payments but revolutionizing their entire operational paradigm. The future of commerce, driven by automated agents, is not just on the horizon; it’s materializing now.
For further details, you can read the original press release here.
Image Via BizSugar
