Agent Caching Can Drastically Cut Token Costs
Roger_M_Taylor · x · 2026-07-14
This forwarded content discusses an agent architecture designed to minimize token costs. The core idea is to place unchanging content—like tools, system prompts, and documents—at the top of the prompt, clearly separating the end of the static section to facilitate caching.
Key points include:
- Placing static content first allows caching to compress 108,000 input tokens down to an 11-token level.
- A single extra space will invalidate the cache, resulting in full-price billing.
- The cache is valid for about 5 minutes, with each read resetting the clock.
- Cached tokens do not count against rate limits, acting as extra free throughput.
Overall, it emphasizes that many have yet to fully utilize caching, and organizing prompts and context this way can pay off almost immediately.
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