Decoder. plain-English AI glossary

prompt caching API

▲ Risingprompt caching API

An API feature where you cache the prefilled tokens (prompt, system instructions, uploaded documents) and pay less to reuse them in follow-up queries.

Think of it like

Prepping ingredients the night before—do the expensive work once, reuse for multiple meals.

Example

Upload a 100k-token document. Tell the API to cache it. Make 10 queries against the doc. You pay full price for the first query, discount (e.g., 10%) for the rest.

How it actually works

Prompt caching reuses KV cache entries from initial processing. It requires exact match of prefix tokens (so changing system prompt breaks cache). Saves both cost and latency. Relatively new feature; adoption growing.

For product teams

Reduces cost for document-heavy workflows; enables conversation-over-documents at scale.

For engineers

KV cache management; prefix matching; usually 90% discount on cached tokens.

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