How to Use Kimi K3 and Ollama in Claude Code Paid vs Free Setup

Run Kimi K3 inside Claude Code by pointing settings.json at Moonshot AI's API — then add a free local model with Ollama. Claude Code is one of the best AI harnesses around, so instead of switching apps we keep the harness and swap the engine. In this step-by-step tutorial I replace the default Anthropic model with Kimi K3 — Moonshot's 2.8 trillion parameter open weight model — and then with Llama 3.1 running locally on my Mac. By the end you'll know how to find the hidden .claude folder, edit settings.json at the global level, add your Moonshot API key, verify the switch with /status, and point Claude Code at any Ollama model on your machine. No coding background needed. It's one settings file and copy-paste. 🔗 FREE CODE SNIPPETS USED IN THIS VIDEO: https://www.automatewithmarc.com/prompts/how-to-use-kimi-k3-and-ollama-in-claude-code-paid-vs-free-setup 🔗 LINKS MENTIONED Try Claude Code: https://claude.ai/referral/F6TtGRL1HA Kimi K3 + Claude Code guide: https://platform.kimi.ai/docs/guide/claude-code-kimi Moonshot AI platform (API keys): https://platform.kimi.ai Ollama download: https://ollama.com/download Llama 3.1 on Ollama: https://ollama.com/library/llama3.1 ⏱️ TIMESTAMPS 00:00 What Is Kimi K3? 00:36 Model vs Harness Explained 01:03 Can You Run Kimi K3 Locally? 01:28 What We're Building 01:52 Find the Hidden .claude Folder 02:22 Edit settings.json to Switch Models 04:45 Create a Moonshot AI API Key 05:55 Verify Kimi K3 with /status 06:32 Kimi K3 vs Fable 5 vs GPT 5.6 Pricing 07:07 Install Ollama, Run Llama 3.1 09:23 Point Claude Code at Ollama 11:03 Local Model Limits + Qwen Tip 12:16 What to Try Next ❓ QUESTIONS THIS VIDEO ANSWERS - How do I use Kimi K3 in Claude Code? - Where is the .claude folder and settings.json on Mac? - Can Claude Code run a local model with Ollama? - Is Kimi K3 cheaper than Claude Fable 5 or GPT 5.6 on API pricing? - Can you run Kimi K3 on a laptop? - How do I check which model Claude Code is using? 💡 CONNECT WITH ME Website: https://www.automatewithmarc.com Instagram: https://instagram.com/automatewithmarc LinkedIn: https://linkedin.com/in/marconi-darmawan Email: automatewithmarc@gmail.com ☕️ Buy me a coffee: https://buymeacoffee.com/automatewithmarc #ClaudeCode #KimiK3 #Ollama