The name "kojic acid" comes from the Japanese ferment, koji, which is a fungus that grows on rice. It is known as kojic mold, or scientifically as Aspergillus oryzae, and is produced through the aerobic fermentation of rice. Kojic acid is also present in plants such as the African sausage tree (Kigelia africana).
 
In skincare, a derivative of kojic acid known as kojic acid dipalmitate (KAD) is often used because it is more effective and stable than kojic acid itself. KAD is also safer than hydroquinone, effectively reducing dark spots and improving skin tone with minimal side effects. Additionally, KAD acts as a natural UV filter, reducing patches on the skin caused by sun exposure and preventing photo-aging.
 
KAD can prevent UV radiation damage and inhibit enzymes that produce melanin. Furthermore, it enhances the effectiveness of other skin actives by aiding the penetration of topical ingredients. KAD also has antibacterial, antifungal, and chelating properties.