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Literally "Okay, thanks, bye". Commonly used when short words and phrases are needed, as in when chatting and texting. Can also be used to quickly end a conversation, usually in a rude fashion.
Jane: "Hai John! Sup?"

John: "Nm, gtg, kthxbai."

or

Jane: "Hey John, why won't you talk to me?"

John: "Because. kthxbai."
kthxbai by avengergirl May 14, 2010
Related Words
Could you please boot that n00b from the server? kthxbai
kthxbai by squidblaine May 9, 2004
'Kay, thanks, bye.
(Okay, thank you, goodbye.)
A hasty way to tell someone goodbye, especially if you dont' want to talk to them. Also see kthxbye.
Person1: Oh, yeah, you're not really my friend. Kthxbai. *leaves*
Person2: *facepalm*
kthxbai by your mother.. May 29, 2010
kthxbai by allvanishing December 25, 2007
K Thanks goodbye

kthxbai can also be used as an insult to someone, like a n00b or someone you just don't like.
N00b1: omg liek u wana c my fab nu jurnal?
Dude: No, you make me sick n00b Kthxbai
kthxbai by Gabe Hall July 5, 2005