22 Oct
22Oct

The Kadena organization has announced the immediate cessation of all business operations and active maintenance of its blockchain, citing unfavorable "market conditions." This sudden decision has sent the native token, KDA, into a massive sell-off, with its price falling by over 60%.

The organization's post on X (formerly Twitter) confirmed that all employees were notified of the shutdown. While the corporate entity is dissolving, the team stressed that the Kadena blockchain itself will continue to run as a fully decentralized, Proof-of-Work network, powered by its independent miners.

Network Continuity and Community Transition

The former Kadena team will release a new binary to ensure the network continues to operate without corporate oversight, urging all node operators and protocol contributors to upgrade quickly. The protocol's long-term emissions schedule remains in place, with over 566 million KDA rewards available for miners until the year 2139. The organization stated its willingness to engage with the community to transition to community governance and maintenance.

Market Reaction and Community Backlash

Despite assurances of network continuity, the market reacted sharply:

  • Price Crash: KDA's price plummeted 62.3% almost immediately, from $0.207 to $0.078, and is now hovering near its all-time low.
  • Trading Surge: The sell-off was accompanied by a 1,277% increase in 24-hour trading volume, reflecting a rush of investors repositioning their holdings.

The announcement was met with significant backlash from the community. Some analysts described the abrupt shutdown as an "exit scam," advising holders to sell immediately. Other key opinion leaders (KOLs) criticized the lack of transparency and called the move a "betrayal of a community," arguing that the project was abandoned when faced with difficulty.

The Kadena shutdown now serves as a critical test case for the broader crypto industry, raising the fundamental question of whether a decentralized blockchain can thrive long-term without central corporate leadership.

October 2025, Cryptoniteuae

Comments
* The email will not be published on the website.