Kadena Shuts Down Operations Amid Market Pressure
The blockchain project Kadena has officially stopped all business activities due to difficult market conditions. The announcement was made through a post on X (formerly Twitter), surprising many in the crypto community.
“We regret to announce that the Kadena organization is no longer able to continue business operations and will be ceasing all business activity and active maintenance of the Kadena blockchain immediately,” the team said.
The organization explained that it can no longer operate because of tough market conditions. All employees have already been informed about the shutdown.
Despite this, the Kadena blockchain itself will remain active because it runs on a fully decentralized network powered by independent miners. A small internal team will manage the transition and release a new software update (binary) to ensure the network continues working smoothly without company control.
Kadena also asked node operators and developers to work together to maintain the network and apply the update soon.
“We will shortly provide a new binary that ensures uninterrupted operation without our involvement,” the post continued.
The KDA token will still exist and continue rewarding miners for more than 100 years, following its original emission schedule. Around 566 million KDA are still available for mining rewards, distributed until the year 2139. Another 83 million KDA will be unlocked by November 2029.
The Kadena team said it plans to talk with the community about how to move toward community governance, meaning the network will be run by its users in the future.
“We are ready to engage with the Kadena community to discuss how we can aid the transition,” they said.
KDA Token Price Crashes After Shutdown News
After the announcement, Kadena’s token KDA suffered a huge price drop. According to BeInCrypto data, its price plunged 62%, falling from $0.207 to $0.078 shortly after the news.
At the time of writing, the price had slightly recovered to $0.087, still down almost 59% in 24 hours, and is now close to its all-time low.
Trading activity also skyrocketed — the 24-hour trading volume rose 1,277% to $105.3 million, as many investors rushed to sell or reposition.
However, the shutdown has caused major backlash in the community. Some analysts even called it an “exit scam,” warning holders to sell their KDA tokens before prices fall further.
“Kadena reportedly shut down — backed project by Binance Labs gone dark. If you hold, consider exiting immediately,” wrote analyst Huang.
Other community members accused the team of betraying investors and abandoning the project without proper communication or planning.
“Kadena had the technology and community, but not the heart. When things got hard, the team gave up. This wasn’t the end of a project — it was the betrayal of a community,” said commentator Ahmed Raza.
What’s Next for Kadena?
Kadena’s closure raises a big question: Can a decentralized blockchain survive without a central team?
While the network may keep running technically, the loss of leadership and investor trust could make it hard for the project to grow.
How the Kadena community responds in the coming weeks will determine whether it can truly stand as a self-sustaining decentralized project — or fade away without guidance.
