Kadena has officially announced that the organization behind the blockchain is ceasing all operations effective immediately. In a public statement, the team cited “market conditions” as the reason for the shutdown and confirmed that active development and business activities will no longer continue. The team also stated that a small group will remain temporarily in place to handle the transition and assist with technical continuity.
The news triggered a sharp reaction in the market. The price of Kadena’s native token, KDA, dropped from around $0.21 to below $0.10 in just a few minutes. At the time of writing, it is trading at approximately $0.075, with no signs of technical stabilization so far.
Blockchain Will Continue to Operate
Despite the shutdown of the organization, the Kadena blockchain remains functional. The network is maintained by independent miners, as it operates on a proof-of-work consensus model. According to the project’s tokenomics, mining rewards will continue to be distributed until the year 2139.
In total, over 566 million KDA remain to be distributed to miners. Additionally, approximately 83.7 million KDA are scheduled to be released from platform lockups until November 2029. These mechanisms are embedded in the protocol and will not be affected by the dissolution of the core team.
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No Successor Announced
At this time, no new leadership or community governance group has been formally announced. While the organization expressed willingness to support a transition to community maintenance, specific plans have not been released. The team indicated that a new binary will be made available to help ensure uninterrupted node operation and encouraged node operators to upgrade.
The project’s existing smart contracts and protocols remain online, but the status of future updates, ecosystem support, and partnerships is unclear. The announcement came as a surprise to many, given that just days before the shutdown, Kadena was promoting new developments and participating in community events. There were no prior public signals that the team was planning to end operations.
Outlook Remains Unclear
With the organization now inactive, Kadena transitions into a phase where its continued existence relies entirely on the participation of independent miners and any potential community-led efforts. While the blockchain is technically operational, its long-term trajectory will likely depend on whether external contributors step in to maintain and develop the ecosystem.
