Kadena officially announced the suspension of all commercial operations, causing the KDA token to drop 60% at closing. However, the blockchain itself continues to function under a decentralized Proof-of-Work (PoW) model. Investors reacted cautiously, as the company’s operational halt shook market confidence. The network will still be managed by independent miners and community developers.
Kadena’s team stated, “We regret that we cannot continue to promote and support adoption due to market conditions.” KDA tokens will remain in circulation, and over 566 million tokens will be distributed through mining rewards until 2139. This development has heightened long-term investor caution regarding the network’s growth and trust.
Cardano Founder Hoskinson Signals Support
Cardano founder Charles Hoskinson reached out to the Kadena community on X (formerly Twitter), signaling potential support or partnership discussions. He included the statement, “Does anyone from the Kadena ecosystem want to reach out?” This message came just hours after Kadena’s public announcement about halting operations, sparking speculation about a possible Cardano-Kadena collaboration.
Hoskinson has previously shown openness to cross-ecosystem partnerships. In August, he discussed a potential partnership with XRP and confirmed that Lace Wallet would soon support XRP transactions. These experiences strengthen the possibility of Cardano offering support to Kadena.

Kadena Network Remains Functional
Kadena emphasized that its network will continue to operate under the decentralized PoW model. A final software update was released to ensure the blockchain remains functional without company intervention. Independent miners and community developers will maintain the network.
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KDA tokens will stay in circulation.
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566 million tokens will be distributed through mining rewards by 2139.
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The network will function independently under the PoW system.
These developments are critical for the Kadena community and investors. Potential support from Cardano could provide a lifeline for KDA tokens and the Kadena ecosystem.
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