Kadena surprisingly announced today that it has stopped its operations and KDA Coin price suddenly dropped by more than 50 percent. While it was generally a good day for cryptocurrencies, Kadena gave the worst news it could possibly give. So why did they make such a decision? What will happen next?
Why is Kadena (KDA) Falling?
Declaring that his organization can no longer continue its activities kadena team announced that all commercial activity of the network would be stopped. In their announcement, citing market conditions as the reason, they wrote the following;
“A huge thank you to everyone who has joined us on this journey. We regret that due to market conditions we cannot continue to encourage and support the adoption of this unique decentralized service.
We informed our staff that we would stop our activities. We are retaining a small team to manage this transition and liquidation process. If you have any questions or concerns, please contact operations@kadenaio.” – Bankruptcy Announcement Kadena
Is Kadena Closing?
kadena The blockchain is not owned or operated by the company. This means it can remain viable as a fully decentralized PoW network. Of course, it is necessary to answer why independent miners would want to keep a network without a company behind it. Because everyone is mining for profit motivation. Why would indie developers waste their time with Kadena if there’s no organized team behind the network?
“The Kadena blockchain is not owned or operated by the company. As a fully decentralized proof-of-work smart contract blockchain, the network is operated by independent miners, while the smart contracts and protocols are independently managed by their backers.
“For operational continuity, we will soon introduce a new binary that enables uninterrupted operation without our involvement and encourage all node operators to upgrade as soon as possible.” – Bankruptcy Announcement Kadena
With the latest token economy update, 566 million KDA has been allocated for the continuation of mining activity on the network. This means that miners will receive automatic rewards until 2139.
KDA Coin
A team from the Kadena community may come forward and say that we will shoulder the development independently. You remember the incident in Terra Rebels. This may bring excitement and uplift, but we also know that the Terran Rebels or other similar attempts have failed.
Thus KDA Coin As we continue the day with a loss of nearly 60 percent, the fullness of the bearish candle shows that there may be more. The sad part is that the bottom below the October bottom will mean the new ATL. KDA, which once found buyers above $9, will now likely have a price with more leading zeros.
