Following the founding team’s announcement that it was shutting down and stopping all network maintenance due to “market conditions,” the native token underpinning the Kadena layer 1 blockchain fell 60% in 90 minutes on Tuesday.
Kadena stated in a post on X(Twitter) on Tuesday that it “will be ceasing all business activity and active maintenance of the Kadena blockchain immediately as it is no longer able to continue business operations.”
Kadena shuts down
“We are tremendously grateful to everybody who has participated in this journey with us. We regret that because of market conditions, we are unable to continue to promote and support the adoption of this unique decentralised offering,” it said.
All staff members have already been informed, and only a select few will remain to oversee the transfer and wind-down, according to the article.
In an odd turn of events, they even allowed individuals to express their annoyance by email.
Kadena’s chain and token are completely decentralised, so even though the staff is leaving, the network will continue to function without the organisation’s direct intervention.
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Kadena Price Actions
Meanwhile, at press time, Kadena is trading at $0.08597, down by 58% in the last 24 hours. The global market cap is $28.81 million, and the 24-hour trading volume has increased by a whopping 1228%.
Many first believed the X(Twitter) account had been hacked, so they purchased the dip. However, once the team verified on their Discord that the shutdown was legitimate, the truth was revealed.
It’s interesting to see that Binance Labs supported several initiatives, including Kadena, and is listed on Binance as well.
The exchange handled more than $24 million of the $70 million overall trade activity during this period. This indicates that Binance users were mostly responsible for the selling push.
With a $3 billion market valuation in 2021, Kadena was one of the most popular cryptocurrency ventures. It was even dubbed the “Solana killer” by some. As it happens, it simply killed itself.
There are still some people in the community who believe. They claim that by delivering the technology and making it open-source, similar to Bitcoin, the Kadena team fulfilled its obligations. They assert that miners currently control it and that it is fully decentralised.
The history
In 2016, Stuart Popejoy and Will Martino launched Layer 1, dubbed the “blockchain for business.”
Before concentrating his attention on Kadena full-time, Martino, the former CEO of Kadena, served as a tech lead for the Securities and Exchange Commission’s cryptocurrency steering group. Popejoy was the head of JPMorgan’s former Blockchain Centre of Excellence.
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