Major crypto exchanges OKX and Bybit rush to delist Kadena’s KDA token after the blockchain project abruptly shut down
Kadena’s KDA token has dropped more than 65 per cent after the company behind the blockchain announced it will cease operations. The move has led major cryptocurrency exchanges to start removing the token from their listings, raising concerns about investor losses and the project’s long-term viability.
Bybit and OKX confirmed on Wednesday that they are in the process of delisting Kadena’s KDA token. OKX suspended deposits earlier in the week and plans to stop spot trading on 26 October before removing all KDA pairs on 29 October. Customer withdrawals will remain open until 22 January 2026.
Bybit has already ended its lending and borrowing services for KDA and will close its perpetual contracts on 24 October. The swift reaction from exchanges highlights the scale of disruption caused by Kadena’s sudden shutdown. And as liquidity dries up, traders are rushing to exit positions before market access becomes limited.
Company Halts Operations Amid Market Pressure
The company operating the Kadena blockchain said it was shutting down due to unfavourable market conditions and a lack of sustainable revenue.
In a post on X (formerly Twitter), the team said, ‘We regret to announce that the Kadena organisation is no longer able to continue business operations and will be ceasing all business activity and active maintenance of the Kadena blockchain immediately.’
The announcement sparked an immediate sell-off, sending KDA tumbling to around $0.07 (£0.05). The token is now down 99.7 per cent from its 2021 peak of $27.64 (approximately £20.43). Analysts say the collapse highlights the challenges that smaller blockchain projects face in maintaining funding and user engagement when market sentiment weakens.
Blockchain to Continue Running Independently
Despite the company’s closure, the Kadena blockchain will continue operating through its decentralised proof-of-work mechanism. Independent miners and maintainers are expected to keep validating transactions and managing smart contracts. Developers have also announced plans to release an updated version of the network software to ensure operations continue smoothly without corporate oversight.
Founded in 2020 by former JPMorgan executives Stuart Popejoy and William Martino, Kadena sought to develop a secure and scalable blockchain tailored for business use. The founders previously helped lead JPMorgan’s early blockchain initiatives before launching Kadena as a standalone project. Although the platform attracted attention during the 2021 bull market, it failed to maintain adoption in a more competitive environment.
Crypto Market Outlook Remains Positive
While Kadena’s shutdown has unsettled parts of the altcoin market, the broader crypto landscape remains broadly stable. Bitcoin continues to lead the sector, driven by strong institutional demand, particularly through exchange-traded funds. Standard Chartered analyst Geoff Kendrick has maintained a price forecast of between $175,000 and $250,000 (£129,381 and £184,831) for Bitcoin by the end of 2025, assuming current momentum persists.
Ethereum has also benefited from renewed institutional interest following the approval of several spot ETFs, with analysts expecting the asset to approach $15,000 (£11,089) by the end of next year. Global cryptocurrency market capitalisation has now surpassed $4.15 trillion (£3.11 trillion), supported by rising participation in decentralised finance and AI-linked blockchain projects. These trends suggest that, despite setbacks for smaller tokens like Kadena, investor confidence in significant digital assets remains firm.
Originally published on IBTimes UK
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