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What Is Kadena? | KDA Review I Notum

By Notum

Jun 03, 202218 min read



Blockchain technology continues to gain popularity in the crypto space due to its potential to create trusted apps. Developers are just beginning to realize the potential of the blockchain and introduce revolutionary projects to the world, such as smart contracts and tokenized real assets. However, blockchain application creators still face a lot of challenges such as scalability, lack of interoperability, weak security, and so on.

Since blockchain technology has a huge potential for everyday use, there is a need to create a new project that solves existing problems. Hundreds of developers are looking for a secure, easy-to-use, and fast solution every day. Unfortunately, no crypto project meets all the above criteria yet, but Kadena is as close as possible to revolutionize the blockchain world. Our Kadena review will introduce you to this innovative project, explain its distinctive features, way of work, and gives a perspective on the KDA token.

What Is Kadena?

Kadena is a hybrid Layer 1 Proof-of-Work blockchain that allows developers to build ultra-fast and cost-effective decentralized applications. This project offers developers a new smart contract programming language, as well as innovative development tools. "Kadena’s mission is to perfect its base layer for scalability and developer purposes without needing Layer 2 scalability and functionality protocols." - CoinGecko.

As mentioned, there are several points that prevent the massive implementation of blockchain technology. These include the complexity of use, weak security, and, importantly, low scalability. Kadena is a unique project whose developers have put their efforts into solving all three problems.

To understand how the Kadena blockchain differs from others, let's look at its main components:

  • Chainweb. This public blockchain protocol was specifically designed to ensure that Kadena has the necessary level of scalability and security.
  •  Pact. This smart contract language is as simple as possible, so it solves the problem of complex use.
  •  Kuro. This blockchain is private and uses a Byzantine Fault Tolerant (BFT) consensus method to achieve much faster speeds.

With these key components, Kadena has every chance to become the most scalable and secure blockchain in existence. In addition, this project is characterized by excellent speed and can process 480000 transactions per second.

Who Are the Founders of Kadena?

About 10 years ago, various projects needed a blockchain that would have great performance. To solve the problem, this technology was developed from scratch by two incredible specialists - Stuart Popejoy and Will Martino. While Popejoy was an employee of the blockchain division of JP Morgans Blockchain Center for Excellence, Martino was the lead engineer of JP Morgans first blockchain, which already speaks to their level of knowledge and skills.

Already in 2016, they decided to create the Kadena blockchain, which would be ideal for enterprise use and launched the mainnet in 2019. The main goal pursued by the Kadena developers was the mass adoption of the blockchain, as they understood that with the help of Smart Contracts, the Kadena chain could achieve completely new heights in the crypto world.

Another standout date for the Kadena project was 2020 when its multi-blockchain expanded from 10 to 20 chains. Thanks to this, the blockchain has achieved an incredible throughput of 480,000 TPS. Moreover, now the developers continue to work on Kadena expansion to 50 chains, which will bring the throughput to a million transactions per second.

How Does Kadena Work?

Kadena differs from other blockchain technologies in that it uses PoW to solve problems that arise on other platforms. Thus, the Kadena design improves both throughput and scalability (though braided chains). Moreover, the security of this blockchain is on par with Bitcoin"The Kadena ecosystem also aligns the interests of all blockchain participants through the allocation and distribution of coins. Its customized process for doing so creates sustainability, scalability, and security."  - ByBit.

While platforms like Ethereum use a single-chain architecture, their PoW cannot be scaled. Kadena, in contrast, uses the multi-chain braided structure. Thus, the throughput of this blockchain technology is unlimited, which allows users to make millions of transactions every day.

As said, Kadena architecture consists of two blockchains — the public Layer 1 Chainweb multi-chain and the private Layer 2 Kuro blockchain. These blockchains are interoperable using the smart contract language Pact. This solution allowed the developers to neutralize the scalability problems faced by PoW blockchains while maintaining the high level of security inherent in this consensus algorithm. In addition, thanks to the multi-chain architecture, the Kadena blockchain can accommodate many chains, increasing its throughput while not increasing power consumption. The project team strives to create an easy-to-use and scalable blockchain platform with a first-class security level.


Chainweb is a modernized PoW consensus algorithm. This consensus algorithm braids together Bitcoin-like chains and allows parallel processing of transactions. Each of the PoW chains in Chainweb mines KDA coin and refers to the previous blocks of the chains, having the same capacities as the main chain. Thanks to its architecture, Chainweb provides high throughput at the basic level. Thus, developers eliminate the need to use second-layer solutions, such as Lightning Network, making developing decentralized applications more convenient and cost-effective.


Kuro is a private Layer 2 blockchain that was developed for enterprise use and brings smart contracts to the chain. Kuros private blockchain allows businesses to take full advantage of blockchain technology while keeping sensitive data inaccessible to the public. To date, the Kuro can support more than 8,000 transactions per second across 500 nodes while remaining secure and cost-effective. However, this is not the only advantage of Kuro. The developers were the first to introduce the concept of gas stations.Thanks to this feature, developers and corporate clients can pay transaction fees for their users. It is assumed that in the case of the development and launch of dApps and blockchain games, this will eliminate a barrier to mass use.


Pact is a specially designed smart contract language characterized by ease of use and security. Pact is used to ensure the interoperability of public and private blockchains. "Pact is the only Turing-complete smart contract language for blockchain. Solidity on Ethereum are not Turing-complete, which leaves developers with a limited set of functions." - Phemex. The Kadena team claims that Pact is one of the simplest programming languages. Any advanced Excel user will be able to write their smart contract on it and run it in the blockchain. Pact has a simple integration with existing corporate databases using its own API.

What Is KDA? $KDA Token

With the growing interest in blockchain technology, many people began to wonder what Kadena crypto is and where it can be applied. The KDA token is the fuel of the Kadena ecosystem. The KDA crypto is used to pay fees and reward miners. The maximum supply of tokens will be 1 billion. The circulating supply is 228,128,441 $KDA.

KDA is mined by miners who receive a portion of tokens as a reward. Therefore, the maximum supply will be reached in over 120 years. Now, about 1.94 million tokens are mined per month. However, the number of issued KDA per month will be reduced by Kadena halving over time. Thus, there is no specific Kadena halving date, as it will face halving every year, "where the amount of tokens awarded to miners per block decreases by half."Chain­­­deBrief. This strategy allows KDA to remain a deflationary asset, despite the seemingly sizeable maximum supply.

The project team also released a wrapped token on Ethereum — wKDA. wKDA can be used in DeFi protocols and Ethereum-compatible blockchains: that is, operations with KDA can now be carried out in all these networks. In addition, wKDA helps reduce the circulating supply of KDA, thereby motivating the price to grow.

Moreover, the crypto exchange CoinMetro has opened a KDA staking pool with an 18% APY. This solution also reduces the supply of coins and creates an artificial shortage of tokens.

Kadena’s Partnerships

Since 2019, the project has cooperated with the provider of commodities and alternative investment products, USCF. The company develops financial products on the Kadena private network and uses Chainweb smart contracts so that customers can access them through the Kadena public network. Kadena also works with the startup Rymedi, which develops blockchain applications for the healthcare sector, including the US Food and Drug Administration (FDA). At the same time, Kadena cooperates with many leading blockchain projects. For example, the Chainlink network of decentralized oracles is integrated into the Kadena network. The company also collaborates with Celo, Cosmos, Ledger, Polkadot, Terra, CoinMetro, Flux, Wrapped, and ZelCore.

The Kadena team launched the decentralized exchange Kadenaswap, an automated market maker (AMM). Kadena swap supports protocols such as Bitcoin, Ethereum, Cosmos, Polkadot, Terra, Celo, and Chainlink.

Where to Buy $KDA?

If you don't know where and how to buy $KDA, it's better to use reputable and secure exchanges. SimpleSwap is a perfect place to start your crypto operations with $KDA, because it's simple to navigate, easy to process, and has a wide range of 500+ assets to choose from.

What is the best Kadena crypto wallet? According to the Kadena site itself, best KDA wallets are Chainweaver, Koala Wallet, Zelcore and X-Wallet.

Final Thoughts

Kadena is a promising blockchain that has already solved many problems of existing blockchains and received support from large companies and investors. Kadena developers have done the impossible — they scale the PoW blockchain without sacrificing security and decentralization. Moreover, with the entry into the DeFi and NFT markets, the scope of its application becomes much broader. In addition, Kadena has a revolutionary feature — gas stations — with which companies can pay fees instead of their customers. A strong team, revolutionary technologies, and incredible bandwidth make Kadena one of the potential leaders of the crypto market.

Disclaimer: Notum does not provide any investment, tax, legal, or accounting advice. This article is written for informational purposes only. Cryptocurrency is subject to market risk. Please do your own research and trade with caution.