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I'm sorry - in my opinion, yes, it's bad. You can't have it both ways. I would rather see you name her either Kaede or Cadence, not try to combine the two. Combining them into one spelling - or respelling the word Cadence at all - to me sort of dumbs the name down, from a lovely concept-name to a "pretty sound and look." And as such it seems more trivial and shallow.

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I think you'd be perfectly okay to name her Cadence and call her Kaede, and spell it like that, and say she's named in honor of Kay.