The Celestia blockchain facilitated 350,000 transactions in the first two days after its launch. The TIA token has registered a record 200% price rally since the introduction.
Despite a sluggish start in on-chain activity, the newly launched modular blockchain Celestia has witnessed a surge in speculative trading. The native TIA token, which debuted around $2.10 two weeks ago, has experienced a speculative rally, reaching $6.30 – an impressive 200% increase. However, it’s essential to note that TIA’s rise is not directly proportional to the increased Celestia blockchain usage.
While the Celestia blockchain facilitated 350,000 transactions in the first two days after its launch, subsequent activity has been more moderate, with an additional 160,000 transactions recorded since then, as reported by MintScan.
Just for comparison, the rival modular blockchain network Arbitrum has registered anywhere between 550,000 and 920,000 daily transactions over the last week. Celestia, a modular blockchain network, empowers users to effortlessly deploy their own blockchain with minimal overhead. Revolutionizing blockchain architecture from its core, Celestia achieves scalability by introducing a groundbreaking concept – data availability sampling – thus decoupling execution from consensus.
This minimalistic blockchain approach eliminates constraints on execution and settlement, allowing developers the freedom to define their own environments for execution and settlement. This innovative design opens up untapped possibilities for builders and developers in the blockchain space.
Celestia Demonstrates Excellent TPS
Another key metric for assessing blockchain scalability is transactions per second (TPS), and currently, Celestia registers at 0.13 TPS. In comparison, Arbitrum boasts a daily average of 8.01 TPS, according to L2Beat.
Notably, Celestia (TIA), having launched just two weeks ago, is not expected to match the adoption levels of Arbitrum, operational since May 2021. However, it now faces competition from industry heavyweights like NEAR, which has entered the race alongside Celestia to offer data availability services to Ethereum rollups.
Data availability, defined as the capability for network nodes to download, store, and make transaction information accessible for verification, has become a crucial aspect. Sean Farrell, a crypto analyst at FundStat, highlighted this in a recent note.
Despite the initial lack of immediate demand for its data availability functionality, Celestia’s tokenomics have garnered attention from traders. Only 141 million tokens out of the 1 billion hard cap are currently circulating, with the majority of the total supply locked up until October 2024 and October 2026. The trading volume for TIA stands at around $900 million over the past 24 hours.