Investing in Celestia

A MODULARIZED, CUSTOMIZABLE BLOCKCHAIN REDEFINING DATA AVAILABILITY

Celestia is the first modular blockchain network that focuses on data availability. It allows users to easily and securely launch their own blockchains, making deployment as straightforward as launching a smart contract.

WHY WE INVESTED IN CELESTIA

The philosophy of blockchain modularization sets itself apart from traditional blockchain architectures. Modularity introduces flexibility, allowing new blockchains built with Celestia's approach to focus on excelling in their core competencies. Instead of attempting to handle every aspect of blockchain functionality, these blockchains delegate tasks such as consensus, data availability, or execution to specialized blockchains, chains that are designed to perform specific roles within the ecosystem. 

Data Availability (DA) becomes a problem when some blockchains rely on the data of some other blockchains to function. This is common in rollup scenarios, where many transactions are bundled together and processed off-chain. To ensure security, rollups must then post the summary of these transactions back to the L1 chain (main blockchain) for verification, and there's a cost associated with this step. For context, Arbitrum One pays about USD 112k per day to Ethereum for its DA needs. This is about USD 0.15 per transaction on average, considering the average daily transaction volume on Arbitrum One. 

With Celestia’s Data Availability Sampling method, the cost shall be considerably lower as Celestia performs less computations, and it shall get even lower when more users join Celestia. Celestia is also gaining recognition as a competitor to Ethereum in the data availability space, particularly with its innovative use of rollups and shared security models. Starting from May, Celestia has been steadily gaining market share from Ethereum, with its share gradually climbing from 20% to almost 40%. With Celestia’s continuous effort to build up a developer community, there is a chance that Celestia will evolve into the next settlement layer like Ethereum. 

Celestia has been steadily winning market share from Ethereum since May. Source: Blockworks Research

Modularity is in nature attractive to developers. Deployment is simplified with tools like Optimint and rollups-as-a-service. Customization is maximized - self-sovereign rollups allow developers to adjust environments and transaction formats. This will not happen in a monolithic blockchain, where developers need to conform to the various devOps specifications. With modularity, more developers will be more willing to work with Celestia. 

Key team members:

• Dr. Mustafa Al-Bassam – Co-Founder and CEO
  Dr. Mustafa co-founded Chainspace, focusing on research on scaling blockchain. Chainspace was acquired by Facebook. He holds a PhD degree from University College London. 

• Ismail Khoffi – Co-Founder and CTO
  Formerly a senior engineer at Interchain, the foundation responsible for developing Cosmos.

• Batuhan Dasgin – Council Member
  Previously co-led ventures investments at Binance and the primary token offering at Binance Launchpad. Furthermore, Batuhan also established the business Development department at CMC.

We are thrilled to fuel such a revolutionary project through a private round investment. For more information, please visit Celestia website.