Celestia has made headlines with the launch of its most significant software upgrade, Matcha, on November 24, 2025. This upgrade promises to enhance the blockchain's performance and address some of the ongoing challenges faced by its native token, TIA. Based on the data provided in the document, the community is optimistic about the potential improvements that Matcha could bring.
Matcha Upgrade Overview
The Matcha upgrade introduces a substantial increase in block size, expanding it from 8 MB to an impressive 128 MB. This change is expected to improve transaction throughput and overall network efficiency. Additionally, the annual inflation rate for TIA has been halved from 5% to 2.5%, a move aimed at stabilizing the token's value in a volatile market.
Market Performance Concerns
Despite these advancements, TIA's market performance remains concerning, with the token down approximately 97% from its all-time high in December 2024. Cofounder Mustafa Al-Bassam highlighted that the upgrade facilitates verifiable light nodes, which enhances security while preventing the concentration of power within the network. However, the persistent decline in TIA's value underscores the complexities of tokenomics and the broader challenges facing cryptocurrencies today.
As Celestia's Matcha upgrade aims to enhance blockchain performance, the Ethereum network is preparing for its own significant upgrade with the Shanghai release, set for December 3. This update focuses on improving Layer 2 solutions and data availability. Read more.
