Celestia Tightens Token Control with Strategic Buyback and Staking Overhaul
Celestia has moved to reclaim control over its token economy with a $62.5 million buyback of TIA tokens from early investor Polychain Capital.
The foundation confirmed the repurchase was conducted at around $1.44 per token, a move aimed at redistributing supply under a revised vesting schedule beginning August 16.
The decision follows mounting criticism of Polychain’s heavy sales of staking rewards, despite its initial investment still being under lock. On-chain analysts estimate the firm offloaded over $240 million worth of TIA, sparking concerns over fairness in reward distribution.
In response, Celestia’s upcoming “Lotus” mainnet upgrade is set to introduce a staking reform: rewards will be partially locked based on the vesting status of associated tokens. This change is designed to prevent early investors from extracting liquidity ahead of schedule, aligning rewards with long-term participation.
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The buyback and staking update reflect a broader attempt by the Celestia Foundation to stabilize tokenomics and address community frustrations. By curbing speculative flows and reinforcing time-based incentives, the network hopes to reestablish confidence among retail investors and attract new strategic partners committed to sustainable growth.
Kosta has reported on cryptocurrency markets and blockchain infrastructure since 2020, bringing over six years of hands-on experience in the crypto industry built through daily tracking of markets, trends, and emerging blockchain developments. Specializing in Bitcoin on-chain analysis, institutional ETF flows, and digital asset price action, his work at Coindoo has been cited by other news agencies and consistently covers market developments with a focus on data-driven reporting across Bitcoin, Ethereum, Solana, and XRP. Over the years, Kosta has contributed to multiple crypto media outlets in different regions, authoring over 6,000 articles across the sector. His reporting spans cryptocurrency markets and the broader fintech industry, tracking not only price action but also the technological and regulatory forces shaping the ecosystem. To support his analysis, Kosta actively leverages on-chain data and metrics from leading platforms such as Santiment, Glassnode, and CryptoQuant, enabling deeper, evidence-based market insights. He believes in the power of transparency and the data that underpins the blockchain ecosystem. His academic background in Marketing Management from Denmark further complements his analytical approach, adding a strong understanding of communication strategy and content positioning to his work.
