Celestia Orange Paper

Celestia : A New Generation of Blockchain

THE USE CASE FORD:

The Ford use case refers to the revolutionary manufacturing method introduced by Henry Ford in the early 20th century. It involved the division of line production, which significantly increased efficiency and productivity in the manufacturing industry. This division of labor reduced the time and effort required for each worker to complete their assigned task. It allowed specialization, minimized production time, and improved overall efficiency. The assembly line concept also enabled mass production, making products more affordable and accessible to the end-user. Ford’s division line concept played a crucial role in the development of modern industrial production methods and it has since been adopted in various industries worldwide.


The Celestia use-case: Modular Blockchain Modular blockchains apply a similar concept as Ford but for blockchains. The concept of Ford’s assembly line revolutionized the manufacturing industry by bringing scalability, efficiency, and standardization to production. We can draw an analogy between this concept and modular blockchains in terms of their impact on scalability and efficiency in the blockchain ecosystem. Instead of having a monolithic blockchain that handles all tasks, modular blockchains separate the different layers or components of the blockchain, such as execution, consensus, and data storage, into distinct modules. By modularizing the blockchain, each component can be developed, optimized, and scaled independently, just like different tasks in Ford’s assembly line. This modular approach brings scalability benefits to the blockchain ecosystem. Modular blockchains also enhance efficiency by allowing for customizability and interoperability. Just as Ford’s assembly line standardized processes and components, modular blockchains enable developers to select and integrate specific modules that best suit their requirements. This flexibility improves efficiency by eliminating the need to build everything from scratch and promotes interoperability among different blockchain systems.

ANY QUESTIONS? YES, YES….. WHY?

Why?
In a blockchain system, there are typically three main layers: the execution layer, the data availability layer, and the consensus layer.
Execution Layer:
The execution layer is responsible for processing and executing transactions or smart contracts on the blockchain. It ensures that transactions and smart contracts are executed correctly and securely.
Data Availability Layer:
The data availability layer deals with storing and distributing the data related to transactions and smart contracts across the blockchain network. It ensures that the information is available to all participants in a decentralized manner.
This layer stores the transaction data, including the details of each transaction, and makes it accessible to all nodes in the network.
Consensus Layer:
The consensus layer is responsible for establishing agreement among participants in the blockchain network on the validity and order of transactions. It ensures that all nodes in the network reach a consensus or agreement on the state of the blockchain.


These three layers work together to enable a blockchain to work correctly. But, as the number of transactions and participants in a blockchain network increases, the system may struggle to handle all layers simultanely, leading to performance bottlenecks which bring slower transaction processing times and high gas fees.
Scalability has always been a crucial consideration for blockchain technology to achieve mainstream adoption. Without scalability, transaction fees can become prohibitively high, posing challenges when executing a large number of transactions on a blockchain. The blockchain trilemma, which involves a perfect balance between scalability, security, and decentralization, remains a significant obstacle without a clear solution. However, Celestia has taken a different approach to address scalability concerns.

OTHER QUESTIONS? YES, YES…. HOW?

OUR PERSPECTIVE

By strategically separating the layers and leveraging Layer 2 solutions, Celestia is actively addressing the challenges of scalability and striving to establish a more efficient and cost-effective blockchain infrastructure suitable for diverse applications and projects.
In this architecture, the native token from Celestia, TIA, assumes the role of a gas fee within the execution layer blockchain for enabling users to access data availability. Consequently, if numerous new blockchains are deployed on the Celestia platform, the TIA token will experience significant usage.
Furthermore, Celestia’s compatibility with various Virtual Machines such as Solana (SOLANA VM ROLLUP), Ethereum (EVM ROLLUP), SUI (MOVE ROLLUP), FUEL (FUELVM), and more, allows a wide range of blockchains to deploy their execution on the Celestia platform. This flexibility enhances interoperability and offers developers the freedom to choose the most suitable Virtual Machine for their specific needs.
Celestia’s approach appears to present a promising solution towards resolving the blockchain trilemma. If Celestia successfully achieves its objectives, it has the potential to push a new wave of scalable applications, bringing blockchain technology one step closer to mainstream adoption. One Last thing :
Ensuring consistent data availability is still a persistent challenge in the blockchain space but by proposing a new component called Data availability sampling, Celestia offers a promising solution.