Featured News Headlines
Celestia’s TIA Token Down 92%: Why Retail Investors Are Losing Faith in TIA
Celestia’s TIA Token Down 92% – Mustafa Al-Bassam, co-founder of Celestia (TIA), has publicly reaffirmed the team’s commitment and financial stability despite escalating accusations of insider profit-taking, alleged misconduct, and growing community mistrust. The project has faced intense scrutiny following a dramatic 95% price plunge in its native token.
Al-Bassam Addresses “Ridiculous FUD” and Financial Strength
In a Monday post on X (formerly Twitter), Mustafa Al-Bassam dismissed the circulating FUD (Fear, Uncertainty, Doubt) as increasingly unfounded. He stated, “All Celestia founders, early employees and core engineers are still here and working as hard as we did when Celestia started 5 years ago.” Emphasizing Celestia’s long-term prospects, he highlighted a robust financial position backed by a $100 million war chest and a runway exceeding six years.
Insider Selling Sparks Controversy and Allegations of Coordinated Misconduct
The controversy centers on significant token sell-offs by insiders amidst the token’s steep decline. Independent researchers and tokenholders accuse Celestia’s leadership of offloading large volumes of TIA tokens, leaving retail investors to absorb massive losses.
A viral X thread by Startup Anthropologist, viewed over 200,000 times, alleges coordinated financial misconduct: “All C-suite had unlocks in early Oct. 24… Mustafa sold 25M+ in OTC, moved to Dubai.” Additional claims include undisclosed payments to influencers promoting the token while employees discreetly sold their holdings.
Community members have also criticized the token’s long unlock schedule lasting up to three to four years, questioning the fairness of vesting timelines. Critics argue that such a schedule disproportionately benefits insiders while disadvantaging retail investors.
Market Position and Future Outlook
Despite backlash, Celestia maintains a significant presence in the blockchain space. Mustafa Al-Bassam notes that the protocol currently supports over 30 rollups and controls roughly 50% of the data availability (DA) throughput market, making it the “default solution for alt-DA.”
However, some industry analysts remain skeptical about Celestia’s timing and adoption curve. Investor Larry Sukernik previously labeled Celestia a cautionary tale, citing a lack of user-driven vertical integration and market traction.
Token Performance Update
At the time of writing, Celestia’s TIA token trades at $1.61, up 14% in 24 hours but still down over 92% from its all-time high of $20.91 reached in June 2024.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Cryptocurrencies and stocks, particularly in micro-cap companies, are subject to significant volatility and risk. Please conduct thorough research before making any investment decisions.
