- Celestia announced Private Blockspace, which exposes verifiable cryptographic state to the Celestia network for public data availability checks.
- Verifiable encryption in zkVM proves properties such as hashes/Merkle roots without decrypting the encrypted state.
Celestia announced Private Blockspace, a framework for on-chain markets that require confidentiality along with public verification. initiative target Positions, balances, liquidation and execution logic play a key role, including perpetual futures exchanges, order books and institutional settlement rails.
Celestia said the design keeps these details private while allowing third parties to confirm that the data is available and that protocol commitments are posted. On-chain. The company discussed the common trade-off of private markets, where full state disclosure makes the strategy public, while having to rely on operator trust to keep data off-chain.
Introducing Private Blockspace: Built for high-performance on-chain markets where confidentiality is a requirement, not a feature.
Positions, balances, and execution logic can remain private, but data availability and protocol commitments are designed to remain public… pic.twitter.com/pNT0E56PxE
— Celestia (@celestia) January 23, 2026
Additionally, off-chain models may limit independent auditing and may increase the risk of withdrawal if the operator stops processing requests. Private Blockspace is intended to expose encrypted state to Celestia so that its availability can be publicly verified without exposing the underlying content. Private Blockspace relies on a Private Blockspace Proxy that posts verifiable cryptographic state to Celestia. The company said Verifiable Encryption allows it to prove selected properties of encrypted data without decrypting it.
In the approach outlined, encryption is performed within zkVM and outputs proofs of the algorithms and parameters used, along with protocol-defined assertions such as referenced hashes and Merkle root matches. Anyone can check the availability of ciphertext and proofs on Celestia. Previously, CNF reported it is $TIA The token is indicative of an extended bullish transition phase, with some forecasts predicting gains of over 1,000%.
Verifiable cryptographic state exposed to Celestia
Celestia tied the release to its data availability capacity. He noted that current throughput is about 5.3 MB per second, and pointed to Fiber Blockspace, which is designed to reach up to 1 Terabit per second under target conditions. According to the company, the greater headroom is aimed at supporting frequent encrypted state updates for latency-sensitive markets while maintaining fault tolerance from the underlying network.
The network says applications can commit state transitions that auditors can verify against publicly available proofs, while keeping their execution logic private. The announcement stated that key management determines who can decrypt state and presented several options to developers. These include conditional selective disclosure to designated parties and threshold encryption for reconfiguration by multiple parties.
We also described an account-centric model that allows users to decrypt balances and positions while preserving the confidentiality of other accounts by providing an encryption key for their account data. This proposal also allows users to proceed with specific state updates by proving the correct state transition of the data.
Celestia identified Hibachi as an early deployment of using Private Blockspace for fast persistent exchanges, exposing encrypted exchange state to Celestia with public checks for availability and correctness. The company also mentioned a data marketplace that publishes verifiably encrypted datasets so buyers can check availability before paying.
At press time, $TIA token was trading with $0.4585, under 1% The market cap in the last 24 hours was $399.4 million. $TIA Trading volumes have surged more than 30% in the past 24 hours. $39.8 Million.
