BlackNodes LogoBlackNodes · Blog
Celestia Lotus Upgrade Guide: Lower Inflation & Native Hyperlane Interop
analysis

Celestia Lotus Upgrade Guide: Lower Inflation & Native Hyperlane Interop

A concise walkthrough of Celestia’s Lotus upgrade: 33 % inflation cut, vesting-aware rewards, and Hyperlane-powered TIA transfers across 100 + chains.

Subham Gurjar

Subham Gurjar

CEO

June 1, 2025
5 min read

Lotus Upgrade Overview

Celestia’s fourth mainnet release—Lotus (v4)—lands in June 2025 with a 33 % cut in TIA inflation, vesting-aware staking rewards, and native Hyperlane interoperability that lets TIA move across 100 + chains.

Quick-Stats Table

Celestia_lotus_compare

Celestia_lotus_compare

Why Lotus Matters

- Less dilution, same yield → Inflation down one-third, staking APR steady.
- Tax flexibility → Rewards no longer auto-claim; you decide when to realise income. :contentReference
- Native liquidity everywhere → Hyperlane makes TIA first-class across 100 + EVM & Cosmos chains.

Deep Dive into Each CIP

CIP-29 — Lower Inflation & Disinflation

What changes

baseInflationRate and annualDisinflation are both multiplied by 0.67.

Why it matters

A smoother curve cuts sell-pressure while preserving validator economics.

CIP-30 — Manual Reward Claiming

What changes

Rewards accumulate until you send MsgWithdrawDelegatorReward; redelegations no longer auto-claim.

CIP-31 — Vesting-Aware Rewards

What changes

Rewards in vesting accounts relock on the same schedule; a 25 % commission ceiling blocks unlocked farming.

CIP-32 — Hyperlane in-Protocol

What changes

Adds x/core (mailbox) + x/warp (router); bootstrap with Multisig-ISM, roadmap to ZK-ISM.

Upgrade Timeline

1. Arabica testnet: Lotus live since block 5975265.
2. Mocha testnet: Activation mid-June 2025.
3. Mainnet Beta: Seven-day delay after ≥ 5⁄6 validator signalling (late June ETA).

Action Checklist

  • Validators: ensure commission ≤ 25 %.
  • Stakers: claim rewards pre-fork if you want them unlocked.

Further Reading