What is Blast? Blur’s Native Yield L2 and Token Airdrop Explained

What is Blast L2 Blur
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Cryptocurrency

All about the upcoming Layer-2 and how to farm BLAST crypto tokens

Amongst the most promising EVM-compatible Layer-2 blockchains, Blast emerges as a new player. Announced in November 2023, this platform is the latest innovation from the creators of Blur, the leading NFT marketplace aggregator. Get to know more about Blast, its innovative features, and its potential role in the broader context of Web3 in 2024.

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What is Blast and how does it relate to Blur?

Blast is an Ethereum Layer-2 (L2) platform created by the same talented team behind Blur, the popular NFT marketplace protocol that shared the top marketplace ranking by volume in 2023 with OpenSea.

Blast the new layer 2 blockchain

Under the leadership of Pacman, a renowned figure in the blockchain community, and a team with rich backgrounds from FAANG to prestigious universities, Blast aims to revolutionize the L2 space with its unique offerings and innovative technology.

However, the L2 network isn’t live yet. Instead they’ve deployed a Multisig wallet where users can pre-fund their Blast account, earn interest on ETH and stablecoins, while earning Blast Points. 

The X factor: Native yield for ETH and stablecoins

Blast distinguishes itself with the introduction of native yield for ether (ETH) and various stablecoins such as USDC, USDT, and DAI. This feature is designed to enable these assets to automatically generate yield once they are transferred, or ‘bridged’, to the Blast platform.

The mechanism behind this yield generation involves two primary components: ETH staking and the integration of on-chain Treasury Bill (T-Bill) protocols, exemplified by MakerDAO.

ETH staking refers to the process where Ethereum holders can lock up their ETH to support the network’s operation and security. In return, they receive rewards in the form of additional ETH. In Blast’s framework, this staking yield is directly passed back to the users, allowing their ETH balance on the platform to increase over time.

Blast native yield rewards

For stablecoins, Blast employs a similar principle but through a different method. When stablecoins are bridged to Blast, they are automatically engaged in on-chain T-Bill protocols. These protocols work similarly to traditional treasury bills, offering a return over a set period. The yield generated from these investments is then distributed to the users, increasing their stablecoin balance on the platform.

This approach by Blast aims to provide a passive income stream to its users, potentially enhancing the attractiveness of holding and using digital assets on their platform. It addresses a common concern in the crypto space regarding the idle nature of assets, offering a solution that not only preserves but potentially increases asset value over time.

When does Blast launch? 

Blast’s journey begins with its Early Access phase, which kicked off in November 2023, marking the first opportunity for users to engage with the platform. Additionally, the developer community is eagerly anticipating the Developer Airdrop and the launch of the Blast Testnet, both slated for January 2024.

The full mainnet launch is scheduled for February 2024, a milestone that will open the platform for widespread use. From this point, everyone will have the opportunity to utilize Blast’s features, including its native yield for ETH and stablecoins.

Blast Early Access and community reaction

Blast’s Early Access, launched on Monday, is a preliminary phase allowing selected users to explore and utilize the platform before its full launch scheduled for March 2024.

In this phase, users can bridge assets to the platform, participate in native yield opportunities for ETH and stablecoins, and earn Blast Points through staking and referrals. Despite withdrawals being closed until March, this Early Access has already seen over $450 million in deposits, indicating significant user interest and financial engagement.

Blast L2 Data First Week
In its launch week, over 50.22k UAW joined Blast Early Access according to DappRadar data

However, the platform’s invite-only mechanism and the Blast Points reward program have led to mixed reactions. While some appreciate the innovative approach, others liken the rewards system to a pyramid scheme, citing concerns over the sustainability of such models.

Despite these debates, Blast’s ability to attract such a substantial sum, becoming the seventh-largest holder of staked ether, underscores its appeal in the crypto community.

The BLAST token airdrop

The BLAST token airdrop is a pivotal element of the Blast ecosystem, designed to reward user engagement and support platform growth. Users can participate in this airdrop by bridging assets to Blast and inviting new members, thereby earning points.

These points, a measure of their contribution to the platform, will be redeemable as BLAST tokens in May 2024.

Blast Airdrop Timeline

The airdrop is structured in two distinct stages:

  • 50% is allocated to early adopters (starting in November 2023), rewarding their initial engagement and asset-bridging
  • 50% is reserved for developers (starting in January 2024), incentivizing them to build and innovate within the Blast environment.

How to farm BLAST tokens

With the BLAST crypto token launch date coming soon, airdrop hunters have already started looking for the best ways to earn it. In order to join the Blast Early Access airdrop, you’ll need to:

  1. Visit Blast’s official website
  2. Enter your invite code to claim your airdrop (examples include 4WB38, CN6S7 and VQTBF)
  3. Connect your X (former Twitter) account to follow the Blast official account
  4. Connect your Discord account to join Blast’s group
  5. Connect your Ethereum wallet and bridge ETH tokens to Blur (the more you bridge, the higher amount of Blast points you’ll get)

Hodlers of Blast points will be able to convert them into BLAST tokens in May 2024. 

DappRadar offers information on blockchain projects like Blast for educational purposes only. Our content is not financial advice. We advise users to conduct their own research and exercise caution before engaging in any blockchain-related activities.

Blast vs other Layer-2 chains

When compared to other L2 chains, Blast stands out primarily for its native yield feature. While most L2s focus on scalability and transaction speed, Blast adds an additional layer of value by enabling assets to generate yield natively. This approach not only enhances the user experience but also proposes a new standard for L2 platforms, potentially reshaping expectations in the blockchain community.

Blast Layer 2 comparison with Optimism and Arbitrum
L2s comparison on the Blast official website

Blast benefits for developers

Months away from the official launch, Blast promises to become a leading choice for dapp developers.

Scheduled to launch in January alongside the Blast Testnet, the Developer Airdrop encourages developers to bring their projects to Blast, capitalizing on its EVM compatibility for a seamless transition.

Adding to this, Blast has committed to distributing 100% of its gas revenue to developers who build dapps on the platform. A strategy that not only incentivizes development within the Blast ecosystem but also closely aligns the interests of developers with the platform’s growth and success.

Explore and compare trending blockchains 

Blast is shaping up to be one of the most promising blockchain launches of 2024, offering unique features and incentives that could significantly impact the Layer 2 ecosystem.

For those interested in tracking its performance and comparing it with other blockchains, DappRadar provides the ideal tools. Do your own research through the DappRadar Chain Ranking and the dedicated Blast Chain Page, with detailed information and data about trending projects within 55+ chains.

Discover DappRadar Rankings

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