Around $400 million in Ether (ETH) has been withdrawn from the Ethereum layer-2 network Blast after the launch of its mainnet on February 29 at 9:00 pm UTC, unlocking nearly $2.3 billion in staked crypto previously locked on the network.
Blast, an optimistic rollup blockchain scaler, offers users up to a 4% annual return on deposited Ethereum (ETH) and 5% on stablecoins held on the network. These returns are generated from staked ETH and United States Treasury Bills (T-Bills) managed by MakerDAO.
Ethereum Layer 2 Chain Blast Releases Official Mainnet
Blast’s mainnet has been officially launched. Early access users can bridge to the mainnet and utilize the Blast native Dapp, offering unique features not found elsewhere.
Blast’s total value locked (TVL) has decreased to $520 million post-launch, with nearly $1.8 billion withdrawn, as per DeFiLlama data. Assets on the platform include approximately 479,000 ETH, 78.5 million USDC, 68.3 million USDT, 148,000 stETH, and 31 million DAI, according to a Dune Analytics dashboard.
Blast, claiming to be the “only Ethereum L2 with native yield,” gained significant attention with its deposit-only bridge introduced in November. This bridge accumulated over $2 billion in deposits, with depositors earning Blast “points” for holding their ETH.
The points were expected to be redeemable for a token airdrop, leading traders to participate in “points farming” to accumulate them. Airdrops are commonly used by crypto protocols to distribute tokens to early users and contributors, aiding in decentralized governance.
Blast aims to differentiate itself in the competitive Ethereum scaling market by incentivizing users with native yield on staked cryptocurrency and offering a share of tokens through airdrops. Traders holding Blast Points now have the option to redeem their deposits and explore other opportunities.
Despite initial criticisms and concerns about its one-way bridge and deposit solicitation during development, Blast emerged as one of the most active layer-2 networks in terms of deposits even before the mainnet launch. It attracted $2.3 billion in deposits from 181,000 users, generating an annual yield of $85 million.
Airdrop hunters have actively farmed the blockchain in anticipation of receiving Blast tokens, set to be distributed in May. However, the network faced its first alleged exit scam when a gambling protocol called “Risk on Blast” disappeared with 420 ETH, equivalent to approximately $1.25 million at the time, collected from user funds for its RISK presale token.
Despite challenges, Blast has received support from various projects, including NFT platform Zora and pricing oracle provider Pyth, which announced their integration with Blast. Developers creating decentralized apps (dApps) on Blast are poised to receive 50% of the upcoming airdrop allocation, further enhancing the ecosystem’s attractiveness.
Ian is a cryptocurrency enthusiast blending humor with professionalism. With an engineering background and a storyteller's heart, he simplifies the blockchain world with sharp analysis and a touch of wit. At Cryptowire, he brings his unique perspective to make digital financial innovation accessible to all.
