MILESTONE | Newly Launched Ethereum Layer 2, Blast, Draws Over $500 Million in Deposits in a Few Days

Blast, a recently launched Ethereum layer-2 blockchain, experienced an unusual surge in assets with an inflow of over $500 million a few days after its introduction on November 212023.

Layer 2 networks are the hottest projects in crypto in 2023. These networks, which operate on top of layer 1 blockchains like Ethereum, address issues related to speed, cost, and scalability. Blast utilizes bridges, blockchain-based tools that facilitate the transfer of tokens between different networks.

Blast incorporates a native staking feature that aims to generate returns by combining Ethereum staking with real-world assets, providing users with a unique opportunity for investment growth. Depositors start earning yields on the transferred Ether alongside BLAST points.

“Blast natively participates in ETH staking, and the staking yield is passed back to the L2’s users and dapps,” the team said.

“We’ve redesigned the L2 from the ground up so that if you have 1 ETH in your wallet on Blast, over time, it grows to 1.04, 1.08, 1.12 ETH automatically.”

Out of the total funds bridged, more than $500 million in Ether has been staked on Lido, as of this writing, offering an annualized yield of up to 4%. Additionally, there’s $63 million on Maker, and $468k held in its wallets.


Users are required to wait until the mainnet launch in February 2024 before being able to withdraw funds from the network or engage in on-chain activities. Blast Bridge is currently invite-only, with access granted through a code from invited users. Additionally, the redemption of BLAST points is set to commence in May 2024.

Blast secured over $20 million in a funding round led by Paradigm and Standard Crypto. The project is led by the pseudonymous @PacmanBlur, who is also one of the co-founders of the NFT marketplace, Blur.

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