L2-Blockchain Blast: Obvious pyramid or brilliant scam?
Intro
- Blast — L2-Blockchain, built on the base of Optimistic Rollup.
- Created by a team that participated in MakerDAO & Blur.
- Raised $40 million with the use of Blur and gathered $20 million from private investors like Paradigm, Standard Crypto, eGirl Capital, and investors such as Andrew Kang, Larry Cermak.
- The native token promises a fixed ETH return of 4% and a stablecoin (USDC, USDT, DAI) return of 5%.
- It’s possible to farm Blast Points after the Mainnet launch in February 2024. You can claim your points from May 24, 2024.
- Withdrawal of accumulated rewards will only be available after the Mainnet launch on February 24, 2024.
IMPORTANT: ALL THAT YOU INVEST, YOU WILL NOT BE ABLE TO WITHDRAW UNTIL FEBRUARY 24, 2024.
- Registration is only by invitation.
Drops` team invitation: https://blast.io/9YGWQ - With the help of invitations, users can create groups. When a group gathers 5 ETH, it unlocks superspins (10 times more than the standard spins) and 10 additional invitations.
- For your invitation to be active, it’s necessary for your invitees to lock 20 ETH.
Risks
- At the moment, there’s not a single L2 contract, everything is launched with a help of multisig.
- Possible scam pyramid.
- Lock of funds until February.
- Possibility of a hack, or absence of audits.
Dashboard on Dune:
https://dune.com/hashed_official/blast
At the time of writing this article, more than 15 ETH has already been bridged from 16,000 addresses. 0.9 ETH is sent on average.
We deposited 25 ETH to one of the addresses through our own invite link, thanks to which our referral link is now permanently active on our main account.
The process is very simple:
- Go to our referral link: https://blast.io/9YGWQ
- Connect Twitter, Discord, your wallet
- Then go to the bridge and transfer your ETH
Opinions from Twitter
According to the message from the user OxScope:
Ethereum L2 @Blast_L2 bridge has now received $26M in user deposits. This includes 10.8k $ETH ($21.8M) deposited into @LidoFinance and 4.55M $DAI deposited into @MakerDAO
Adam Cochran as usual, puts it straight:
Blast is just a multisig over a vault that deposits your assets into Lido and Maker for yield and “points” for an L2 that hasn’t launched yet, and that you can’t yet exit. And you can more points for inviting people to join the one way deposit… Is that right?
Like, you could just deploy an OP Stack in 15 min. Paradigm is actually invested in companies that do that… When did the bar get this tremendously low?
Crypto-enthusiast Fabian D. discusses the scale of the drop and the project rating:
Assuming @Blast_L2 launches at 1B FDV and allocates 5% of supply to Blur incentives, which is split 50/50 with farmers and stakers, then $BLUR stakers will receive $25M worth of airdrop.
if ~70% of circ supply stakes that would be $250M at current prices, for a yield of 10% over 6 months or an APY of 20%.
you can plug your own assumptions into the above. I think 1B FDV is probably on the conservative end for launch price. I think of this as somewhat of a floor.
I used a 5% supply allocation because they will be airdropping users/devs on their own chain who will likely receive a bigger portion. assuming 15% airdrop allo, split 10% for users/devs and 5% across blur incentives.
not a bad 6 month yield for holding $BLUR based on the above, early stakers will accrue more because of the multiplier, and comes with the optionality of being much higher if @Blast_L2 really takes off.
There are those who do not read the terms, like vydamo.eth:
Earlier today I deposited 80% of my eth into blast but have now changed my mind. How do I bridge back?
Another skeptic Tytan.eth:
Wait I thought this was a meme but this is a real diagram of the Blast L2 invite system Bro it’s an actual pyramid scheme 😂
Crypto-enthusiast under the nickname Sisyphus suggests:
As an FYI: The Blast “bridge” is currently a closed contract owned by a 5 person multisig, there is no L2 yet
A user under the name foobar is, on the other hand, very excited and admitted that he is an investor in the project:
Excited for this experiment with yieldbearing ETH and yieldbearing stablecoins as the core L2 asset, plus gamification done well Disclosure: am investor
User Hasu is cautiously optimistic:
Blast seeks to make yield-bearing ETH (like stETH) and USD (like DAI) the standard in crypto. I hope other chains will follow Blast’s lead.
Excited to support the talented team in this journey!
Conclusion
We believe that the project has the potential to reach FDV levels like Optimism and Arbitrum ($7–10 billion), especially considering the participation of influential BLUR team and the support of the Paradigm fund. There is no doubt that the token will be listed on all top exchanges.
By the nature of the activity, we participate in something like an ICO. There is a token lock, and then we receive bonus points. Everything is like back in 2017 when we invested in projects by sending the funds to the team`s address.
At the moment, there are no limits, so you can deposit as much as you want, at your own risk.
There is a probability that the project will re-stake the collected ETH in EigenLayer, as currently, they are staking at Lido, and the staked ETH can be re-staked at EigenLayer.
The Drops team is participating in the project and has already staked their ETH.
Our invite: https://blast.io/9YGWQ
