cgminer.exe --scrypt -o stratum+tcp://hot.wemineltc.com:3333 -u derpderp.1 -p x --gridseed-options=baud=115200,freq=888,chips=40 --hotplug 5
freq is too high for the blades, the stock clock is 800, I run mine at 838 and some at 825. The small pucks work great at 888, but for the blade they'll produce a ton of hardware errors.
That shouldn't stop it from submitting shares, just create a lot of HW errors. The rest looks good to me.
Weminltc has a dedicated server for gridseed, stratum+tcp://gridseed.wemineltc.com:3333
Also make sure your starting difficulty on Wemineltc isn't too high, something like 256 or lower for starting difficulty.
If none of that helps I'd trouble shoot the power, with just usb plugged in and no power they won't hash but they'll still get recognized by cgminer. Make sure the fans working and there is enough power.
I can't think of anything else, good luck.