Blast is Shutting Down its Operations

[AhmadM]

I'm sharing this just in case some people here aren't aware of the latest news from the Blast L2 chain.

After around 3 years in the crypto industry, the Blast team has decided to shut down operations on the Blast chain.

Blast will be shutting down.

We launched Blast with the goal of building a self-sustaining chain for users and developers. Unfortunately, the economics of operating the chain no longer make sense: the ongoing costs of maintaining Blast exceed the revenue generated by the L2, and we do not see a credible path to making the chain economically sustainable.

As a result, we've made the difficult decision to wind Blast down.

We're sorry to the users and developers who believed in Blast, built on it, and supported the ecosystem. Our priority now is making the shutdown as smooth and safe as possible.

We're asking all users to withdraw their assets from Blast to Ethereum mainnet, including any balances held in the Blast PWA.

To make this easier, we will be reducing the withdrawal delay to 24 hours.

As part of the shutdown process, we'll first begin withdrawing Blast's Lido assets. This process is expected to take approximately one week. During this period, withdrawals will temporarily be unavailable, even after the withdrawal delay is reduced to 24 hours.

Once that process is complete, withdrawals will resume with the new 24-hour delay.

Users will have until October 26, 2026 to withdraw through the normal Blast interface.

After October 26, assets will remain withdrawable, but users will need to interact directly with the Blast bridge contracts on Ethereum L1. We'll publish detailed instructions before then.

We strongly encourage everyone to withdraw their assets to Ethereum mainnet before October 26.

Based on their X post, they are struggling with the ongoing costs of Blast maintenance that exceed its revenue.

Blast team is also asking all users to move their assets to ethereum mainnet before October 26, 2026.

If you have assets on Blast, it's recommended to move/bridge it asap before too late.

[Murat]

Blaze is Shutting Down its Operations

You should correct the thread titte.

It has great potential but they decided to shut down after max extract from the community.

In this space long term builders are rewarded. but blast team probably wanted to get paid as much as possible within short term. I wonder if the blow up the company fund in memecoins or trading perps. Thus result in shutting down the project. their TVL was dropped down way too much and probably were making zero revenues. Bear Market is brutal for company's without strategy. I think we saw over 5 big companies shut down in recent months.

[$crypto$]

Subject title: should be changed to Blast, not Blaze.

As people have started to change their narrative that the L2 project is no longer profitable, especially now that ETH transaction fees are cheaper again, unlike a few years ago reaching tens of dollars once exchanging or bridging.

Blast --- the highest TVL in 2024 is 2.2 b more, after which it has decreased to now 33m TVL.
The price of the token Blast fell by 99% from ATH, indicating no progress in the project.

Network fee revenues fell dramatically, $65/$57 was unreasonable to meet operating costs, then Blast announced after his difficult situation.
https://defillama.com/chain/blast
https://coinmarketcap.com/currencies/blast/

Once Upon a time collecting points on this network to get an airdrop was just not worth it.
Once his swap / bridge fee broke $30 more at that time.

[crwth]

I have seen this chain for a while now and it does show that there are just some unlucky and miscalculated turn of events.

I'm curious to what would happen to the dApps built on Blast? I'm thinking that they would probably go and go to turn their attention in other L2s. There would probably some that could interrupt services in Blast.

What L2 network would have this outcome as well? I think it's not just about the incentives but checking the infrastructure, sequencers, security, etc. to be sustainable. I do hope that other L2s would be learning form this.
^{P.S. Additional request to change the thread title.} 

[asriloni]

So sad we have another L2 to shutdown. This proves how difficult in sustaining the blockchain in the crypto. We have plenties of dead L2 such as moonbeam, Sophon, loopring and many more. This is also showing us how copy pasta L2 is not even worthy. It has to be an awareness for any new developers not to create another l2.

Running a blockchain is costly when they can't generate sustainable revenue from there.

Beside that we also have so many zombie L1 still exist till now, but i'm sure these zombie L1 will have same fate like L2. We finally come to the era where the only blockchain with real economic activity will survive, and revenue matter a lot.

Once Upon a time collecting points on this network to get an airdrop was just not worth it.
Once his swap / bridge fee broke $30 more at that time.

No, it was still worthy it as long as you were focusing on collecting blast gold rather than point. I have farmed both gold and points in the past, and i got 4 figures from owning thousands of blast gold. People who farmed points got diluted because blast had more than 2.4b TVL at that time.

[AhmadM]

Oops, my bad. Title changed, Idk how it could become blaze instead of blast  

In this space long term builders are rewarded. but blast team probably wanted to get paid as much as possible within short term. I wonder if the blow up the company fund in memecoins or trading perps. Thus result in shutting down the project.

Another SBF? That's kinda a harsh theory, though, for shifting company funds into memecoins and perps, but who knows what actually happened behind unless an investigation occur

their TVL was dropped down way too much and probably were making zero revenues. Bear Market is brutal for company's without strategy. I think we saw over 5 big companies shut down in recent months.

I couldn't deny that, their overall TVL keeps going down day by day since the bear market began

I'm curious to what would happen to the dApps built on Blast? I'm thinking that they would probably go and go to turn their attention in other L2s. ~

What else? either they migrate to other L2 or following the footsteps of blast  

[libert19]

The number of L2s that were popping up a while back, and their usual formula of park your funds to us and earn our tokens — I never found this 'projects' having much substance and as such they are being sieved out; as they should be.

I do not discount that this projects may have made money to people though.

Bear Market is brutal for company's without strategy. I think we saw over 5 big companies shut down in recent months.

It's same thing in every bear market. I am not sure if certain projects had long term prospects to begin with or were merely cashing out on hype but otherwise as they say, 'those who don't learn from past are condemned to repeat it.'

I'm curious to what would happen to the dApps built on Blast? I'm thinking that they would probably go and go to turn their attention in other L2s.

If Blast itself had low revenue, do you think the dapps there would be having revenue to sustain themselves ? I am pretty sure most of 'em must have already packed their bags long ago. After all, it's only projects without community that die.

What L2 network would have this outcome as well? I

I ain't keeping up with crypto as of late but speaking generally, I am sure there ought to be plenty L2s winding themselves down since most, if not all were copycats (including the dapps found on these chains) with little to no substance.

Oops, my bad. Title changed, Idk how it could become blaze instead of blast  

May be keyboard's auto-correct?

PS: It's been ages since I checked Altcoin Discussion board and comments in this thread were worth to read. Well done, gentleman! This is not what I expected here.

[Dr.Bitcoin_Strange]

I saw a comment  on X (formally called Twitter) advising people to start buying Ethereum now, saying that as Blast is shutting down and investors starts to migrate their assets to Ethereum chain, that it will make ETH to pump. I know some people are going to take the advice hoping that ETH will soon start pumping meanwhile it is not even certain whether the new will have effect on Ethereum price or not, even if it does, it could just be a small short-term move that might not even sustain for days.

I just pity some of those people that is still holding the Blast native token and might not yet be aware of this information, some might realize when it's already late. As I checked the price history since the release of this information, the price has dropped by 75% already and BTSE has also delisted the token as of today. I just feel safe not investing in alt coins anymore, because assuming someone bought the token when the price was still around $0.4 which close to the ATH, hoping that it will get to $1 or more, and now it turns out that the project is winding down.