Blast, a layer-2 scaling solution launched by the founder of NFT marketplace Blur under the pseudonym Pacman, is facing a dramatic collapse. The total value locked (TVL) has plummeted from its historical peak of $2.2 billion to $67 million in just one year — a 97% decline.
Project Development
The protocol was launched in November 2023 without even a testnet, immediately offering users the option to deposit assets in exchange for a passive yield of 4–5%. Later, the conditions were adjusted, and today the team claims yields of up to 50% APR.
The peak of popularity came in July 2024, when TVL hit record highs. However, interest quickly waned following the airdrop of the native token BLAST.
BLAST Token Collapse
The network’s native token has also shown negative performance. At launch in December 2023, BLAST traded at around $0.025, but today the price has dropped to $0.0025, losing 90% of its initial value.
Signs of Abandonment
The activity of Blast’s official channels also raises concerns about the project’s future:
- the official X account has been inactive since May 2025 (its last post mentioned a partnership with the Safe platform);
- Pacman’s personal page has not seen any new posts for the past three months.
Contrast With Blur
Meanwhile, NFT marketplace Blur, also created by Pacman, continues to lead the market: in the past 30 days, its trading volume has exceeded $150 million. However, Blur’s official X account has also been inactive since March 2025.
Context: Challenges for L2 Projects
Blast’s downfall comes amid broader pressure on the layer-2 ecosystem. In June 2025, the zkLend team, building on Starknet, announced the shutdown of their project. The reasons included a hack and the delisting of its LEND token from major exchanges.
