Latest Blast (BLAST) News Update

By CMC AI
09 January 2026 01:07PM (UTC+0)

What is the latest news on BLAST?

TLDR

Blast faces ecosystem challenges with gaming shutdowns and infrastructure shifts, yet technical bottlenecks highlight broader industry issues. Here are the latest updates:

  1. Crypto Gaming Collapse (24 December 2025) – Blast Royale among games shut down as funding dried up, weakening the ecosystem.

  2. ZK-Rollup Bottleneck (24 December 2025) – High proving costs and centralization risks affect Blast and similar L2s, raising scalability concerns.

  3. Blast API Shutdown (3 November 2025) – RPC provider Blast API's closure forces developers to migrate, impacting Blast's infrastructure diversity.

Deep Dive

1. Crypto Gaming Collapse (24 December 2025)

Overview: The crypto gaming sector collapsed in 2025 due to vanishing venture capital funding, leading to shutdowns of projects like Blast Royale. Blast Royale, built on Blast’s Layer-2, ceased operations in June 2025 alongside other major titles. Developers cited unsustainable economics and abandoned crypto integrations, eroding trust among users.

What this means: This is bearish for Blast as the loss of popular dApps reduces network utility and user engagement. Gaming was a key growth vector, and closures could accelerate capital outflows from the ecosystem. (Decrypt)

2. ZK-Rollup Bottleneck (24 December 2025)

Overview: Proof generation remains a costly bottleneck for ZK-rollups like Blast, consuming 60–70% of transaction fees. Centralized "prover farms" dominate, risking censorship and outages. Blast froze 12,000 users for 48 hours in March 2025 after a node failure, exposing fragility. Solutions like ZK-specific ASICs and decentralized prover markets are emerging but not yet mainstream.

What this means: This is neutral for Blast—it’s an industry-wide challenge, not chain-specific. High costs could delay adoption, but innovations like ASICs might eventually reduce fees and improve decentralization if implemented. (CoinMarketCap)

3. Blast API Shutdown (3 November 2025)

Overview: Bware Labs shut down Blast API, a widely used RPC provider for Blast and other chains, ahead of its acquisition by Alchemy. Developers must now migrate to alternatives like Alchemy or multi-chain services (e.g., NowNodes), prioritizing redundancy. The move highlights centralization risks in Web3 infrastructure, where few providers handle critical RPC layers.

What this means: This is bearish short-term, as infrastructure disruptions could slow dApp development on Blast. Long-term, diversification may strengthen resilience but requires careful architecture redesigns. (Yahoo Finance)

Conclusion

Blast’s ecosystem contends with dApp attrition and infrastructure centralization, though systemic challenges like ZK-proof costs offer shared paths for improvement. Will Blast leverage emerging tech to rebuild its gaming niche and infrastructure resilience?

What are people saying about BLAST?

TLDR

Blast’s community oscillates between cautious optimism and skepticism. Here’s what’s trending:

  1. Price predictions clash – bullish calls for $15M cap vs. bearish TVL collapse

  2. Ecosystem growth – Sushi integration contrasts with developer exodus

  3. Whale moves – $31M Binance deposit sparks sell-off fears

Deep Dive

1. @royaltybnb: "$15M cap incoming" – bullish

"TOP BLAST TO 15M COMING"
– @royaltybnb (2,293 followers · 8,940 posts · 18 Oct 2025)
View original post
What this means: This prediction implies a 33.6% upside from Blast’s current $44.7M market cap, though no fundamental rationale is provided.

2. @delucinator: "TVL claims questioned" – bearish

"Imagine Blast [...] just post some numbers and call it their TVL"
– @delucinator (28,408 followers · 9,753 posts · 15 Oct 2025)
View original post
What this means: Critiques Blast’s transparency after TVL plummeted 97% from its $2.2B peak to $65M (The Defiant).

3. Whale Alert: $31M ETH moved to Binance – mixed

An anonymous whale deposited 8,231 ETH ($31.23M) from Blast to Binance on 29 July 2025, having previously earned $12M+ via yield farming (CoinMarketCap). While potentially bearish, the whale retains 36,769 ETH ($102M initial deposit) on Blast.

Conclusion

The consensus on Blast is mixed – developers criticize its transparency while traders speculate on volatile price action. Watch the $0.0020 support level: A break below could validate bearish TVL narratives, while holding might support bullish technical setups. Can Blast’s native yield features offset its 97% ecosystem collapse?

What is next on BLAST’s roadmap?

TLDR

Blast’s development continues with these milestones:

  1. Blast Mobile App Store (2026) – Opening ecosystem to third-party apps via whitelist-to-public rollout.

  2. Sustainable dApp Incentives (Ongoing) – Shifting from Gold/Points to targeted $BLAST grants for organic growth.

  3. Earn App Yield Expansion (2026) – Indefinite $BLAST rewards for USD deposits, tied to market demand.

Deep Dive

1. Blast Mobile App Store (2026)

Overview:
Blast Mobile aims to transition from a closed whitelist model to an open app store, enabling third-party developers to launch crypto apps. This follows the initial rollout of first-party apps like Earn, which offers yield via USDB (Blast’s yield-bearing stablecoin).

What this means:
This is bullish for BLAST because broader app adoption could increase utility for $BLAST as a payment currency and staking asset. However, delays in security audits or developer onboarding could slow progress.

2. Sustainable dApp Incentives (Ongoing)

Overview:
Blast is phasing out Blast Gold/Points in favor of $BLAST grants for dApps demonstrating product-market fit without reliance on artificial incentives. Priority goes to projects using $USDB or $BLAST natively (Blast Mobile Launch Q&A).

What this means:
This is neutral for BLAST, as it reduces inflationary tokenomics but risks slowing short-term ecosystem growth if viable dApps struggle to attract users organically.

3. Earn App Yield Expansion (2026)

Overview:
Blast’s Earn app offers 11.5% baseline yield (via MakerDAO’s DAI) plus variable $BLAST rewards. Incentives are uncapped, with APY fluctuating based on $BLAST’s market price and deposit volumes.

What this means:
This is bearish near-term due to potential sell pressure from yield farmers, but bullish long-term if sustained deposits deepen liquidity and stabilize APY.

Conclusion

Blast is pivoting toward sustainable growth via mobile adoption and reduced farm-and-dump incentives. While ecosystem expansion could revive network activity, reliance on $BLAST’s price stability for yield payouts introduces volatility risks. Will Blast Mobile’s app store attract enough developers to offset declining TVL?

What is the latest update in BLAST’s codebase?

TLDR

Blast’s latest updates focus on transitioning to liquid incentives and expanding mobile integration.

  1. Mobile Incentive Overhaul (January 2025) – Phased out Points/Gold for $BLAST rewards in Blast Mobile apps.

  2. USDB Yield Integration (January 2025) – Enabled auto-conversion of USD deposits to USDB for MakerDAO-based yields.

  3. Developer Grant Structure (January 2025) – Shifted from Gold grants to case-by-case $BLAST allocations for dapps.

Deep Dive

1. Mobile Incentive Overhaul (January 2025)

Overview: Blast replaced its Points and Gold reward systems with liquid $BLAST tokens, aligning incentives with its mobile ecosystem. This simplifies user participation and reduces reliance on speculative reward mechanisms.

The change reflects a strategic pivot toward liquidity-driven growth, as $BLAST now serves as the primary payment and reward currency within Blast Mobile apps. Existing Points/Gold holders received a 5% airdrop of the new incentives.

What this means: This is neutral for BLAST because it reduces complexity but introduces volatility risks, as rewards now depend on $BLAST’s market price. (Source)

2. USDB Yield Integration (January 2025)

Overview: Blast Mobile’s Earn app now automatically converts USD deposits (USDC/USDT) into USDB, Blast’s yield-bearing stablecoin. The yield combines MakerDAO’s 11.5% baseline rate and $BLAST token incentives.

This integration streamlines yield generation but exposes users to $BLAST price fluctuations, as rewards are paid in the native token.

What this means: This is bullish for BLAST because it incentivizes stablecoin deposits, potentially increasing network usage and demand for $BLAST. However, APY volatility could deter risk-averse users. (Source)

3. Developer Grant Structure (January 2025)

Overview: Blast shifted from fixed Gold grants to dynamic $BLAST allocations for developers. Teams building on Blast Mobile receive grants based on product-market fit and adoption metrics rather than predefined quotas.

Big Bang participants receive $BLAST equivalent to 1M Gold upon app launch, while others undergo case-by-case evaluations.

What this means: This is bearish for BLAST in the short term, as reduced upfront grants may slow developer onboarding. Long-term, it could foster higher-quality dapps by tying incentives to real usage. (Source)

Conclusion

Blast is prioritizing liquidity and mobile adoption by replacing legacy reward systems with $BLAST-driven incentives. While this aligns token utility with ecosystem growth, success hinges on balancing APY stability and developer engagement. Will Blast Mobile’s app store rollout accelerate mainstream adoption, or will reliance on volatile rewards limit traction?

CMC AI can make mistakes. Not financial advice.