What is Blast (BLAST)?

Deep Dive

1. Purpose & Value Proposition

Blast was created to address the static nature of assets on most Layer 2s. On other networks, deposited ETH or stablecoins simply sit idle. Blast's core value proposition is to provide native yield, automatically putting these assets to work. It achieves this by integrating with Ethereum's proof-of-stake rewards for staked ETH and deploying stablecoins into trusted DeFi protocols like Lido and MakerDAO. This means users earn yield simply by bridging assets to the chain, a feature designed to attract and retain capital.

2. Technology & Architecture

Blast is built as an optimistic rollup. This is a scaling solution that executes transactions off the main Ethereum chain (Layer 1) and posts compressed data back to it for security. This design inherits Ethereum's security while offering significantly lower transaction fees and higher throughput. A key technical innovation is its auto-rebasing feature for certain assets, where the yield earned is automatically reflected in a user's token balance, simplifying the yield accumulation process.

3. Tokenomics & Governance

The BLAST token serves as the network's utility and governance token. Its utilities include governing protocol upgrades, voting on ecosystem grants, and potentially receiving fee discounts. The token is used to incentivize developers and users to build and interact with applications on Blast, fostering a self-sustaining ecosystem. A portion of network fees is also distributed to dapps and stakers, aligning incentives across participants.

Conclusion

Fundamentally, Blast is an Ethereum Layer 2 that reimagines the chain itself as a yield-bearing environment, aiming to make yield a default feature rather than an active pursuit. Will its native yield model prove compelling enough to build a durable and innovative ecosystem atop it?