Layer-2 network Blast becomes third-largest holder of staked Ethereum amid pyramid scheme allegations
Blast, a newly introduced Ethereum (ETH) layer-2 network promising “native yield” on ETH and stablecoin holdings, swiftly secured the position of the third-largest holder of staked ether in just three days post-launch, according to on-chain data. Etherscan data indicates that the platform has amassed over 140,000 staked Ethereum, valued at approximately $286 million, utilizing the liquid staking protocol Lido since its inception on Nov. 20. This accumulation represents roughly 1.5% of the total staked Ether volume. Debank‘s data further shows that the protocol’s multi-sig wallet currently holds assets worth more than $335 million, comprising Lido‘s staked Ether and MakerDAO’s stablecoin DAI. Controversy Surrounds Blasts Pyramid-Like System However, the rapid growth of Blast over the past three days has triggered strong criticism within the crypto community due to its pyramid-like Blast points system, which rewards early users based on the number of users they refer. Details on the projects website outline that users receive an additional 16% of points when their referrals bring in more participants and an extra 8% if the subsequent level brings in additional users. An intriguing aspect is that the inflows into the protocol remain one-directional, with no option for withdrawal until its slated launch in February next year. Simon Dedic, the CEO and



