Blast is a Layer-2 blockchain focused on transaction scaling with built-in incentives such as points and native yield, to support adoption. It distinguishes itself from other rollups with features such as tokens that automatically earn yield, and gas revenue sharing.

Trade crypto on Blast using Matcha to get the best prices across 14+ DEXs as well as private liquidity, with cross-chain bridging, zero-fee trades, and gasless swaps all in one place.

Introducing Blast

Blast Layer-2 blockchain launched on February 29, 2024 and uses Optimistic Rollups to batch transactions off-chain and settle them on Ethereum’s mainnet. This means lower gas fees and faster transaction processing compared to Ethereum. As Blast's mainnet is built on OP Stack, it is part of the Optimism Superchain, with real-world performance comparable to leading L2 networks OP Mainnet (Optimism) and Base.

Native yield and auto-rebasing for ETH and Stablecoins

Blast’s key differentiator is that it provides native yield generation on assets including ETH and stablecoins. Users have potential for a 3% yield if bridging ETH to Blast, and 5.5% with similar action on stablecoins (USDT, USDC, and DAI), which Blast envisions as an incentive aimed at driving user growth.

Yield on Blast is generated by easily staking ETH on Ethereum through liquid staking protocols whenever it is bridged to Blast. Likewise, when users bridge stablecoins, they are deposited in decentralized protocols that provide returns over a set period. Notably, USDT, DAI and USDC are converted to USDB when bridged.

Blast then distributes yield through an auto-rebasing mechanism, which automatically increases balances over time. This rebalancing takes place natively on Blast where both EOA wallets and smart contracts can benefit, without any changes to existing dApps.

The staked deposits are managed by multi-signature wallets which also control withdrawals and allow for contract upgrades. While this sparked some controversy early on, multi-sig wallets are commonly used by other L2s including Optimism and Arbitrum in upgradeable contracts. Blast is currently a Stage 0 rollup, alongside chains such as Base and Scroll, as transactions can be censored by the maintainers.  

Gas revenue sharing for developers

Another unique aspect of Blast is that it reallocates a portion of gas revenue from its validators back to app developers, unlike most other Layer-2 solutions that retain gas revenue for validators. This is done to incentivize developers to build on Blast by offering them a share of gas fees, either as revenue or to subsidize fees on behalf of users, and is made possible through the fact that assets on Blast accrue native yield.

Combined with the yield incentives for users, Blast is an interesting case study in incentivizing both users and builders to move to the chain, by producing tangible rewards on both sides for simply being in the ecosystem.

Blast Points incentives

Blast users are eligible for the Blast Points loyalty program as well as native yield. Blast Points are based on your asset holdings (which also grow through native yield mechanics), how much you bridge to Blast, how many referrals you make, and your activity within the ecosystem. Points can also be amplified through multipliers that enhance point earnings through using specific apps or taking part in special events. 

Blast Points are currently in Phase 2 which lasts until June 2025. Blast Points are used to qualify for and redeem BLAST token airdrops. Points earned by holding assets or engaging with apps are redeemable as BLAST tokens when airdrops are distributed, with 17% of the BLAST supply distributed to in the previous airdrop in June 2024 and 10% scheduled for the next airdrop. As well as Points, app developers are given a monthly supply of Blast Gold to distribute to their app users, to incentivize growth of apps within the ecosystem. Blast Gold and Points are equally weighted in terms of airdrop distributions.

Bridge to Blast

Blast’s native yield is applicable to ETH and select stablecoins bridged to the platform. When bridging USDC, DAI, or USDT from another network, you will receive USDB on Blast. There is a native bridge portal on blast.io which allows you to transfer a limited selection of tokens to or from Blast. Note that withdrawals come with a several-day waiting period, which is a common security measure among Optimistic Rollups.

For fast cross chain transfers directly from one token to another, Matcha’s cross chain swaps feature compares prices across multiple bridges to get you the best available rates, while also giving a broader choice of tokens. Best of all, cross chain swaps are not subject to the withdrawal waiting period, giving you access to your tokens on other chains whenever you need it. 

Blast on Matcha

Blast’s yield, auto-rebasing assets, and gas revenue-sharing model brought a lot of interest when the chain launched, and it has since grown in TVL to compete with chains like OP Mainnet and Scroll. Blast’s adoption has been supported by in-built incentives for both traders and developers, while providing novel economics not found natively on other Layer-2s.

In integrating Blast, Matcha aims to support growth of the network by providing zero-fee trades, best-in-class pricing, and convenient low-cost bridging. Try Blast today on Matcha!