Blast Shuts Down Ethereum Layer-2 Network Due to Deteriorating Profitability

Ethereum layer-2 network Blast is shutting down due to deteriorating profitability, the project announced on October 2. The cost of maintaining the chain had exceeded the revenue generated by the layer-2 network, making operations unsustainable. Blast apologized to users and developers, stating that a safe and orderly shutdown would be its top priority.

To facilitate withdrawals, Blast will shorten the waiting period to 24 hours. However, withdrawals will be temporarily suspended for about a week during the asset recovery process involving assets deposited with Lido, after which withdrawals will be available following a 24-hour waiting period.

Users are urged to move their assets to the Ethereum mainnet by October 26. Withdrawals through Blast's existing interface will be supported until October 26. After that, users will still be able to withdraw assets, but they will need to interact directly with the Blast bridge smart contract on the Ethereum mainnet.