Ethereum Layer 2 Network Blast Shut Down Due to Unsustainable Economics
Blast's Ethereum Layer 2 network will permanently close due to operating costs exceeding revenue. The team cited unsustainable economics and stated that there is no credible path to making operations financially sustainable.
The shutdown affects users who have bridged Ether (ETH) and stablecoins through Blast, which promoted built-in yield for these assets. The team emphasized the importance of managing the shutdown and withdrawals safely, urging users to withdraw their assets by October 26th.
Withdrawals will be unavailable for about a week while Blast removes staking assets held through Lido. After that step, withdrawals are expected to resume with a 24-hour delay. Users should use Blast's standard interface to withdraw by the deadline; after that, they will need to interact directly with Blast's bridge contract on Ethereum's main network.