Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • TRADING
  • SUBMIT
Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • TRADING
  • SUBMIT
Crypto Flexs
Home»ETHEREUM NEWS»Layer 2 network Blast has become the third-largest holder of staked Ethereum following allegations of a pyramid scheme.
ETHEREUM NEWS

Layer 2 network Blast has become the third-largest holder of staked Ethereum following allegations of a pyramid scheme.

By Crypto FlexsNovember 24, 20232 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
Layer 2 network Blast has become the third-largest holder of staked Ethereum following allegations of a pyramid scheme.
Share
Facebook Twitter LinkedIn Pinterest Email

According to OnChain, Blast, the newly introduced Ethereum (ETH) Layer 2 network, promises a “default rate of return” on ETH and stablecoin holdings, positioning itself as the third largest Ethereum holder in just three days after launch. ​​Secured it quickly. data.

Since its launch on November 20, the platform has accumulated more than 140,000 staked Ethereum worth approximately $286 million, leveraging Lido, a liquid staking protocol, according to Etherscan data. This accumulation represents approximately 1.5% of the total amount of staked Ethereum.

Data from Debank shows that the protocol’s multi-sig wallet currently holds more than $335 million in assets, including Ether staked by Lido and MakerDAO’s stablecoin DAI.

Controversy surrounding Blast’s pyramid system

However, Blast’s rapid growth over the past three days has sparked strong criticism within the cryptocurrency community due to the pyramid-shaped Blast points system that rewards early users based on the number of users they refer.

Details on the project website state that users will receive an additional 16% of points for bringing in more participants through referrals, and an additional 8% of points for bringing in additional users in subsequent stages.

What’s interesting is that inflows into the protocol will remain one-way with no withdrawal option until its scheduled launch in February next year.

Simon Dedic, CEO and managing partner of cryptocurrency investment firm MoonRock Capital, said Blast’s unique selling point is its “Ponzi airdrop farming.” that Added:

“(To be honest) Explosion_L2 This perfectly illustrates why non-cryptocurrency people hate Web3. (It is) not a technological advancement over other L2s, nor does it offer any interesting applications that can be used on top of it. While disabling withdrawals.”

In addition to Ponzi-like structures, Blast’s multi-signature wallet has garnered attention.

Polygon Engineer Jarrod Watts Believe The protocol requires three out of five signatories to approve any suspicious activity. Watts emphasized that the address involved was new and his identity was unknown.

But despite the inherent risks, Watts suspects the funds could be stolen.

Likewise, SlowMist founder Cos noted that Blast works with upgradable contracts with a 3/5 multi-signature setup and has no time locks.

Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

Selling is highly likely as demand weakens and ‘real’ interest rates soar.

March 31, 2026

The Ethereum network has seen a sharp increase in daily transactions due to the rise in the price of ETH.

March 27, 2026

Ethereum investor Druckenmiller predicts a stablecoin-based payment system.

March 23, 2026
Add A Comment

Comments are closed.

Recent Posts

Ripple Forecast -What To Expect For XRP Price In 2026

April 3, 2026

Proof Of Liquidity -A New Era In Blockchain Economics

April 3, 2026

BTCC Exchange Named Official Regional Partner Of The Argentine National Team

April 2, 2026

AI giant Meta, Microsoft, NVIDIA check stocks amid Iran threat, AI cryptocurrency collapse

April 2, 2026

Phemex Publishes April 2026 Proof Of Reserves, Reporting 131% Total Reserve Ratio

April 2, 2026

Cango Inc. Completes $65M Investment And Secures $10M Convertible Note Financing

April 2, 2026

Bybit Kazakhstan Launches KZT/USDT Spot Trading, Enabling Direct Access To Crypto Markets Using Local Currency

April 2, 2026

Bitcoin price model indicates lowest potential

April 2, 2026

Stablecoin expansion for DeFi users

April 1, 2026

Is the Ethereum price recovery beginning and a breakout brewing now?

April 1, 2026

Berachain (BERA) -The Next Generation Blockchain Powering Liquidity-Driven DeFi Growth

April 1, 2026

Crypto Flexs is a Professional Cryptocurrency News Platform. Here we will provide you only interesting content, which you will like very much. We’re dedicated to providing you the best of Cryptocurrency. We hope you enjoy our Cryptocurrency News as much as we enjoy offering them to you.

Contact Us : Partner(@)Cryptoflexs.com

Top Insights

Ripple Forecast -What To Expect For XRP Price In 2026

April 3, 2026

Proof Of Liquidity -A New Era In Blockchain Economics

April 3, 2026

BTCC Exchange Named Official Regional Partner Of The Argentine National Team

April 2, 2026
Most Popular

Binance Launches Toncoin (TON) on Launchpool and Super Earn

August 13, 2024

Studio Ghibli Style AI image Ghibli Memecoins Surge

March 27, 2025

NovaEx Launches With A Security-First Crypto Trading Platform Offering Deep Liquidity And Institutional-Grade Infrastructure

July 10, 2025
  • Home
  • About Us
  • Contact Us
  • Disclaimer
  • Privacy Policy
  • Terms and Conditions
© 2026 Crypto Flexs

Type above and press Enter to search. Press Esc to cancel.