The native token of the non-fungible token (NFT) platform Blur has been listed on the Binance crypto exchange. The listing saw the token BLUR seeing a remarkable 22% surge in its value. BLUR is listed on Binance’s convert feature, which is designed for Binance’s retail customers who can engage in the activity of buying and selling crypto assets without going through the conventional order book process.
Before the token was listed on Binance, its value was hovering at $0.55, and when the listing was announced, it leaped to $0.6864. The value of the BLUR token has increased to double the value within just one week. The surge in the value of BLUR coincided with Bitcoin (BTC) reaching its highest point since May 2022, contributing to the broader cryptocurrency market rally.
Blur has been on a good run ever since the introduction of Blast, a layer two network developed by the same team behind Blur. Ever since the launch of Blast, it has gained over $400 million in deposits and is set to distribute an airdrop in May.
However, there is some negative sentiment attached to the layer two network called Blast. The cause of the criticism is mainly centered around the fact that some in the crypto community have raised concerns about its referral scheme. They believe that the referral scheme sounds more like a pyramid scheme. The process is going to be live in March. Blast has already attracted over $225 million in staked ether (stETH) and stablecoins since Monday.
Blast stands out as the first layer-2 network incorporating native staking, with plans to generate yield through ether (ETH) staking and real-world assets (RWAs). Layer 2s, built on top of layer-1 blockchains like Ethereum, aim to expedite transactions and reduce costs.
Native staking in crypto involves holding and locking up a certain amount of a cryptocurrency in a designated wallet to support the network’s operations, typically associated with proof-of-stake or delegated proof-of-stake consensus mechanisms, earning participants rewards for their contributions.
The controversy Around Blast?
The criticism around the Blast protocol is predicated on the fact that the staked assets on the platform cannot be withdrawn until the Blast bridge goes live in February. In the meantime, users will receive “Blast points,” which are redeemable in an airdrop which is scheduled for May. For now, the access to Blast is invite-only, which requires a code from an existing user.
Despite many people’s reservations about it, Blast has attracted the majority of its $225 million deposits through the liquid-staking protocol LIDO, securing its position as the seventh-largest holder of staked ether, according to Etherscan.
Critics argue that Blast points resemble a pyramid scheme, as early users can accumulate more points based on the number of users they bring into the network. Technical documents reveal that users receive an additional 16% points when their invited users bring in more participants, with an extra 8% for the second level of invites.
